Okta, the eleven-year-old, San Francisco-based maker of software to secure enterprise identities and authorize computer usage, this afternoon reported fiscal third-quarter revenue and profit that both topped expectations, and offered a forecast for revenue that beat expectations as well.
CEO Todd McKinnon called the results “strong,” and added that the company is “seeing the importance of a modern identity platform like the Okta Identity Cloud grow as businesses around the world accelerate their adoption of cloud-based applications and re-imagine their digital customer experiences,”
For the three months ended in October, Okta reported revenue of $217 million and 4 cents per share in net profit.
That compares to the average Street estimate for $202.8 million in revenue a net loss of one penny per share.
Okta said its remaining performance obligation, or RPO, a standard Wall Street measure for cloud companies’ future revenue potential, rose by 53% in the quarter to reach $1.58 billion.
Free cash flow in the quarter quadrupled, year over year, to $41.6 million, equating to just over 19% of revenue, the company said.
For the current quarter, the company sees revenue of $221 million to $222 million, above the average Wall Street estimate for $216 million.
Okta shares are up about 7% in late trading.
