Mixed reports for Check Point: Missed slightly on revenue, beat on profit
Revenues of $674 million and earnings per share better than forecasts: Cyber engines and Non-GAAP offset weakness in product sales. CEO Nadav Zafrir: "Improving performance". At the same time, the company is launching a dedicated AI firewall.
Cybersecurity company Check Point concludes the second quarter of 2026 with revenues slightly below analysts' forecasts and profit higher than them. Check Point also exceeded the profit forecast range it provided in the previous quarter. The stock is down by about 7% in pre-market trading on Wall Street.
The company recorded a modest growth of 1.3% in revenues compared to the same quarter, reaching approximately $674 million. Revenues from security subscriptions grew by 11.6% to approximately $333 million, but revenues from products and licenses decreased by 14% to approximately $113 million, and revenues from services, updates, and maintenance decreased by 3.3% to approximately $228 million.
According to GAAP accounting principles, Check Point presented a net profit of approximately $194 million, a decrease of 4.4% compared to the same quarter. On a Non-GAAP basis, net profit reached approximately $264 million, a slight increase compared to the same quarter, and net profit per share amounted to $2.55, which, as mentioned, is higher than the forecasts.
In the first half of the year, Check Point's revenues totaled over $1.34 billion, a growth of 3%; net profit (GAAP) decreased by 2.1% to $385 million, and net profit on a Non-GAAP basis grew by 4.2% to $529 million, which is $5.05 per share.
Cash flow from current operations for the quarter totaled $170 million. Check Point repurchased its own shares for $325 million at an average price of about $130 per share, compared to the current price of about $140.
CEO Nadav Zafrir stated that the results for the quarter were in line with expectations, while the company is strengthening the foundation for sustainable growth. According to him:
"Our go-to-market performance is improving, and we are significantly expanding our sales capacity to capitalize on an ever-growing market opportunity."
At the same time, the company announced the launch of the AI Network Firewall. According to Check Point, with its launch, it is the first company to provide AI security directly from the firewall already operating in the organization - without the need for new infrastructure and without architectural changes. The AI Network Firewall protects GenAI usage among employees, autonomous agents, and AI-based applications from malicious prompts.
Check Point is traded on NASDAQ with a market value of $14.3 billion, after the company's market value fell by almost 25% since the beginning of the year.
