Filing Flows › Zscaler (ZS) › Q1 FY26
Zscaler (ZS) Q1 FY26 earnings results (first quarter fiscal 2026)
10-Q filed Nov 25, 2025
Zscaler (ZS) reported revenue of $788M for the first quarter fiscal 2026 (Q1 FY26), +26% from a year earlier and +10% from the quarter before. Operating margin was -4.6%, net loss $11.6M (1.5% of revenue).
Zscaler, Q1 FY26: revenue $788M (+26% year over year), operating margin -4.6%, net loss $11.6M, operating cash flow $448M. The chart follows the revenue to costs, profit and cash.
| Q1 FY26 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $788M | +10% | +26% |
| Operating profit | −$36.4M | — | — |
| Net earnings | −$11.6M | — | — |
| Operating cash flow | $448M | +79% | +35% |
| Free cash flow | $431M | +126% | +37% |
What changed
Revenue was $788.1M in Q1 FY26, up 26% year over year and up 10% from the previous quarter.
Gross margin was 76.6%, down 0.9 points from a year earlier. Operating costs exceeded revenue by $36.4M, an operating margin of -4.6%. Operating expenses grew 24% against revenue growth of 26%. The fastest-growing cost line was Research & development (+30%). The quarter ended with a net loss of $11.6M, narrower than the previous quarter's $17.6M loss. Non-operating items added $28.0M, -334% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $448.3M (up 35% year over year). Non-cash charges added back $188.6M of share-based compensation. Working capital and other items added $271.3M. Capital expenditures of $17.3M left free cash flow of $431.0M.
Questions
What was Zscaler's revenue in the first quarter fiscal 2026?
Zscaler (ZS) reported revenue of $788M for the first quarter fiscal 2026 (Q1 FY26), +26% from a year earlier and +10% from the quarter before.
Was Zscaler profitable in the first quarter fiscal 2026?
Operating loss was $36.4M (-4.6% of revenue) and net loss $11.6M.
Source: Zscaler 10-Q on SEC EDGAR.