call. our you, Thank for everyone, Clay. Good afternoon, earnings you, us for and joining thank
align top line quarter, a with to customer conditions. can a the where have changes some adapted and had solid showed we growth market As changing behavior our balanced see, focus quarter Early saw you on first demonstrable the we in profitability. operations and we
year-over-year, On while the XX% billings top RPO grew XX%. line, grew
crossed a our technology progress hit offerings NGS are our is shared that that innovative ARR. our the maintained ARR and new this It sector In contributing cloud $X on of consistently cloud-enabled grew industry. billion XX% the we the most mark our key NGS to via and milestone. our how year-over-year. have business context, have delivered cybersecurity Demonstrate transformation, quarter, We
our efforts the leverage As our in macroeconomic business. environment operating incremental drive we to accelerating are changes,
cybersecurity improve the Given independent company's largest our next that next we're we margins the our cycle. can phase over business, of meaningfully
on focus the of year-over-year income period. margins up XX% points operating with drove quarter basis growth the operating XXX profitability same Our in during
generated also free We cash in billion over quarter. flow $X in the
quarter GAAP drive of For security better focus center posture. basis a row, on fiscal the net profitability the on second get need the for in generated consolidation as a strategies, to income we a At GAAP to year. customers to we the our
continue millionaire buys see we Towards steady grow cross-platform that large and a our clip. to end, customers at
into comfort platforms. a consolidate help Our our competition, of customers to give our customers initial distinguish deals seeing over them to and an that have been opportunity our in abilities with us, lead with from journey time, our products one
incumbent this capabilities was chose at years our first have including our across had signed with get chose comfortable our firewalls, federal line order public media full and this major X-figure a over X-figure network our consistent additional startups firewall subscriptions. cloud and agency This consistency from our As has a Cortex, a across deal consolidating approach, architecture, appliance-based security with company strategy closed The some center purchase not in with transaction. X transition Cloud. consolidation sizes customer customer customer customers, because choose $XX environment, they Prisma for we X-figure allows the of to with A U.S. signed delivered security A them did This in company, to allowed our of deal received utility grow physical the Palo highlights subscription X and has to for selection Cloud in multiple technology, which X The of European across all of valued security have into total we as the our hundreds Expanse platforms platforms. We the We we a on Cortex technology. deals that of or Alto million security of spend an cloud. us. a U.S. transaction and spanning quarter. Consistent to unique option. market on-premise continue years figures see either standardized Networks, large us satisfied and the continue. deal, U.S. the vendors deal further expect and looking for with this firewalls, multiproduct deal several technology marquee clouds. The at QX. This firewalls software software our Prisma in software government firewalls of X but replacing deployment leadership
expense offering of unique cost total on the Our of benefits consolidating our and ownership platforms.
XXX success of can the large broader year-over-year customer we our You where quarter. count, customer our evidence over first with see active in in added millionaire commitments
platforms and recognized the for our across innovate our to get continue We abilities. by market
quarter software our this Prisma across and next-generation us in composition This analysis week, SaaS and posture firewalls. security saw SASE, just management launch Cloud,
XSIAM their Lastly, External this announced to validation part a rely innovation in process. important customers we as as us the of evaluation third-party our is on of general Cortex. recognition many availability of
CNAPP, CSPM, cloud X cloud-native to posture protection platform, adding This and list. quarter, in security we or received new or management, our leadership categories, recognition application
our X deeper at a platforms. take Let's look
We network have see continued solid security growth business. to our in
approximately our market Our continued in and appliance have and X the points in points the factor, basis, innovations market form share VM including year-over-year virtual in the form percentage our gains. percentage in factor, X have the On refresh a drive share investments market. our to of firewall Gen appliance gained X we
move up an of away to standardization drive see that not to pace from and Our decisions make opportunity innovation. customers our kept competitors have with
extending of to the We in it SASE, stages architectures. Many early standardization network the SASE. their to given many involves also customers see relatively executing are changes security
