Checkpoint Software Turns Corner: Q3 2026 Results Mark Trough in Product Revenue
In a conference call transcript released on November 2nd, Nadav Perchikov, Chief Executive Officer of Checkpoint Software, reported the company's third quarter results for 2026. The key highlights from the quarter include:
Total revenue was $670 million, within the expected range, with subscription revenue growing 11% year-over-year. This growth is attributed to the strong performance in email, Continuous Threat Exposure Management (CTEM), and AI technologies.
The company's go-to-market changes are now embedded, and progress has been made in sales capacity expansion. Checkpoint Software also reported multiple wins of seven figures or greater across critical infrastructure and regulated industries.
Perchikov emphasized that the third quarter marked the bottom for revenue and that sequential improvement is expected to begin in the fourth quarter. However, he noted that the pace of recovery is more gradual than initially anticipated, reflecting a measured recovery in the company's outlook.
The conference call also highlighted Checkpoint Software's continued innovation in network security, particularly with its AI Network Firewall launched in July. This product brings visibility and control specifically over AI traffic directly to Check Point firewalls that customers already rely on.
Other notable products introduced by the company include the next-generation Maestro Hyperscale Orchestrator, designed to support neoclouds, telcos, and government, as well as large enterprises. This new platform enables the inspection of AI traffic in the data center without compromising security or performance.
The exposure management solutions, which connect directly to how Check Point is redefining network security, have also seen significant success. The company's agentic exposure validation checks each exposure, simulating real attackers to enable a preemptive security approach. This approach has already provided runtime prevention for customers and resulted in significant deals with major companies.
In conclusion, Nadav Perchikov expressed excitement about the continuing success of Check Point's email, CTEM, exposure management, and AI solutions, which extend the company beyond network security and deliver strong annual recurring revenue growth in Q3. With these innovations and a solid foundation, Checkpoint Software is poised for a measured recovery in product revenue beginning in the fourth quarter and beyond."
