CrowdStrike Reports Strong Q2 Despite Global IT Outage

CrowdStrike reported higher profit and revenue in its latest quarterly results despite a global IT outage it caused less than two weeks before the quarter ended.

However, CrowdStrike lowered its annual revenue forecast. It now expects annual revenue to total $3.89 billion-$3.90 billion, compared to its prior expectations of $3.98 billion-$4.01 billion.

On July 19, a global IT outage caused by CrowdStrike impacted 8.5 billion Windows devices. The outage impacted airports, banks, hospitals, retailers and more.

U.S. Fortune 500 companies faced a $5.4 billion direct financial loss from the global IT outage, and that number doesn't include Microsoft, according to Parametrix, a provider of cloud monitoring, modeling and insurance services.

CrowdStrike reported restoration was nearly complete on July 25.

Global IT Outage Marks New Chapter for CrowdStrike

During its second-quarter earnings call, George Kurtz, CrowdStrike’s CEO and co-founder, said the global IT outage starts a “new chapter” for his company, one focused on ensuring that its AI platform for security operations center (SOC) operations. protection, visibility, response and automation is “also cybersecurity's most resilient platform.”

CrowdStrike's George Kurtz

“With built-in redundancy modes, new content controls and enhanced safeguards, we've immediately addressed learnings from the incident and will continue to apply and evolve these lessons into our future,” he said.

Kurtz said CrowdStrike’s mission of “'we stop breaches' rings just as true today as it did prior to July 19. Our mission is alive and well, and I know that CrowdStrike’s very best days are ahead of us,” he said.

CrowdStrike Partners Fueling Growth

For its second quarter of 2025, which ended July 31, CrowdStrike reported nearly $964 million in total revenue, up 32% compared to $731.6 million in the second quarter of fiscal 2024. Profit was $47 million, up from $8.5 million for the year-ago quarter.

Annual recurring revenue (ARR) grew 32% year over year to $3.86 billion, of which $217.6 million was net-new ARR added in the quarter.

“Our partner-first go to market (GTM) continues to deliver at scale, connecting our technology platform with new and existing customers,” Kurtz said. “CrowdStrike's preeminent partner position as a top security vendor by business size and number of transactions serves as a competitive moat. In Q2, 66% of our [new customer] business was sourced by our partners, showcasing our best-in-class partner GTM. In Q2, our SI business grew over 100% year over year, highlighting Falcon as an industry driver in delivering multidisciplinary cybersecurity transformation. Our partners were instrumental in helping customers recover, with noteworthy engagement from Accenture, KPMG and EY, among a dozen others. Our strategic alignment and deep partnership extend our reach.”

In terms of lawsuits filed against CrowdStrike related to the global IT outage, Burt Podbere, CrowdStrike's chief financial officer, said it's "still too early for us to estimate any potential legal exposure we may have at this time."

"Our customer agreements contain provisions limiting our liability, and we maintain insurance policies intended to mitigate the potential impact of certain claims and have a strong cash position," he said.

Customer commitment packages in the aftermath of the outage will cost CrowdStrike about $60 million during the second half of 2025, Podbere said.

Nvidia’s Q2 Earnings

For its second quarter of 2025, Nvidia reported $30 billion in revenue, up 15% from its first quarter and up 122% from its year-ago quarter. Profit was $16.6 billion, up from $6.2 billion in the year-ago quarter.

Second-quarter data center revenue was a record $26.3 billion, up 16% from the previous quarter and up 154% from a year ago.

Jensen Huang, Nvidia’s founder and CEO, said demand for Hopper, Nvidia’s graphics processing unit (GPU) remains strong, and the anticipation for its Blackwell GPU is “incredible.”

Nvidia's Jensen Huang

“Nvidia achieved record revenues as global data centers are in full throttle to modernize the entire computing stack with accelerated computing and generative AI,” he said. “Blackwell samples are shipping to our partners and customers. Spectrum-X Ethernet for AI and Nvidia AI Enterprise software are two new product categories achieving significant scale, demonstrating that Nvidia is a full-stack and data center-scale platform. Across the entire stack and ecosystem, we are helping frontier model makers to consumer internet services, and now enterprises. Generative AI will revolutionize every industry.”

Despite the positive report, Nvidia's earnings, widely expected to sway the overall stock market on Wednesday, didn't have an immediate positive impact. In fact, Nvidia stock was down more than 7% in after-hours trading.

HP’s Q3 Earnings

For the third quarter of its fiscal year 2024, HP reported $13.5 billion in net revenue, up 2.4% from $13.2 billion for the year-ago quarter. Profit was $640 million, down from $766 million for the year-ago quarter.

“We are pleased with our return to revenue growth and proud of the innovations delivered in the quarter, including the launch of our next-generation AI PC lineup,” said Enrique Lores, HP’s president and CEO. “We remain focused on our strategic plan and will prioritize opportunities that drive long-term profitable growth, while taking decisive action to navigate a dynamic environment.”

Personal systems net revenue was $9.4 billion, up 5% year over year. Printing net revenue was $4.1 billion, down 3% year over year.

Total hardware units were down 2%, with consumer printing units flat and commercial printing units down 4%.