seen with customers. well put To increasing we've recognition, perspective, gained into customer over XXx Prisma this number is our SASE base and customer of our than installed as our base. industry within an Our new SASE as firewall larger wins into has base, enabled all Consolidation sellers executing is into and base, and network now represent tad core continues With to firewall the largest driving our SASE customers installed base of our factors. form driving across a SASE by our security subscription pipeline. capabilities our installed offering
Our constant innovation a entered in we has security years over XX ago. network been hallmark and KV our expansion since platform the of market
also number highlighted reimagined have of we we While existing we our offer, have subscriptions capabilities. new the
filtering Our attacks our as threat adoption. base [indiscernible] WildFire to release. version installed our of introduced deep zero-day prevention learning leverage zero-day real the Yesterday, stop additional more promising new block part The provide cloud significant time. have advanced already evasive, seen versions we advanced to in unknown attacks subscriptions euro and and value to
in to and ago Bridgecrew Cloud. We teams cloud continues security proactively. leased that software to developers Prisma the vulnerabilities SCA Moving Cloud code analysis our platform integration on left to XX to Prisma core the acquisition leading be solution life shift or with CNAPP impact acquired SCA, industry's The QX. scanning. with built from of months prioritize on and introduced Cloud cycle organic innovation. and module best-in-class Building the we application as enables composition infrastructure security known the this, Prisma platform,
our customers security and of Prisma SCA part seen our cloud as capabilities IAC of use Cloud have hundreds module. We core
doubling shifting modules hyperscaler to increase acquire the credit them. Security, ability and the application ASC footprint our development or adoption, code. announced to and and year-over-year. strategy. Half down security success, to grew as is environment, by key customers' consumption in X X deployment on Prisma security. Building is customers our XX% software software we using Cloud consumption Security modules. supply how using upon Cloud team. XX% customers Cider Prisma their more are see they of ability we're up expand to CICD remediate backed their as our brings to more Today, intent adopt identify Cider's are QX, more cloud tools, our such supply further leading visualize or IAC analyze which investing chain of and In left to risks research This modules, nearly X and continue Cider chain secure our the We the credit with
the capabilities leadership Cloud to our closing code applications are Across helping the on areas. driving secure enterprises we into number integration from further of cloud. will we Cortex, security, of Cider's cloud focused With Prisma of momentum a acquisition, in the after in
This we is notable ensuring examples Exor. large Pro deal which [indiscernible] of Expanse key our XDR, [indiscernible] best-of-breed number In multiproduct at deals. QX, a transaction success winning and first customers with capability. product a are expanse construction company, but the strong saw multimillion are basis, had not only The and with with XDR European performance. existing replaced dollar Cortex included their stand-alone we a We on
These for talked federal and Exor Pro a government of to deal in are customer it the addition SoC about. a One XDR agencies. formalized already we new as adopted the in X-figure multiple customer
QX, innovate the to I'm service detection security general across operations autonomous of a threat and response excited by managed continue XX intelligence. built about our availability our most our enriched capability XTR We Unit and on XSIAM, during breakthrough platform. Cortex new world-class delivering
and XSIAM lot road customers Our events our management. and its for launch reimagine world were as a map future the of soft oversubscribed, of resonance with see product we
customers point, expanded have partner multimillion-dollar At we've few had into XSIAM the design design commitments months X we recently, ago, from a transitioned to Most of deployments. they paying our had as majority a Just this design launched program. partners customers. production
how customer In to fact, because managing value. fast carefully are we we onboard time we XSIAM to ensure want customers future
I'm tough out you is them scale quarters. XX job and the sure feel the us of good Our for interest value. XSIAM. all In in figure list teams I We're summary, seasonally of qualifying what next them fast we this our onboarding a carefully business changing. is the that north X a to who macroeconomic means like so to also where climate all quarter, them would appropriately can us customers, give trying of are over deploy did and
working As to we is Fed tame all know, inflation impacting the growth.
