Netskope Records 29% ARR Growth to $845M; Q1 Revenue Jumps 28%
NTSK•Annual recurring revenue rose 29% year-over-year to $845 million in Q1 fiscal 2027, while revenue climbed 28% to $201.6 million, driven by strong AI-native platform adoption. Cash, equivalents and marketable securities ended at $1.1 billion despite free cash flow turning negative $57.2 million.
1. Q1 Fiscal 2027 Financial Results
Netskope achieved 29% year-over-year ARR growth to $845 million and delivered $201.6 million in revenue, a 28% increase. GAAP gross margin expanded to 74% from 69%, while non-GAAP gross margin rose to 77% from 74%.
2. Profitability and Cash Flow
The company reported a GAAP operating loss of $108.7 million (-54% margin) versus $45.4 million last year, and a non-GAAP loss of $29.2 million (-14%). GAAP net loss per share narrowed from $0.76 to $0.29, non-GAAP loss per share from $0.28 to $0.06, with net cash used in operations at $53.9 million and free cash flow negative $57.2 million.
3. Product and Business Highlights
Netskope launched the AgentSkope architecture with six AI-driven security and networking agents and introduced the AI Command Center to provide unified operational intelligence and autonomous risk remediation across enterprise AI deployments.
