CrowdStrike (CRWD) Q4 2026 Earnings Transcript

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DATE

Tuesday, March 3, 2026 at 5 p.m. ET

CALL PARTICIPANTS

• Chief Executive Officer and Founder — George Kurtz
• Chief Financial Officer — Burt Podbere
• Moderator — Andy Nowinski

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TAKEAWAYS

• Net new annual recurring revenue (ARR) -- $331 million, a 47% increase year over year, setting an all-time record for the company.
• Ending ARR -- $5.25 billion, up 24%, making CrowdStrike (NASDAQ:CRWD) the first pure-play cyber software company to surpass the $5 billion milestone.
• Full-year net new ARR -- $1.01 billion, up 25%, marking the first year above $1 billion in net new ARR.
• Record free cash flow -- $376 million for the quarter, or 29% of revenue; $1.24 billion for the year, representing 26% of revenue.
• Operating income -- $326 million for the quarter, at 25% of revenue; full-year operating income reached $1.05 billion, exceeding $1 billion for the first time.
• Cloud, NextGen identity, and NextGen SIEM ARR growth -- Over 45% growth collectively year over year, totaling more than $1.9 billion in ending ARR.
• Dollar-based net retention rate -- 115% with gross retention at 97%, reflecting durable customer relationships and strong module adoption.
• Falcon Flex subscription ARR -- $1.69 billion in ending ARR, increasing by more than 120%; over 350 new Flex customers added in the quarter, with average Flex customer ARR exceeding $1 million.
• Reflex account adoption -- More than 380 Flex accounts have Reflexed, representing over 23% of Flex customers; average post-Reflex ARR lift is 26%, and nearly 100 customers have Reflexed multiple times with an additional 48% ARR lift.
• NextGen identity ARR -- Ending ARR surpassed $520 million, growing more than 34%; privileged account security grew over 170% quarter over quarter.
• Falcon Shield NAAR growth -- Increased more than 300% year over year, exceeding five times growth since the acquisition of Adaptive Shield.
• Major acquisitions -- Closed Signal AI and Seraphic in February, targeting zero standing privilege in identity and expanding browser security for AI applications.
• Cloud ARR -- Ended above $800 million for the first time, with growth exceeding 35% and ARR acceleration for the second consecutive quarter.
• NextGen SIEM ARR -- Finished above $585 million, up more than 75%; platform performance cited as a differentiator with customers achieving up to 80% faster query performance.
• Professional services revenue -- $63.1 million for the quarter, increasing 26% year over year due to an elevated threat environment.
• Subscription customer module adoption -- 50% using six or more modules, 34% with seven or more, and 24% using eight or more modules.
• Non-GAAP gross margin -- Reached a record 79% overall and 81% for subscriptions, attributed to ongoing cloud optimization.
• Cash and cash equivalents -- Increased to $5.23 billion at quarter end.
• Cash flow from operations -- $498 million for the quarter.
• GAAP net income -- $38.7 million attributable to CrowdStrike in the fourth quarter.
• Non-GAAP net income -- $289.1 million for the quarter, or $1.12 per diluted share.
• Fiscal first quarter 2027 pipeline -- Reached a record, growing 49% over the prior year, supporting management’s outlook for further profitable growth.
• AIDR offering -- Achieved more than five times sequential growth in its first weeks of launch, becoming a high-demand product for AI usage security.
• Marketplace performance -- Nearly $1.5 billion total contract value processed on AWS Marketplace in the year, growing about 50%; Falcon offerings became accessible via Microsoft’s marketplace as well.
• Fiscal 2027 guidance – ARR -- Projecting between $6.47 billion and $6.52 billion, up 23%-24%, with net new ARR guidance of $1.21 billion-$1.26 billion (20%-25% growth).
• Fiscal 2027 guidance – total revenue -- Expected in the $5.87 billion-$5.93 billion range (22%-23% growth); operating income guided at $1.42 billion-$1.46 billion; non-GAAP net income anticipated between $1.24 billion and $1.27 billion.
• Fiscal first quarter 2027 guidance -- ARR of $5.50 billion-$5.50 billion (24% growth); net new ARR of $249 million-$251 million (29%-30% growth); total revenue $1.36 billion-$1.36 billion (23%-24% growth); non-GAAP income from operations $308 million-$310 million.
• Commission amortization policy change -- Sales commission amortization period extended from four to five years, expected to benefit non-GAAP operating income by $85 million-$95 million in fiscal 2027, partially offset by $74 million-$80 million of added acquisition-related expenses.
• Share repurchase -- 144,000 shares bought back post-fiscal year end; $950 million remaining on the current authorization.

SUMMARY

CrowdStrike emphasized rapid acceleration in ARR and customer adoption of its Falcon Flex model, with multi-module platform uptake and record retention supporting strong top-line and cash flow performance. Strategic investments in AI-centric capabilities, including the acquisitions of Signal AI and Seraphic, extend the company’s leadership across emerging zero standing privilege and browser security categories, strengthening competitive differentiation for enterprise AI protection. Record pipeline growth, integration with AWS and Microsoft marketplaces, and new product launches like AIDR collectively reinforce management’s conviction to elevate guidance for both revenue and profitability in the coming fiscal year.

• Podbere stated, "accounts that took CCP deals have gross and net retention rates higher than the company average," signaling enduring customer stickiness and expansion after incentives sunset.
• Management detailed a sequentially upward Flex "Reflex" cycle, quantifying average ARR lifts of 26% after first Reflex and 48% after multiple Reflexes, underlining the monetization power of the land-and-expand motion.
• Gross and net retention rates remained high despite surpassing $5 billion in ARR, supporting platform durability even as customer count and average module usage climbed to new records.
• Integration plans for Signal AI and Seraphic are expected to yield minimal immediate ARR but are structured for long-term value by natively embedding advanced capabilities prior to scaling sales.
• Full-year free cash flow margin was 26%, and management expects at least 30% for fiscal 2027.
• Management expects capital expenditures to represent 7%-8% of revenue in fiscal 2027, with greater investment weighted toward the first half of the year.
• CrowdStrike now tracks more than 1,800 AI applications and nearly 160 million unique instances running across its customer endpoint base, reflecting AI’s role as both an attack surface and a demand catalyst.
• Management cited, "Charlotte usage soar more than six times year over year as ARR more than tripled," demonstrating customer adoption for AI-powered SOC automation and productivity.
• Marketplace expansion onto Microsoft is described as a "watershed moment," enabling customers to leverage their Microsoft Azure consumption commitments for Falcon purchases.

