Zscaler Sets New Records in Q3 2025 with Strong Demand for Zero Trust Security Solutions
Zscaler, a leading provider of cloud-based security solutions, has reported strong demand for its comprehensive Zero Trust security platform in the third quarter of 2025. The company achieved two significant milestones, including TCV bookings of over $1 billion and remaining performance obligations (RPO) of nearly $5 billion.
"We are proud to have delivered these strong top-line results at scale while maintaining our commitment to profitability," said Jay Chaudhry, Chairman and CEO of Zscaler. "Our ARR was approximately $2.9 billion, representing the third consecutive quarter of 23% year-over-year growth."
Zscaler's Zero Trust Exchange platform has secured over 50 million users, providing a significant competitive advantage through powerful network effects that strengthen market leadership. The company's proprietary data, generated from over 500 billion transactions and 20 petabytes of high-fidelity data per day, empowers AI-driven solutions for security operations.
"More users on our platform mean more high-quality data for our AI solutions," Chaudhry explained. "Our unique data, with its vast quantity and high fidelity, enables us to train models and deliver highly effective AI solutions that differentiate Zscaler from other vendors."
The company's strong demand has also led to significant growth in new logo ACV, which saw a 40% year-over-year increase, while total new ACV grew double digits. Zscaler remains on track to reach $3 billion or more in ARR by the end of the quarter.
With revenue growth of 24% year-to-date and free cash flow margin of 28%, Zscaler has exceeded the Rule of 40 performance benchmark for each of the last 21 quarters. This demonstrates the company's ability to deliver strong profitability while achieving top-line growth.
"Our platform-wide deals for Zero Trust security have driven strong demand, with more customers adopting our comprehensive solutions," Chaudhry added. "We remain committed to delivering cutting-edge security solutions that meet the evolving needs of our customers."
