Cloud services security provider Qualys (Nasdaq: QLYS) recently announced its fourth-quarter results that failed to particularly impress the market. But the company is focusing on attracting the market through its product upgrades and tie-ups with the tech giants.
For the fourth quarter of the year, Qualys’s revenues grew 14% over the year to $84.66 million, falling short of the market’s estimates of $84.76 million. EPS of $0.64 was significantly better than the Street’s forecast of $0.58 for the quarter and $0.51 for the previous year.
For fiscal year 2019, revenues grew 15% to $321.6 million. GAAP net income was $69.3 million. On an adjusted basis, it reported an EPS of $2.33 per share.
For the current quarter, Qualys forecast revenues of $85.7-$86.4 million, and adjusted earnings of $0.60-$0.62 a share. It expects to end the year with revenues of $364-$369 million and an EPS of $2.57-$2.62 per share. The market was looking for revenues of $86.21 million with an EPS of $0.54 for the quarter and revenues of $368.3 million with an EPS of $2.49 for the year.
Qualys’s Product and Partner Expansion
Qualys continued to drive product innovation to attract the market. It recently introduced the Qualys VMDR – Vulnerability Management, Detection and Response. VMDR is a next-level single-stop solution that delivers a continuous cycle of protection with built-in orchestration workflows and real-time vulnerability detection. It helps security teams to prioritize, remediate, and audit across hybrid IT environments.
It also launched the Qualys Global IT Asset Discovery and Inventory app as a free service for security teams. Using this app, the IT teams can get access to a single source of truth to analyze their interconnected global IT environments. The app helps in collaboration on critical security remediation efforts. To help with patch deployment, Qualys released a new cloud app called Patch Management (PM). The PM app provides automated patch deployment capabilities to enable customers to orchestrate full-lifecycle vulnerability management of operating systems and third-party software across global hybrid environments.
Qualys also extended its partner network for market expansion. It recently announced a partnership with Google Cloud to provide its customers with a single click vulnerability assessment through a seamless integration of the Qualys Cloud Agent. As part of the agreement, Qualys’ suite of Cloud-based security solutions will be available through the Google Cloud Marketplace to help streamline purchases, updates, and deployment of the services. Qualys on Google Cloud will ensure that vulnerability findings are automatically available in the GCP Security Command Center and provide self-service capabilities for cloud administrators. Additionally, organizations will be able to use Google Cloud APIs to automatically and transparently orchestrate the installation of the Qualys agent into Linux and Windows workloads as part of their DevOps processes.
Besides Google, Qualys also entered into a partnership with Microsoft. Similar to the agreement with Google, the agreement with Microsoft allows the embedding of Qualys vulnerability management and Qualys Container Security into Microsoft Azure security center to help deliver real-time visibility to secure cloud workload, provisioning, and DevOps orchestration.
Its stock is currently trading at $91.05 with a market capitalization of $3.5 billion. It touched a 52-week high of $95.99 in February last year. The stock fell to a 52-week low of $72.76 in September last year.
This segment is a part in the series : Cloud Stocks