INDUSTRY GLOSSARY

• ARR (Annual Recurring Revenue): The value of contracted recurring revenue components of subscriptions normalized to a one-year period.
• Falcon Flex: CrowdStrike’s subscription model that enables flexible adoption and expansion of platform modules based on customer risk and platform use.
• Reflex: The process by which Falcon Flex customers expand their commitments, leading to incremental ARR lift.
• CCP (Customer Choice Program): A previously run incentive program used to drive multi-module platform adoption, now completed but cited for strong post-program retention and expansion effects.
• SIEM (Security Information and Event Management): Security technology that provides real-time analysis of security alerts and log data generated by applications and network hardware.
• ITDR (Identity Threat Detection and Response): A security solution focusing on detecting and responding to identity-related threats.
• PAM (Privileged Access Management): Security controls that manage and monitor privileged access and permissions for users, accounts, processes, and systems.
• AIDR (Artificial Intelligence Detection and Response): CrowdStrike’s offering for detection and response specifically aimed at protecting AI usage and associated risks.
• MSSP (Managed Security Service Provider): Third-party companies offering outsourced monitoring and management of security devices and systems.
• NAAR (New Annualized Recurring Revenue): The annualized value of net new contracts signed within a period, typically tracking new sales momentum.
• RRLHF (Reinforced Learning from Human Feedback): A process utilizing expert-labeled security event data to improve AI accuracy and outcomes.
• Agentic SOC: A security operations center leveraging AI agents to automate and augment traditional SOC workflows.

Full Conference Call Transcript

Andy Nowinski: Good afternoon, and thank you for your participation today. With me on the call are George Kurtz, Chief Executive Officer and Founder of CrowdStrike Holdings, Inc., and Burt Podbere, Chief Financial Officer. Before we get started, I would like to note that certain statements made during this conference call that are not historical facts, including those regarding our future plans, objectives, growth, including projections, expected performance, including our outlook for the first quarter and fiscal year 2027, and any assumptions for fiscal periods beyond that, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent our outlook only as of the date of this call.

While we believe any forward-looking statements we make are reasonable, actual results could differ materially because the statements are based on current expectations and are subject to risks and uncertainties. We do not undertake and expressly disclaim any obligation to update or alter our forward-looking statements, whether as a result of new information, future events, or otherwise. Further information on these and other factors that could affect the company’s financial results is included in the filings we make with the SEC from time to time, including the section titled “Risk Factors” in the company’s annual and quarterly reports. Additionally, unless otherwise stated, excluding revenue, all financial measures disclosed on this call will be non-GAAP.

A discussion of why we use non-GAAP financial measures and a reconciliation schedule showing GAAP versus non-GAAP results is currently available in our earnings release and may be found on our Investor Relations website at ir.crowdstrike.com or on our Form 8-K filed with the SEC today. With that, I will now turn the call over to George.

George Kurtz: Thank you, Andy, and thank you all for joining CrowdStrike Holdings, Inc.’s Q4 FY2026 earnings call. I could not be more pleased with our results. AI is driving elevated demand for the Falcon platform and is a key accelerant for our business. At the same time, AI is weaponizing adversaries to attack with increased speed, sophistication, and precision. We are seeing this play out in real time in the Middle East as emboldened adversaries fuel nation-state activity. FY2026 was CrowdStrike Holdings, Inc.’s best year yet, capped by a blockbuster Q4, where we set new records across the business.

Summarizing our results: one, all-time record net new ARR of $331 million for the quarter, which grew 47% year over year, coming in well ahead of our expectations. For the year, we delivered $1.01 billion in net new ARR, up 25% year over year, our first year delivering over $1 billion of net new ARR. Two, ending ARR of $5.25 billion, crossing the $5 billion milestone, which accelerated to 24% growth year over year. CrowdStrike Holdings, Inc. is the fastest and only pure-play cyber software company to achieve this milestone.

Three, record free cash flow of $376 million for the quarter, or 29% of revenue, and for the year, we delivered record free cash flow of $1.24 billion, or 26% of revenue. Four, all-time record operating income of $326 million for the quarter, or 25% of revenue. This is the third consecutive quarter of record operating income. For the year, we delivered $1.05 billion of operating income, exceeding the billion-dollar operating income milestone for the first time. Five, record net new ARR from cloud, NextGen identity, and 45% year over year. Amidst today’s AI backdrop, our endpoint business accelerated for the second consecutive quarter.

Six, dollar-based net retention of 115% and gross retention of 97%, showcasing best-in-class durability and stickiness, which leads to my final point. Seven, we delivered $1.69 billion in ending ARR from accounts that have adopted the Falcon Flex subscription model, growing more than 120% year over year, turbocharging our land-and-expand motion. Our Q4 and FY2026 execution showcases CrowdStrike Holdings, Inc.’s leadership in every theater, every segment, and every route to market. In our third consecutive quarter of net new ARR acceleration, the voice of the market is clear. CrowdStrike Holdings, Inc. is durable, mission-critical infrastructure for both securing AI and accelerating global AI adoption. We find ourselves in one of the most defining times in the history of modern technology.

AI has gone from dream works to reality, now increasingly in production across the enterprise. From CrowdStrike Holdings, Inc.’s founding, we have been building AI innovation for cybersecurity.

George Kurtz: Yet the pace of AI innovation is broadly misunderstood. Novel discoveries are often interpreted as the death knells of existing categories. The market is questioning enterprise software’s role in an agentic world. It is in moments like these where opportunity is created. In the same way that we anticipated the cloud revolution, we pioneered and built for the agentic revolution. Here is what I see unfolding in the market. We see the AI revolution creating two disparate groups of software companies. Group one, those who are now existentially vulnerable. These are historically nice-to-have technologies that are productivity features and point products geared to legacy pricing models. Group two, those who will thrive.

These are mission-critical, trusted infrastructure technologies necessary for global continuity with deep IP. These technologies are net data creators producing novel, fresh, and proprietary data that does not exist elsewhere. Data that is fuel for the agentic business outcomes. In these companies, proprietary data is just one part of the advantage. The other is trusted enterprise architectural superiority, which drives stickiness, adoption, and scale. Here is why CrowdStrike Holdings, Inc. is winning and how AI is driving even more competitive success for us. One, our competitive moat is becoming an opportunity ocean. Falcon is a vertically integrated net data creator and third-party data aggregator.

