CrowdStrike (CRWD) swung to an unexpected loss in the third quarter as expenses rose, despite revenue gains that topped analysts’ estimates.
The cybersecurity giant posted third-quarter revenue of $1.01 billion, up 29% year-over-year and above the analyst consensus compiled from Visible Alpha. However, the company posted a loss of $16.82 million or 7 cents per share, compared to a profit of $26.67 million or 11 cents per share a year earlier, falling short of expectations as costs surged.
The results come as CrowdStrike continues to deal with costs tied to the fallout from a faulty software update in July that affected Microsoft (MSFT) Windows-based systems across the world and led to the grounding of thousands of flights.
Delta Air Lines (DAL) sued the company last month, estimating the incident cost it $500 million, along with loss of future revenue and damaged reputation. The complaint alleges breach of contract, gross …