cybersecurity projects. we reviews deals of While see resilient, deeper somewhat Cybersecurity getting transformational longer scrutiny, signs suggesting and marginal some more do are impact. is of
environment. cycles the payment We are front, deal causing impact become 'XX terms, this budgets their of on QX in a FY across -- than were some broken this down challenging while the conversations their do norm and continue New high plans. while but be The some prospering some phases, that of next to seasonally verticals require to public of are increases and of have oil execution a a down rate and likely execution. more sector interest interest macro deal include those the On are some Technology, impact, sectors, an retail to QX, be deals the course discounts retain but utilities, off positive parts continued are feeling few these doubling excellent to side feeling early and elongate. gas, over cancellations. Coming CPG not experiencing to been we quarter, overcome tends scrutinize by of impact these to we will is to the rate able trends uniform those impacts. on year. more all behavior to expect defense
Towards that taken end, we have action. already concrete
hiring teams coverage our front-loaded base. increase have to field across of We our customer
We time our faster ensure new with activity level both to products. and have around of also accounts our to expanded value existing customers
last we As harder seen delay plans. we some discussed refresh have quarter, customers
the we need a that range. refresh, rate long-term might I X% a later in While to to end the to at to choosing have to ultimately and growth and some believe will continue trend they will are of reassess industry the X% defer hardware lower range, date.
near to to revenue. complexity and However, double-digit report we'll growth supply coupled [Indiscernible] a rate easing increased that I term, an risk. low product vendors expect chain, for with leads continue
strong long silver ever overall current like-for-like plan challenges around for top fewer security Given environment. we We Instead, of cybersecurity pace that now customers, the some It the was the continue X Cybersecurity to is We're X spending that, they macroeconomic the and less for seeing talking impacts in finding competition for we We capabilities likely for increased IT said what scrutiny is that adoption. with as bumps towards the by more is will new also to easier but the lower medium and than ago months execution, that having will see had conversations not about purchase fewer were and we talent, recruit rates, the to believe consolidate before. necessitates think Networks continue but hires. focused it I of platforms critical customers newer attrition continue whilst overcome short-term we do. Alto to projects the these these to which requirements, transformation from investment to resilient, immune term. we to we've just believe and talent. to which Having lining We vendors. Palo are and can face return are there that hyperscaler customers to adjusting products. be hire consolidating may
We our focus well further our hiring on as as will our closely sharpen to monitor spending overall efficiency.
As focus respond paramount. the from we and internally to proceed year will landscape, external execution be our teams how the through we sharp
Before on about some the I perspectives to I want we're provide turn the call thinking Dipak, over forecast. how to
earlier. more strength I we previously back NGS for of Prisma We and ARR of are year. performance not are the upside that been Cloud Within with percent the execution seen also success the leverage. adjusting during we ranges range incremental we focus and challenging SASE a high do held higher teams in guidance reflecting how chain XX-plus year advanced but expect we guidance saw mentioned the more firewalls, This situation in the for more we're to billings in had range end only on and I as on operating our by the our higher our noted. subscriptions growth orders able we QX, also positive revenue driving some the reflects revenue, On We're that NGS ship cloud-delivered supply product for the the note, software QX. focusing ARR our slightly saw revenue Cortex of in have for
accelerate which to reflected previously at and take in end, QX to the was that outlined Day, our we EPS Towards were margin performance. Analyst we our operating profitability able steps
interest a We focused will will the for is the driving And raising flow higher as Dipak margin income, basis here. guidance XX to by we're our points. This, result, remain well guidance EPS as operating increase and year cover. as our cash as
have on below a adjusted revenue X basis, our Over grown rate made investments. the EPS years flow as our we free growth and last compounded cash significant
adjusted grow XX% is and EPS which targeting free cash guidance both at not flow growth. revenue to midpoint, our of are We our north of ahead
consolidate trade capturing We we an position budget wouldn't emerging customers portfolio our believe areas other increased broad spending. with are our the customers confident new advantage of to are in as budget our any as and focus as allocating where company. dollars, broader also We cybersecurity look an strategy on focuses cybersecurity portion while they
opportunities fund also we to that, long our We With commitment term in call turn to to our invest will efficiencies the drive continue I for will business. with Dipak. to the while innovation, pursue near-term over