We generate real-time data that no one else has from customer environments and our world-class threat intelligence. What frontier AI labs cannot do, we have been doing for over a decade: cyber reinforced learning from human feedback, or RRLHF, at scale. Our MDR analysts, threat hunters, and incident responders produce expert-labeled data as a byproduct of operations. These labels do not come from internet text. They come from stopping real breaches in real time. Threat Graph correlates more than a trillion security events per day across approximately 2 trillion vertices, analyzing 15+ petabytes of data. Structured, queryable, security signals at scale no one can replicate. Frontier models can augment security, summarize alerts, draft queries, speed up triage.

That is extremely valuable, but stopping breaches requires sensors, real-time telemetry, continuous expert validation, and enforcement. A closed-loop system, not a text model. As our technology evolves, our data improves. As our data improves, our platform evolves. As our experts validate outcomes, our AI agents get better. This is a flywheel and network effect that no one else has in cybersecurity at our size and scale. It is how we stand behind our brand promise of stopping breaches. This dynamic is not cyclical. It is structural. Two, we win because Falcon is purpose-built for securing AI at every layer. The layers of the new AI stack are the attack surface of the future, and Falcon can secure all of them.

AI must be secured at every level, including one, GPU foundation, partnering with NVIDIA, AMD, Intel, and others to secure AI at the source. Two, hardware and infrastructure OEMs, securing AI factories such as Dell, HPE, and Super Micro and novel AI operating systems such as VAST Data. Three, neoclouds and hyperscalers, securing where AI happens in the cloud across AWS, OCI, GCP, Azure, and inference disruptors such as CoreWeave, Nebius, and Caruso. Four, token factories, securing the use of frontier model creators like Anthropic, OpenAI, and Google Gemini. And five, AI applications and agents, securing AI-native software and the agentic workforce.

Not only do we secure the use of each of these companies’ products, but we also secure nearly all of the companies themselves. We secure the world’s AI future by securing the world’s AI leaders. And three, we win because efficacy and precision matter more than ever. In cybersecurity, you simply cannot have a hallucination. You cannot prompt twice. It is first time, final. It is the difference between thwarting an adversary or experiencing a breach. Cybersecurity is a unique paradigm. Success for us and our customer is, did we stop a breach? We win because cybersecurity needs to be faster and more deterministic than ever before, and we uniquely deliver superior outcomes.

Agentic SOC and AI technologies are transforming security. CrowdStrike Holdings, Inc.’s AI innovation is setting new adoption standards on the journey to delivering security AGI. Charlotte is our flagship agent, and now we have 10 other agents representing specific security skills and roles within security teams. Between Charlotte and our other agents, we can already see the mobilization of security’s agentic workforce working hand in hand with human security professionals. Coming back to Charlotte, our agentic SOC workforce is built from multiple models, allowing us to optimize from the latest and greatest LLMs. We couple industry innovation with our own AI expertise, training in models from security’s richest data source, Falcon adversary, threat, and security analyst training data.

We saw Charlotte usage soar more than 6x year over year as ARR more than tripled. A thematic win was in a leading cloud software provider in an eight-figure Flex transaction. The Flex expanded the adoption of NextGen SIEM and Charlotte. Their 30-day use of Charlotte tells a compelling story, achieving a 3x faster mean time to respond. Using the power of our domain-specific AI, Charlotte accelerates, streamlines, and democratizes security outcomes. Technology innovation is just one part of our success. Our results are also driven by our go-to-market innovation, creating the revolutionary Falcon Flex subscription model, which we now see mimicked across cybersecurity.

The model transformed our discussions with customers to demand planning based on risk, data, attack surface, and overall platform capabilities. Let me share our Q4 Falcon Flex performance within the now $1.69 billion ending ARR cohort of Flex account value, growing greater than 120% year over year. We now have more than 1,600 customers who have adopted Falcon Flex and added more than 350 Flex customers in Q4. That amounts to nearly four new Falcon Flex customers each day of the quarter. The average Flex customer’s ending ARR is greater than $1 million. The proof of Falcon adoption success is in the Reflex. Customers are using what they buy and expanding their Flex commitments.

More than 380 Flex accounts have already Reflexed, representing more than 23% of the Flex customer base, up from 5% in Q1. The average ARR lift after a Reflex is 26%, happening on average within seven months. And the platform adoption grows even further from there. We are now tracking the number of customers who are repeat Reflexers. Nearly 100 customers have Reflexed multiple times. The multiple-time Reflex cohort now represents approximately 6% of total Flex customers, and over a quarter of all Reflex customers. Our multiple-time Reflexers, on average, have an ARR lift of an additional 48% from their initial Flex subscription. In summary, Falcon Flex unlocks never-before-seen adoption for customers. Flex is now how we go to market.

A key win includes a major enterprise software player that started with using one module, threat intelligence, and spending low six figures. Through Falcon Flex, this customer is now using 25 modules and spending $86 million in total Flex contract value with us. Flex is creating its own flywheel. Demand drives use. Use drives more demand. Flex is the stage on which our platform solutions shine. Collectively, our NextGen identity, cloud, and NextGen SIEM businesses grew more than 45% year over year, reaching more than $1.9 billion in ending ARR. Our NextGen identity business ended FY2026 with more than $520 million of ending ARR, growing more than 34% year on year, a double-digit acceleration versus two quarters ago.

Key drivers include our Privileged Account Security solution, which grew more than 170% sequentially. Falcon Shield NAAR grew more than 300% year over year, more than 5x since our acquisition of Adaptive Shield, as customers protect the rapidly growing agentic SaaS attack surface. Our ability to secure both human and agentic identities, wherever they exist, is rapidly turning CrowdStrike Holdings, Inc. into our identity secure control plane. A key identity win: an iconic department store selecting CrowdStrike Holdings, Inc. over an SMB point product in a seven-figure deal, driven by the ease of use of our ITDR and PAM solutions in a Flex consolidation.

While our NextGen identity business had an excellent quarter, we are most excited for what is ahead. We recently closed the acquisition of Signal AI—this is SGNL—bringing the power of zero standing privilege for all identities to the Falcon platform. With Signal AI, CrowdStrike Holdings, Inc. is delivering high-fidelity, context-driven, real-time authorization to the market, enabling our customers to rapidly reduce their identity attack surface even as they rapidly expand the number of identities within their organization. We are moving access from static point-in-time to real time and redefining zero trust. Access should be always on, granular, and dynamic. But we are not stopping there.

