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CRWD shares fell more than 6% in after-hours trading

Market Reaction Despite exceeding earnings expectations

6/4/20251 min read

  • Market Reaction Despite exceeding earnings expectations, CRWD shares fell more than 6% in after-hours trading due to cautious forward guidance and concerns about slowing growth.

The current price is $449.09, which reflects a change of -$39.67 (-0.08%) from the previous close.

The latest opening price was $453.49, and the intraday volume is 2152867. The intraday high is $458.39, while the intraday low is $445.78.

* The latest trade time is Wednesday, June 4, 19:05:09 +0530. As of June 4, 2025, CrowdStrike Holdings Inc. (NASDAQ: CRWD) reported its fiscal Q1 2025 earnings, revealing a mixed financial performance that has affected investor sentiment.

### 📉 Financial Highlights

* Revenue: $1.10 billion, a 20% year-over-year increase, but slightly below the consensus estimate of $1.104 billion.

* Adjusted EPS: $0.73, exceeding the expected $0.66.

* Net Loss: $110.2 million, attributed to ongoing expenses from a software outage in July 2024 and customer retention initiatives.

* Annual Recurring Revenue (ARR): $4.44 billion, a 22% increase, although net new ARR declined by 8.5% year-over-year.

### 🔧 Operational Challenges

* Customer Commitment Program (CCP): This program was implemented post-outage, offering free products to customers which resulted in an $11 million reduction in subscription revenue for the quarter.

* Ongoing Legal Dispute: The company is facing litigation from Delta Air Lines related to the 2024 IT outage, with some claims proceeding to court. --- ### 🔄 Strategic Initiatives

* Share Repurchase Program: The company has announced a $1 billion buyback, signaling confidence in its long-term prospects.

* Workforce Reduction: Plans to cut approximately 500 jobs (5% of the workforce) to drive operational efficiencies.

* Collaborations: Partnered with Microsoft to standardize threat actor naming conventions, aiming to reduce confusion in cybersecurity communications. Teamed up with NVIDIA to enhance AI-driven cybersecurity solutions.

📈 Analyst Perspectives While some analysts express concern over slowing growth, others view the stock's pullback as a potential buying opportunity, citing strong fundamentals and favorable long-term growth prospects.i

f you need further details on CrowdStrike's financials, strategic partnerships, or market outlook, feel free to ask!