It was a tale of different outcomes for Rubrik Inc. and SentinelOne Inc. today, with Rubrik shares surging in late trading on strong fiscal 2026 third-quarter earnings and outlook, while SentinelOne shares dropped on weak guidance, despite a solid quarter.

For the quarter that ended on Oct. 31, Rubrik reported adjusted earnings per share of 10 cents, up from a loss of 21 cents per share in the same quarter of the previous fiscal year, on revenue of $350.2 million, up 48% year-over-year. Both figures were well ahead of a loss of 17 cents per share and revenue of $320.5 million expected by analysts.

Rubrik’s strong figures were driven by customer growth, with subscription revenue up 52% year-over-year, to $336.4 million, with customers with subscription annual recurring revenue of $100,000 or more up 27% year-over-year. The growth in subscriptions is also why Rubrik reported positive adjusted earnings versus a loss, as subscription annual recurring revenue contribution margin came in at 10.3%, versus minus 3.3% in the third quarter of fiscal 2025.

Business highlights in the quarter included the launch of Rubrik Agent Cloud, which helps enterprises manage risk and accelerate adoption of artificial intelligence agents through monitoring and auditing agentic actions. Also introduced were Rubrik Okta Recovery, a new solution that delivers automated, immutable backups and granular recovery for Okta Identity Provider environments.

In September, Rubrik announced an expanded partnership with CrowdStrike Holdings Inc. with the integration of Rubrik Identity Resilience into the CrowdStrike Falcon Next-Gen Identity Security platform.

“As the AI transformation unfolds, organizations worldwide are turning to Rubrik to ensure their businesses remain secure and AI-ready,” co-founder and Chief Executive Bipul Sinha said in the company’s earnings release. “Looking ahead, we are committed to leading and pioneering new advancements at the intersection of data protection, cyber resilience and enterprise AI acceleration.”

For its fiscal fourth quarter, Rubrik expects an adjusted earnings per share loss of 10 cents to 12 cents on revenue of $341 million to $343 million. For the full year, the company expects adjusted earnings per share loss of 16 to 20 cents on revenue of $1.28 billion to $1.282 billion.

The full-year outlook came in ahead of expectations. Rubrik also upped the outlook it gave in the previous quarter, when it had forecast a full-year adjusted loss per share of 44 to 50 cents.

For SentinelOne, the company reported adjusted earnings per share in its fiscal third quarter of seven cents, up from breakeven in the same quarter of the previous fiscal year, on revenue of $258.9 million, up 23% year-over-year. Both figures were ahead of analyst expectations of five cents per share and revenue of $256.16 million.

SentinelOne saw annual recurring revenue grow 23% year-over-year, to $1.055 billion, and customers with annual recurring revenue of $100,000 or more rose 20%, to 1,572.

“Our third-quarter performance underscores the growing demand for our AI-native security platform that combines data, intelligence, and defense,” CEO Tomer Weingarten said in the company’s earnings release. “Our early-mover advantage and approach for both AI for Security and Security for AI is resonating with customers.”

For its fiscal fourth quarter, SentinelOne said it expects revenue of $271 million and for the full year, $1.01 billion. The fourth quarter outlook fell short of the $273.5 million expected by analysts.

Reflecting the different outlooks, Rubrik shares rose more than 16% in late trading, while SentinelOne shares fell just over 8%.

Photo: Rubrik