Our recent acquisition of Seraphic turns any browser into a secure enterprise browser without impacting user behavior. The browser has become the front door for AI applications, and Seraphic meets human and non-human use where they are and where they are going—agentic browsers for real-time visibility and protection. Turning to our cloud business, where net new ARR growth accelerated for the second consecutive quarter and ending ARR grew more than 35% year over year. For the first time, our cloud business exceeded $800 million in ending ARR as our customers look to us to secure the infrastructure powering their AI future.

Our unique ability to operate in runtime at scale continues to set us apart from the rest of the market. A key win in our cloud business was with a major enterprise data platform company who deployed Falcon Cloud Security in an eight-figure total deal value Flex. After extensive testing, this account ripped out their existing provider for our runtime protection-first approach, realizing the integrated benefits of CSPM and a 90% reduction in mean time to detect and respond for the cloud environment. Turning to our NextGen SIEM business, where we delivered a record quarter. Our NextGen SIEM business grew over 75% year over year, delivering ending ARR of more than $585 million.

NextGen SIEM has proven itself a scaled market disruptor, where our performance and cost advantages set us apart from legacy competitors. At the same time, our launch of agentic security workflows is powering the cybersecurity operating system of the future. With Falcon Onum, we are enabling our customers to connect data sources quickly and efficiently, resonating with both security and IT teams. A key win in the quarter was with a Fortune 500 retailer, highlighting our strength and momentum in the NextGen SIEM space. In the seven-figure deal, we replaced the legacy SIEM and its attached point product data pipeline.

Falcon’s fully native data pipeline and an expected 80% faster query performance was a game-changer in helping this customer build out their agentic SOC. Rounding out our product portfolio, I want to touch on our endpoint and other AI-specific businesses. Amidst the backdrop of accelerating AI proliferation, our endpoint business accelerated for the second consecutive quarter. The endpoint is rapidly becoming the epicenter of AI usage, driven by the growth of technologies ranging from MCP servers to coding tools to localized LLMs. AI is the fastest-growing attack surface on the endpoint. As of Q4, our sensors detected more than 1,800 distinct AI applications running on enterprise devices, representing nearly 160 million unique application instances across our customer base.

And with the acquisition of Seraphic, we now give our customers even more control over their knowledge workers’ usage of AI tools. Lastly, I want to touch on our recently launched AIDR offering. In just a short time, AIDR has become one of our most in-demand products, growing more than 5x versus last quarter, despite having only been available for a few weeks. AI adoption is moving faster than can be controlled, and our AIDR offering gives customers immediate visibility into their employees’ usage of AI tools, including the specific models being used, as well as detections into potentially malicious or non-compliant usage.

Bringing model scanning, visibility, guardrails, and detections to AI usage positions CrowdStrike Holdings, Inc. as a catalyst for enterprise AI adoption. Concluding the discussion on our platform solutions, seeing is believing. Please reference our investor deck, which now includes a link to product demo videos showcasing AI innovation across the Falcon platform. Our partner go-to-market delivered beyond expectations this past year. We saw growing practices across Accenture, Deloitte, HCL, Wipro, KPMG, and Infosys taking shape focused on NextGen SIEM migrations. Our MSSP business also continues to grow at a rapid pace. In just over three years, we have gone from a sub-$100 million MSSP business to more than $1.3 billion, spanning market-leading partners like Kroll, Pax8, and NinjaOne.

Finally, our hyperscaler leadership continues to differentiate CrowdStrike Holdings, Inc. from every other cybersecurity player. This past year alone, we did nearly $1.5 billion of total contract value on the AWS Marketplace, growing nearly 50% year over year. Then a few weeks ago, Satya Nadella and I spoke to CrowdStrike Holdings, Inc.’s go-to-market team together. We are now open for business on the Microsoft marketplace, and customers can use their Microsoft Azure consumption commitment dollars on Falcon. This is a watershed moment, reflecting a clear evolution of how our companies see each other—how Microsoft and CrowdStrike Holdings, Inc. are working together to make the world a safer place.

In summary, we did not just have a great partner year, we built an ecosystem to win the next decade. Closing my remarks today, I am proud of the team and our partners for executing a terrific FY2026. Here are my key takeaways as I look at the business today and into the future. First, CrowdStrike Holdings, Inc. is an AI adoption accelerator. Our customers are safely and securely using more than 1,800 distinct AI applications on their endpoints, which would not be possible without CrowdStrike Holdings, Inc. Second, AI use necessitates AI security. Every enterprise deploying AI needs an independent protection layer for visibility, compliance, and enforcement.

As AI adoption grows, CrowdStrike Holdings, Inc. becomes even more of a necessity to these organizations. And third, our data moat creates a structural advantage. Delivering cybersecurity at scale requires more than a prompt. It requires expert-labeled telemetry from our global sensors, MDR analysts, and elite incident responders. It is a structural advantage no LLM provider can replicate. In addition, agentic cybersecurity requires in-line prevention as well as real-time remediation. Since the founding of CrowdStrike Holdings, Inc., we created an AI-native platform. Enterprises have trusted us to help them safely navigate market transitions like digital transformation and cloud migration.

The AI revolution is now upon us, and just like prior market transitions, adoption of AI will be secured by CrowdStrike Holdings, Inc. Thank you for your trust. I will now turn the call over to Burt Podbere, CrowdStrike Holdings, Inc. CFO. Thank you, George, and good afternoon, everyone.

Burt Podbere: As a quick reminder, unless otherwise noted, all numbers except revenue mentioned during my remarks today are non-GAAP. We delivered exceptional fourth quarter results and a record finish to the year, exceeding expectations across all guided metrics, driven by continued Flex and Reflex momentum and strong organic growth across the platform. FY2026 was a milestone year for CrowdStrike Holdings, Inc. For the full fiscal year, ending ARR growth accelerated to 24% and net new ARR accelerated to 25% year over year. We delivered this record top-line performance while exceeding our profitability and free cash flow targets.

Operating income reached a record $1.05 billion, or 22% of revenue, and we delivered record free cash flow of $1.24 billion, or 26% of revenue. The combination of growth, scale, profitability, and cash flow puts CrowdStrike Holdings, Inc. in rare air. The strength of our platform and the significant market opportunity ahead further reinforce our conviction in the path to achieving our future growth of $10 billion and $20 billion of ending ARR, as well as our target profitability model. Our full-year momentum was punctuated by an exceptional fourth quarter. We achieved record net new ARR of $330.7 million, up 47% year over year and well ahead of our stated expectations, driving ending ARR to $5.25 billion.

