Check Point® Software Technologies Ltd., today announced its financial results for the third quarter ended September 30, 2023.

Third Quarter 2023:                                                         

• Total Revenues: $596 million, a 3 percent increase year over year
• Security Subscriptions Revenues: $248 million, a 15 percent increase year over year
• Deferred Revenues: $1,709 million, a 4 percent increase year over year
• GAAP Operating Income: $226 million, representing 38 percent of revenues
• Non-GAAP Operating Income: $269 million, representing 45 percent of revenues
• GAAP EPS: $1.75, a 19 percent increase year over year
• Non-GAAP EPS: $2.07, a 17 percent increase year over year

“Our third quarter performance was strong, marked by a 17 percent increase in earnings per share and a 15 percent rise in security subscriptions revenues. We achieved total revenues near the top of our forecast range, with earnings per share hitting the peak,” stated Gil Shwed, Founder and CEO of Check Point Software. “In the past 60 days, we’ve successfully completed three acquisitions, underscoring our security platform leadership. The acquisition of Perimeter 81 has provided us a single-vendor SASE solution that delivers twice the speed of competitive solutions while ensuring industry-leading prevention-first security.”

“Despite the tragic events in Israel over the past three weeks our global business has continued to operate as planned thanks to the commitment and dedication of our employees.  We introduced innovative new products, completed acquisitions, and continued to deliver the highest level of protection and service to our customers and partners. During this period, we’ve received incredible support from our employees, customers, partners, and the investment community. We truly appreciate you standing with us,” concluded Mr. Shwed.

Financial Highlights for the Third Quarter of 2023:

• Total Revenues: $596 million compared to $578 million in the third quarter of 2022, a 3 percent increase year over year.
• GAAP Operating Income: $226 million compared to $221 million in the third quarter of 2022, representing 38 percent of revenues in the third quarter of 2023 and 2022, respectively.
• Non-GAAP Operating Income: $269 million compared to $263 million in the third quarter of 2022, representing 45 percent of revenues in the third quarter of 2023 and 2022, respectively.
• GAAP Taxes on Income: $39 million compared to $49 million in the third quarter of 2022.
• GAAP Net Income: $205 million compared to $184 million in the third quarter of 2022.
• Non-GAAP Net Income: $242 million compared to $221 million in the third quarter of 2022.
• GAAP Earnings per Diluted share: $1.75 compared to $1.47 in the third quarter of 2022, a 19 percent increase year over year.
• Non-GAAP Earnings per Diluted share: $2.07 compared to $1.77 in the third quarter of 2022, a 17 percent increase year over year.
• Deferred Revenues: As of September 30, 2023, deferred revenues were $1,709 million compared to $1,647 million as of September 30, 2022, a 4 percent increase year over year.
• Cash Balances, Marketable Securities and Short-Term Deposits: $2,989 million as of September 30, 2023, compared to $3,570 million as of September 30, 2022.
• Cash Flow: During the quarter we acquired Perimeter 81, a pioneering Security Service Edge (SSE) company, and Atmosec, an early-stage SaaS security vendor, for $477 million net cash consideration. Cash flow from operations was $222 million, compared to $240 million in the third quarter of 2022.  The operating cash flow for the quarter included a cost of $22 million related to acquisitions.
• Share Repurchase Program: During the third quarter of 2023, we repurchased approximately 2.48 million shares at a total cost of approximately $325 million.