Voya Financial (VOYA) Q3 Earnings and Revenues Top Estimates

It has been about a month since the last earnings report for CrowdStrike Holdings (CRWD). Shares have lost about 0.9% in that time frame, underperforming the S&P 500.

Will the recent negative trend continue leading up to its next earnings release, or is CrowdStrike due for a breakout? Before we dive into how investors and analysts have reacted as of late, let’s take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

CrowdStrike Q4 Earnings Beat Estimates, Revenues Up Y/Y

CrowdStrike Holdings reported fourth-quarter fiscal 2023 non-GAAP earnings of 47 cents per share, beating the Zacks Consensus Estimate by 9.3% and jumping 56.7% year over year.

The company’s fiscal fourth-quarter revenues of $637.4 million rose 48% year over year and surpassed the consensus mark by 2.03%.

Subscription revenues (94% of total revenues) jumped 47.6% year over year to $598.3 million. Professional services revenues (6% of total revenues) rose 52.9% year over year to $39.1 million.

Annual recurring revenues (ARR) increased 48% year over year to $2.56 billion. Net new ARR added in the reported quarter was $221.7 million.

Quarter Details

CrowdStrike added 1,873 net new subscription customers in the reported quarter. It had a total of 23,019 subscription customers as of Jan 31, 2023, reflecting year-over-year growth of 41%.

CrowdStrike’s subscription customers, who adopted five or more cloud modules, soared to 62%, those with six or more cloud modules rose to 39%, and those with seven or more cloud modules jumped to 22% as of Jan 31, 2023.

CrowdStrike’s non-GAAP gross margin contracted 140 basis points (bps) on a year-over-year basis to 80.3%.

The non-GAAP subscription gross margin contracted 150 bps to 77.3% on a year-over-year basis. The non-GAAP professional gross margin expanded 20 bps to 3%.

Non-GAAP sales and marketing expenses jumped 44.5% year over year to $203.1 million. Non-GAAP research and development expenses surged 86% year over year to $137.5 million.

The non-GAAP operating income was $95.6 million, up 18.9% year over year.

The non-GAAP operating margin for the quarter was 15%, down 370 bps year over year.

Balance Sheet & Cash Flow

As of Jan 31, 2023, cash and cash equivalents were $2.46 billion compared with $2.47 billion as of Oct 31, 2022. CrowdStrike had long-term debt of $741 million.

In the fiscal fourth quarter, CRWD generated operating and free cash flows of $273.3 million and $209.5 million, respectively.


For fiscal 2024, CrowdStrike expects revenues of $2.96-$3.01 billion. Non-GAAP earnings are anticipated to be $2.21-$2.39 per share.

The non-GAAP operating income for fiscal 2023 is projected to be $474-$518.7 million.

For the fiscal first quarter, CrowdStrike anticipates revenues between $674.9 million and $678.2 million. For the bottom line, the company expects non-GAAP earnings between 50 cents and 51 cents per share.

The non-GAAP operating income is expected to be $107.1-$109.5 million.

How Have Estimates Been Moving Since Then?

It turns out, fresh estimates have trended upward during the past month.

The consensus estimate has shifted 36.66% due to these changes.

VGM Scores

Currently, CrowdStrike has a nice Growth Score of B, a grade with the same score on the momentum front. However, the stock was allocated a grade of F on the value side, putting it in the lowest quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of C. If you aren’t focused on one strategy, this score is the one you should be interested in.


Estimates have been trending upward for the stock, and the magnitude of these revisions looks promising. Notably, CrowdStrike has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.

Performance of an Industry Player

CrowdStrike belongs to the Zacks Internet – Software industry. Another stock from the same industry, DoubleVerify Holdings (DV), has gained 15% over the past month. More than a month has passed since the company reported results for the quarter ended December 2022.

DoubleVerify reported revenues of $133.64 million in the last reported quarter, representing a year-over-year change of +26.6%. EPS of $0.10 for the same period compares with $0.17 a year ago.

DoubleVerify is expected to post earnings of $0.04 per share for the current quarter, representing a year-over-year change of +33.3%. Over the last 30 days, the Zacks Consensus Estimate remained unchanged.

DoubleVerify has a Zacks Rank #3 (Hold) based on the overall direction and magnitude of estimate revisions. Additionally, the stock has a VGM Score of F.

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