Our fourth quarter results showcase the success of our Flex-led go-to-market strategy. Momentum was broad-based across customers of all sizes, from enterprise to down-market and MSSPs, achieving another record quarter in our corporate business. Customers continue to leverage Falcon to consolidate their security needs and lower their total cost of ownership, resulting in higher retention rates over the prior quarter and strong module adoption rates. As of Q4, 50% of subscription customers are now using six or more modules, 34% are using seven or more, and 24% are using eight or more modules. Our gross retention rate remained high at 97%, and our dollar-based net retention rate increased to 115% in the quarter.

At our more than $5 billion ending ARR scale, these retention rates highlight the durability of our customer relationships and our ability to both retain and expand our customer base. Our strong business momentum and Q1 record pipeline entering FY2027, which grew 49% year over year, give us conviction in our ability to deliver profitable growth throughout FY2027 and beyond. As we lapse the one-year mark from the end of our highly successful CCP program, we have seen that accounts that took CCP deals have gross and net retention rates higher than the company average, have shown a strong trend of early renewal, and have already expanded more than twice the total $80 million of ARR value we provided.

Moving to the P&L, total revenue exceeded our guidance range and grew 23% over Q4 of last year to reach $1.31 billion. Subscription revenue grew 23% over Q4 of last year to reach $1.24 billion, and professional services revenue remained strong at $63.1 million, up 26% year over year, driven by the elevated threat environment. The geographic mix of fourth quarter revenue consisted of approximately 66% from the U.S. and 34% from international geographies, with both EMEA and APAC year-over-year revenue growth accelerating compared to Q3. We saw broad strength across all our major geographic markets, with the U.S., Japan, Europe, the Middle East, and Africa all exceeding expectations.

Total Q4 non-GAAP gross margin was a record 79%, and Q4 non-GAAP subscription gross margin was a record 81% of revenue, primarily as a result of continued cloud optimization. Fourth quarter non-GAAP operating income was a record $325.8 million, and non-GAAP operating margin was 25%, exceeding our guidance. The outperformance was driven by our strong top-line performance, gross margin improvement, and sales execution, underscoring our commitment to durable, profitable growth as we continue to balance strong net new ARR growth and operational excellence. In Q4, we delivered positive GAAP net income attributable to CrowdStrike Holdings, Inc. of $38.7 million.

Non-GAAP net income attributable to CrowdStrike Holdings, Inc. was a record $289.1 million, or $1.12 on a diluted per share basis, exceeding our guidance. Moving to cash, our cash and cash equivalents increased to $5.23 billion. We generated record cash flow from operations of $497.9 million and record free cash flow of $376.4 million, or 29% of revenue. Our FY2027 outlook reflects our confidence in the durability of CrowdStrike Holdings, Inc.’s growth trajectory, profitability expansion, and cash flow generation. The fundamental tailwinds—platform consolidation, AI proliferation, and Flex adoption—are continuing to gain momentum.

As George mentioned earlier, we see the AI revolution creating two disparate groups of software companies: one, those who are now existentially vulnerable, and two, those who will thrive. CrowdStrike Holdings, Inc. is thriving amid the AI revolution, as we not only leverage AI within our entire platform, but our platform helps organizations adopt AI safely and securely. The AI revolution represents a new and generational growth opportunity for CrowdStrike Holdings, Inc., as accelerating AI adoption necessitates security built for this next era of technology. As AI adoption accelerates, combined with our record Q1 pipeline and continued platform consolidation momentum, we have strong conviction to once again raise our FY2027 ARR outlook.

The outlook we are providing today includes the acquisitions of Signal and Seraphic, both of which closed in February and are expected to contribute a combined $5 million to $8 million of acquired net new ARR in Q1. We are assuming minimal organic contribution from these acquisitions in the remaining quarters of FY2027, as we remain committed to natively integrating their capabilities into the Falcon platform before fully scaling go to market, consistent with our proven M&A strategy and brand promise. We expect FY2027 net new ARR seasonality to remain unchanged relative to FY2026, with approximately 41% in the first half and 59% in the second half.

Beginning in Q1, we are changing the sales commission amortization expense period from four to five years to reflect our longer customer relationship periods. We expect this change to benefit non-GAAP operating income by $85 million to $95 million in FY2027, partially offset by additional operating expenses resulting from the integration of our recent acquisitions of Signal, Seraphic, Onum, and Pangaea of $74 million to $80 million. For a detailed breakout of the acquisition impacts to our guidance, please refer to the guidance slides of our Q4 FY2026 earnings presentation available at ir.crowdstrike.com following our prepared remarks today. Additionally, we remain confident in our previously provided assumptions for FY2027 partner rebates to represent approximately 0.8% of total revenue.

Moving to interest income, based on expected market rates and cash outlay from our recent acquisitions, we are assuming interest income of $160 million to $170 million for FY2027. Moving to cash, at the midpoint of our guidance, we expect free cash flow margin to be approximately 33% in Q1 and at least 30% for the full fiscal year. In FY2027, we expect the seasonal mix of free cash flow dollars between the first and second half of the fiscal year to be 43% in the first half and 57% in the second half, with Q2 remaining our seasonally lowest quarter.

We anticipate capital expenditures as a percentage of revenue to be 7% to 8% in FY2027, with these investments more weighted to the first half of the year. Finally, as of March 2, we repurchased approximately 144,000 shares following our fiscal year end and had approximately $950 million remaining under our current share repurchase authorization. We will remain opportunistic in returning capital to shareholders as we remain focused on capturing the significant growth opportunities ahead of us.

For Q1 FY2027, we expect annual recurring revenue to be in the range of $5.502 billion to $5.504 billion, inclusive of the estimated acquired ARR and reflecting a year-over-year growth rate of 24%, translating to net new ARR of $249 million to $251 million, reflecting a year-over-year growth rate of 29% to 30%. We expect total revenue to be in the range of $1.36 billion to $1.364 billion, reflecting a year-over-year growth rate of 23% to 24%. We expect non-GAAP income from operations to be in the range of $308 million to $310 million, and non-GAAP net income attributable to CrowdStrike Holdings, Inc. to be in the range of $275 million to $277 million.

We expect diluted non-GAAP net income per share attributable to CrowdStrike Holdings, Inc. to be approximately $1.06 to $1.07, utilizing a 21% tax rate and weighted average share count of approximately 259 million shares on a diluted basis. For the full fiscal year 2027, we expect annual recurring revenue to be in the range of $6.466 billion to $6.516 billion, reflecting a year-over-year growth rate of 23% to 24% and translating to net new ARR of $1.213 billion to $1.264 billion, reflecting a year-over-year growth rate of 20% to 25%. We expect total revenue to be in the range of $5.868 billion to $5.928 billion, reflecting a growth rate of 22% to 23% over the prior fiscal year.

