Beginning this quarter, the company will give next-generation security annual recurring revenue as the key financial metric for revenue projections both quarterly and annually, CFO Dipak Golechha said. "It was a strong quarter and better-than-expected beat and raise as PANW continues to scale its Next-Gen Security business while balancing profitable growth," said Shrenik Kothari, lead sector analyst at Baird. The company, whose products include cloud security suite Prisma and the AI-powered Cortex portfolio, expects its annual revenue to be between $9.10 billion and $9.15 billion, compared with analysts' average estimate of $9.11 billion, according to LSEG data.