Description
Zscaler’s Cloud Marketplace Surge: $900 Million Contract Value Signals New Momentum!
Zscaler, Inc. reported solid financial and operational performance in its third quarter of fiscal 2026, with adjusted annual recurring revenue (ARR) growing 25% year-over-year to $3.5 billion and total revenue reaching $850 million, up 25% from the prior year. The company demonstrated strong profitability with a non-GAAP operating margin of 23%, an increase of 140 basis points over the prior year, and generated $198 million in operating cash flow during the quarter. Year-to-date, Zscaler achieved 26% revenue growth and a 29% free cash flow margin, surpassing the “Rule of 55” benchmark. The company maintains a substantial cash position of $3.5 billion, balanced against $1.7 billion of debt. Zscaler emphasized its market differentiation through its cloud-native Zero Trust Secure Access Service Edge (SASE) platform, which is designed to provide comprehensive security across users, cloud workloads, branches, and emerging AI agents.