Non-GAAP income from operations is expected to be between $1.422 billion and $1.462 billion. We expect fiscal 2027 non-GAAP net income attributable to CrowdStrike Holdings, Inc. to be between $1.241 billion and $1.271 billion. Utilizing a 21% tax rate and approximately 260 million weighted average shares on a diluted basis, we expect non-GAAP net income per share attributable to CrowdStrike Holdings, Inc. to be in the range of $4.78 to $4.90. George and I will now take your questions.

Operator: Thank you. We will now open for questions. If you would like to ask a question, please click on the Raise Hand button, which can be found on the bar at the bottom of the Zoom window. You may remove yourself from the queue at any time by lowering your hand. When it is your turn, you will hear your name called and receive a message on your screen notifying you that you may unmute yourself. In the interest of time, participants will be limited to one question. Our first question comes from Joe Gallo at Jefferies. Please unmute your line.

Joe Gallo: Hey, guys. Thanks for the question. Really nice results and guide. George, securing AI is a huge market opportunity. Would love your thoughts on, one, when securing AI materializes to ARR meaningfully for you. Is that a fiscal 2027 story? And then two, you know, how much of the new market opportunity goes to pure-play cyber? In cloud, people certainly use the hyperscalers for some of their security needs. Just curious how much of that new AI market goes to pure-play cyber vendors like yourselves? Thank you.

George Kurtz: Yeah. Thanks, Joe. Obviously, we are still in the early innings, but we continue to ramp in protecting AI. I mean, it is happening today in terms of ARR growth. And we are obviously blown away by what we have seen with Pangaea and AIDR. It was up 5x quarter over quarter from when we acquired the company. So we are really excited about that. The other piece to keep in mind is that not only is it going to drive AIDR growth, but we are going to see growth in protecting attack surfaces like cloud. We are going to see growth in NextGen SIEM. We are going to see growth in other areas that all touch AI.

So from that standpoint, as I said, early innings but lots of opportunity for us. And I think with regards to hyperscalers, I am glad you asked the question because when I started the company in 2011, we pioneered cloud-delivered security. And over the years, as cloud was maturing, you know, I heard a lot about the hyperscalers actually providing all the security services. Well, that did not happen. In fact, as you have seen with our results and our partnership with AWS, as an example, we transact billions through these platforms, and they are a great partner. And there is a lot more exposure in the cloud.

So we see the same thing happening with what I call AI hyperscalers. Being able to actually partner with these hyperscalers, leveraging AI and their LLMs, and also being able to leverage the technology to provide better outcomes within the platform of record for our customers, which is Falcon.

Andy Nowinski: Thanks, Joe. Operator, next.

Operator: Our next question comes from Rob Owens at Piper Sandler. Please unmute your line.

Rob Owens: Great. Thank you for taking my question. And, George, you talked about the 10 other agents that you guys have, Charlotte, and some of the traction that CrowdStrike Holdings, Inc. is seeing with these security agents. But can you provide color on some of the recent acquisitions? When we look at agentic security more broadly, where are customers in their journey and do you see identity as maybe one of the main hurdles for them getting agentic deployments at scale? Thanks.

George Kurtz: Yeah, Rob. Identity is one of the biggest threat vectors right now that we see. In fact, in one of our latest threat reports, you know, 80% of the breaches are non-malware based. Right? A lot of it is around identity. And between the identity stack that we have built over the years—again, we got into identity security in 2020. We built that out. It is a big business. And now, really, with the addition of Signal AI, this is, in my mind, game-changing technology.

To have zero standing privileges, to be able to protect non-human identities and human identities in a much more modern stack than anything else that is out there in the market, it is a perfect fit to CrowdStrike Holdings, Inc. and our platform. You combine that then with something like Seraphic and browser security. So now you are able to protect the front door of really where these attacks happen, plus where AI takes place. And you add the identity layer to that. And, again, we are providing something that we think is going to be very unique in the industry. And, of course, Pangaea, which is our AIDR product.

When you look at EDR in today’s market, EDR is a must. It is a compliance mandate, and we believe that AIDR will be a similar opportunity to EDR in the coming years, driven by compliance and the need to accelerate protecting AI.

Andy Nowinski: Operator, next question.

Operator: Our next question comes from Fatima Boolani at Citi. Please unmute your line. Good afternoon. Thank you for taking my question.

Fatima Boolani: George, I wanted to direct this to you. I had a question about Next Generation SIEM opportunity. There are very much percolating fears that the open-ended SOC modernization share capture opportunity that had, you know, thus far been pretty open-ended is perceived to maybe be at more risk from what the frontier labs may or may not be pursuing.

So maybe in the context of the opportunity ocean commentary in your prepared remarks, can you help us with a deeper explanation and understanding of what your current nature of relationship, partnership, and integration is with the frontier labs and the frontier models, and how should we very critically think about the durability of your moat from any potential commoditization from an architectural or technical or, frankly, any other relevant contextual standpoint. Thank you.

George Kurtz: Yeah. Yes. Great question. So when you look at what we have built, and I talked about this in the prepared remarks, we are a net data creator. Right? We have telemetry that we create from our agents and from other parts of our platform that is unique. We put it into various data stores, including NextGen SIEM and our Threat Graph. And we are able to understand the threats in real time with real-time prevention. That is vastly different than what the LLM providers and frontier models do. Now, we certainly leverage the frontier models. We have our own small language models. We have our own curated data.

So driving consolidation, I think we get the best of both worlds, but we are doing this in a platform that has millions and millions of workflows on already and becomes very, very sticky. So from the standpoint of our NextGen SIEM, you have got to look at the agentic SOC opportunity and what we are doing with Charlotte and the agents that we have created, where we are driving meaningful change in the SOC. We are overall driving down costs and getting better outcomes, and we are doing it in a compliant way. To be a security vendor, you have to have trust. Customers are driven by compliance. And we are the epicenter of creating this data.

So what we also are open to is having an open model. We have customers that create their own agents, leverage our technologies, that leverage our MCP services. And this is part of having an open platform, which is why our customers love CrowdStrike Holdings, Inc. Thanks, Fatima.

Andy Nowinski: Operator, next.

Operator: Our next question comes from Saket Kalia at Barclays. Please unmute your line.

