Check Point Software Reports 2024 First Quarter Financial Results

New Delhi, 29^th April, 2024: Check Point® Software Technologies Ltd. (NASDAQ: CHKP), today announced its financial results for the quarter ended March 31^st, 2024.

First Quarter 2024: 

• Total Revenues: $599 million, a 6 percent increase year over year
• Security Subscription Revenues: $263 million, a 15 percent increase year over year
• GAAP Operating Income: $194 million, representing 32 percent of total revenues
• Non-GAAP Operating Income: $252 million, representing 42 percent of total revenues
• GAAP EPS: $1.60, a 5 percent increase year over year
• Non-GAAP EPS: $2.04, a 13 percent increase year over year

“The first quarter yielded great results with revenues and EPS at the top end of our projections. We delivered strong double-digit growth in Infinity Platform agreements, now constituting over 13 percent of total revenues. Our aggregate recurring revenues now represent 83 percent of total revenues,” stated Gil Shwed, Founder & CEO of Check Point Software Technologies. “We introduced Quantum Force, a new line of security gateways empowering organizations of all sizes with next-generation firewall technology. In addition, we launched new technologies including Harmony SaaS protecting SaaS platforms and data, and Infinity AI Copilot, an AI-powered security assistant enhancing security effectiveness across organizations.”

 Financial Highlights for the First Quarter of 2024

• Total Revenues: $599 million compared to $566 million in the first quarter 2023, a 6 percent increase year over year.
• GAAP Operating Income: $194 million compared to $200 million in the first quarter 2023, representing 32 percent and 35 percent of total revenues in the first quarter 2024 and 2023, respectively.
• Non-GAAP Operating Income: $252 million compared to $238 million in the first quarter 2023, representing 42 percent of total revenues in both the first quarter 2024 and 2023.
• GAAP Taxes on Income: $33 million compared to $35 million in the first quarter 2023.
• GAAP Net Income & Earnings per Diluted Share: GAAP net income was $184 million same as in the first quarter 2023. GAAP earnings per diluted share were $1.60 compared to $1.52 in the first quarter 2023, a 5 percent increase year over year.
• Non-GAAP Net Income & Earnings per Diluted Share: Non-GAAP net income was $235 million compared to $218 million in the first quarter 2023. Non-GAAP earnings per diluted share were $2.04 compared to $1.80 in the first quarter 2023, a 13 percent increase year over year.
• Deferred Revenues: As of March 31, 2024, deferred revenues were $1,826 million compared to $1,797 million as of March 31, 2023, a 2 percent increase year over year.
• Cash Balances, Marketable Securities & Short-Term Deposits: $3,053 million as of March 31, 2024, compared to $2,960 million as of December 31, 2023.
• Cash Flow from Operations: Cash flow of $361 million compared to $386 million in the first quarter 2023.
• Share Repurchase Program: During the first quarter of 2024, the company repurchased approximately 2.0 million shares at a total cost of approximately $325 million.

For information regarding the non-GAAP financial measures discussed in this release, as well as a reconciliation of such non-GAAP financial measures to the most directly comparable GAAP financial measures, please see “Use of Non-GAAP Financial Information” and “Reconciliation of GAAP to Non-GAAP Financial Information.”

Conference Call & Video Cast Information
Check Point will host a conference call with the investment community on April 25, 2024, at 8:30 AM ET/5:30 AM PT. To listen to the live videocast or replay, please visit the website www.checkpoint.com/ir.

Second Quarter 2024 Investor Conference Participation Schedule

• 2024 RSA Analyst/Investor Booth Tours
          May 7-8, 2024, SF, CA – Group Meetings
• Needham 19^th Annual Technology, Media, and Consumer Conference
          May 16, 2024, Virtual – 1×1’s
• J.P. Morgan 52^nd Annual Technology, Media, and Telecom Conference
          May 20-22, 2024, Boston, MA – Fireside Chat & 1×1’s
• Oppenheimer 25^th Annual Israeli Conference
  May 26, 2024, Tel Aviv, Israel – Fireside Chat & 1×1’s 
• Cowen 52^nd Annual TMT Conference
  May 29, 2024, NY, NY – Fireside Chat & 1×1’s
• Jefferies Software Summit
  May 30, 2024, Newport Coast, CA – 1×1’s
• Baird 2023 Global Consumer, Technology & Services Conference
  June 4, 2024, SF, CA – 1×1’s 
• Bank of America Merrill Lynch 2023 Global Technology Conference
  June 5-6, 2024, SF, CA – 1×1’s 
• Nasdaq Investor Conference
  June 11, 2024, London, UK – 1×1’s

Members of Check Point’s management team anticipate attending these conferences and events to discuss the latest company strategies and initiatives. Check Point’s conference presentations, if applicable, will be available via webcast on the company’s web site. To hear these presentations and access the most updated information please visit the company’s web site at www.checkpoint.com/ir. The schedule is subject to change.