Saket Kalia: Okay. Great. Hey, guys. Thanks for taking my question here. Great finish to the year. George, maybe for you. You know, the cloud security business, I think, is the biggest piece of that three-platform product group, if you will. And it has continued to add a consistent amount of net new ARR dollars over the last few years, which has been great to see. The question is, how do you see the competitive environment in cloud security right now, and how do you think about the longevity of the growth in that market as you look out into the future?

George Kurtz: Well, when we look at the cloud market, I could not be prouder of our execution and the products that we brought to market. One of the areas that we focused on, as you know, for a long time, is runtime protection, and that is the technology that really is focused on stopping breaches. And I think customers have realized just by having the ability to understand exposures does not mean you are going to stop the breach. So with our CSPM technology and a lot of the other technologies that we have acquired, like Falcon Shield, it has become an extremely potent offering for our customers. And, again, why is it resonating? One, the technology works.

Two, it all works together, and we are able to drive down costs and complexity and get a better outcome, which is stopping the breach. It is not just about reporting on some exposures. It is about understanding the overall control plane in the cloud and being able to protect it. And we are giving the customers what they want, and that is the right outcome, at a much lower cost than the competitors that are out there. So I think that is why, in a nutshell, you are seeing the results in our cloud business. Thanks.

Andy Nowinski: Operator, next question.

Operator: Our next question comes from Brian Essex at JPMorgan. Please unmute your line.

Brian Essex: Great. Good afternoon. Thank you for taking the question and congrats on some nice results. And, Burt, congrats on the return to GAAP profitability. Really good to see. Maybe a quick question for you, George, on identity. Great to see the acceleration there. Could you unpack that business a little bit and help us understand? I mean, obviously, identity was one of the segments that, you know, was part of the CCP incentive plans that you guys were pursuing. How much of the resurgence in growth there on the identity side is, I guess, renewal of CCP or Flex deals versus net new kind of emerging identity product? It would be great to get a feel underneath the covers there.

George Kurtz: Well, it is one of the modules everyone wanted, and, certainly, it was a fan favorite in the days of CCP. So, you know, we are seeing success from that. And as I have mentioned many times, once a customer engages with a module, it is an extremely high likelihood that they are going to continue to renew that. So we continue to see that.

But I think, overall, you have to look at the threat landscape and the fact that identity—really one of the compromised identity—is really one of the number one drivers of breaches, and customers are focused on being able to protect those identities both in the cloud and on-premise, if you will, and there is a massive compliance need for something like ITDR. So we are getting the benefit from the platform consolidation piece, and we are also getting the benefit from having a very mature stack now. Not only can we prevent these sort of breaches with ITDR, but you include now Falcon Shield, protecting SaaS identities.

And then you kind of look at what we have done with, you know, our PAM offering. It has been very, very well received by our customers. So I think that is why you are seeing our opportunity continue to grow there. And as I said earlier, we could not be more excited about the Signal AI acquisition that we just completed.

Andy Nowinski: Thanks, Brian. Operator, next question.

Operator: Our next question comes from Brad Zelnick at Deutsche Bank. Please unmute your line.

Brad Zelnick: Great. Thanks so much for taking the question. George, Burt, congrats on a really strong finish to the year and impressive ARR guidance out of the gate next year, implying 22.5% net new growth, which is above your prior commentary and now off of even a higher base. After such a strong fiscal 2026, this obviously stands out in a very good way. Can you talk about the building blocks that get you there, and especially how to think about the renewal opportunity that you have visibility to and the expansion opportunity, given just how much you can address today versus when many of those customers might have last transacted? Thank you.

Burt Podbere: Hey, Brad. You know, thanks for your comments. And I will give you an insight into how we thought about, you know, the guide. I mean, first and foremost, it starts with the strong momentum that we are seeing in—we saw in Q4—broad-based demand from all business sizes, whether it was enterprise all the way down to MSSPs. And then that rolled over into Q1, when we talked about the record Q1 pipeline, which grew 49% year over year. Then, as George mentioned, CrowdStrike Holdings, Inc. is thriving in this AI revolution. We are not only leveraging AI within the entire platform, but our platform also, you know, helps organizations use AI securely—that is the key.

And then I think we are still benefiting from the consolidation tailwinds. Customers continue to seek the best outcomes, you know, at the lower TCO, which we help to provide. And the consolidation really comes from, you know, the strength of our platform. You know, you look at cloud, NextGen identity, and NextGen, you know, SIEM. Collectively, we posted a record net new ARR, resulting in $1.9 billion in ending ARR, up 45% year over year. And look at endpoint. They accelerated for the second straight quarter on the heels of AI-driven demand. And then you tag onto that the success that we saw in Flex. We added over 350 Flex customers in Q4.

The average Flex customer ending ARR was over a million bucks. Those guys have adopted nearly 10 modules, well over our company average. And then Reflex. You know, we have greater than 380 Reflex customers. The average time for a Reflex is seven months. One hundred customers Reflex multiple times, with the average ARR lift post-Reflex for this cohort at 48%. These are really, really great numbers for us. And so you combine all those things and other things. Gave us, you know, the confidence to be able to come out with the guide that, you know, that we came out with for net new ARR for next year.

Brad Zelnick: Great. Thanks.

Andy Nowinski: Next question, please.

Operator: Our next question comes from Matt Hedberg at RBC. Please unmute your line.

Matt Hedberg: Great. Thanks for taking my question, guys. Congrats from me as well. George, I wanted to ask about pricing. Obviously, Flex and Reflex are doing extremely well. But there are obviously a lot of concerns that I think we are all seeing out there about potentially fewer knowledge worker seats in the future due to AI. The flip side of that is way more agents. So I guess two-part question. First, do you think about agent pricing, and second, how well does Flex position customers for this potential mix shift? And could consumption become a bigger element to the growth algorithm?

George Kurtz: Well, when we look at the overall threat and how we go to market, obviously, we protect endpoints and cloud workloads. You have to look at those in totality. But now we have the opportunity to protect AI agents. And, you know, industry stats are that each knowledge worker will have 90 AI agents. So even if the mix moves around, we have a massive opportunity to protect AI agents. We have a massive opportunity to protect all of these AI cloud workloads. And, you know, from what I have seen in different technology shifts, we tend to create, you know, more opportunity as technology advances, not less opportunity.

So that is the way we would view that piece of it. In terms of Flex, look, it has been a smashing success. There is a reason why so many other companies sort of copied our model and tried to copy it. Customers like it. You can see the success in the numbers. And it just makes it so much easier to help customers very quickly. You look at the acquisitions we did. They were available immediately to customers as soon as the deal closed, you know, and/or we went to a GA, but we did not have to go through another procurement cycle.

So that is really the model that we are leading with going to market this year, and we could not be more excited about it. And I think the Flex results speak for themselves. Thanks, Matt.

Andy Nowinski: Operator, next.

Operator: Our next question comes from Roger Boyd at UBS. Please unmute your line.

Roger Boyd: Great. Can you hear me okay? Okay. Great. George, I want to go back to your comments on why you are best positioned to benefit from AI SOC. And I appreciate your comments around your approach of tech plus human expertise and the flywheel that creates, giving you an advantage in terms of operationalizing this technology. I think it is also maybe the lowest-friction way for some enterprises to benefit from some of this emerging tech. And I guess with that in mind, what sort of growth are you seeing with the managed service offerings like Complete and OverWatch, relative to the acceleration you are seeing in the overall endpoint business right now? Thanks.

George Kurtz: Yeah. Those businesses continue to grow extremely well, and when you look at why, it is because we are getting the right outcome that customers need. One of the things that we track is mean time to detection, mean time to remediation. We are absolutely best in class for customers. It is very difficult for them to replicate what we do. Why? Because it is the network effect. Right? It is the full view that we see in over 176 countries where we actually have our SOC operating.

So when you are at the tip of the spear and seeing the activity—our technology, the tip of the spear in responding to some of the biggest breaches in the world—combined with our threat intelligence, you have got the right understanding and the right DNA to create the right technology and outcome for customers. So that is what we continue to see. Obviously, they are leveraging our technology and we are providing the automation.

But there are many, many customers who do not have the skills or expertise to get the outcomes that we provide, which is stopping the breach, identifying these sorts of threats, remediating much faster than they ever could, and ultimately giving them the best outcome for a cost that is very hard to replicate. And that is why it has been a fantastic success for us.

Andy Nowinski: Thanks, Roger. Operator, next.

Operator: Our next question comes from Gabriela Borges at Goldman Sachs. Please unmute your line.

Gabriela Borges: Hey. Good afternoon. Thank you. George, I really appreciated your comments on what LLMs are not and as a change to the RHLF commentary. I want to ask you the opposite question. What do you think the role is of an LLM in cybersecurity use cases, whether it is on the coding side or the pen testing side? Even the data aggregation side, what role do you think they should have? Thanks.

George Kurtz: I mean, I guess I will talk just in general terms for LLM providers. And they are certainly good at a lot of things. They can help sort through lots of data very quickly. And it is something that, you know, the security industry and most security players are leveraging. In our particular case, we certainly leverage technology like that, but we have built our own bespoke models depending on the module and trained in a certain way, with the vertical expertise to get the right outcome. Here is what you have to remember: what customers want is real-time prevention.

You have to be in line, you have to be able to get the data in milliseconds, and you have to make a decision. That is the technology. That is not the case with an LLM. There are many great things it can do, and it is certainly fantastic, but it is not stopping any breaches in real time. And that is one of the areas, I think, again, where we shine. So from my perspective, we continue to work with them. We continue to partner with them. They are amazing technologies. And I think it really is going to be the better-together approach, you know, as the industry goes forward. Customers want to leverage their own models.

You know, we leverage NeMoTron with NVIDIA. It is an unbelievable time to be in tech. And you are going to have agents talk to agents and our agents talking to agents that are, you know, inside their network. But at the end of the day, as the platform system of record for security, this is where you want to be. It is a very sticky place. We create the data. We curate the data. Again, we want to be open and work with any of the models that are out there. And we want to meet our customers where they have AI and leverage their technologies as well as ours.

Andy Nowinski: Great. Thanks, Gabriela. Operator, next.

Operator: Our next question comes from Todd Weller at Stephens. Please unmute your line.

Todd Weller: Yes. Good afternoon. Appreciate the question. George, this is the second quarter of endpoint acceleration. Can you talk about what is driving that? How you think about the durability of the growth acceleration? And then related to this, there has been a lot of action in the market recently around browser security. Do you see that as a new category or as an extension of endpoint? Thank you.

George Kurtz: Well, when you think about endpoint acceleration, it is a simple answer: AI. You know? We have talked about it, and we are showing it in the results. And, I mean, one of the biggest things you look at—you know, OpenAI tools come out. Our customers immediately are looking at all of our technologies to be able to identify it, put controls around it, and make sure that they can leverage these technologies in an efficient and compliant way. So that is where AI meets the rubber—at the endpoint—and that is how people consume it. So that is where we are seeing it. And then you combine that with browser security.

You know, that is really the front door now for how people are interacting with AI models and LLMs and, you know, the various technologies that are out there, as well as how threats get into the environment. So you combine that with our agent and the ability to have protection across any browser, not just ask an organization to switch their browser. We can protect any browser that is out there. We tie it into our identity stack. And I can tell you the feedback from our customers—as soon as we made the announcement, they were looking at how fast can we get this technology—because they know our platform is going to be additive for them.

And we are excited about the category and the great company, Seraphic, that we acquired.

Andy Nowinski: Thanks, Todd. Operator, next question, please.

Operator: Our next question comes from Dan Ives at Wedbush. Please unmute your line.

Dan Ives: Yeah. It is a great, great quarter as always. I am, George, I was going to say, when it comes to Anthropic and cloud, and, obviously, all the worries out there—you hit it on the Q&A to some extent—cannot this also be a huge benefit to you as it just further spreads the word? And customers realize, essentially, what they do not have and you do have, especially the Microsoft partnership at the same time? Thanks.

George Kurtz: Yeah. You know, Dan, as I said in my prepared remarks, AI is a tailwind for us. And I mean, I take a simple approach: are we going to have more AI in the next year or two or five years? And for me, the answer is absolutely yes. And if that AI is being deployed with AI agents, you are going to need protection. You are going to need something like AIDR. You are going to need identity security. You are going to need browser security. You are going to need compliance around this. And that is the way we look at it. And, again, leverage the technologies that are out there. Why would we not?

And we have our own unique IP and our own models. So we get the best of both worlds. And there are many things that, you know, customers are looking for in these workflows and sort of data curation and knowledge in the security industry that you cannot just get from a general LLM model. So, you know, I have talked about this before. It is a great opportunity to work together, and that is really what we are focused on. Thanks.

Operator: Thank you. This concludes today’s question and answer session.

George Kurtz: Alright. Thanks, everyone, for their time today. We appreciate your continued support and look forward to seeing you at our upcoming events. Thanks so much.

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