Cybersecurity firm Trend Micro reported a 13% rise in global net sales year-over-year for the second quarter of 2024. This increase was complemented by a robust 42% growth in operating income, enhancing the company’s operating margin to an impressive 18% for the quarter. A substantial boost in enterprise platform-connected annual recurring revenue (ARR), which soared by 45%, propelled the company’s total ARR to over $1.65 billion.
The Japanese firm showed strong financial results, with consolidated net sales reaching 68,603 million Yen (approximately $440 million) and operating income at 12,308 million Yen (around $78 million). Net income attributable to the owners of the parent company was reported at 7,141 million Yen (about $45 million).
Eva Chen, Co-Founder and CEO of Trend Micro, said, “We closed the first half of the year strong, leveraging our 35 years of experience to enable business continuity for our customers.”
Chen further highlighted the company’s commitment to innovation, stating, “Together with our customers, we are advancing our Trend Vision One platform, helping organisations embrace AI for improved business outcomes while more effectively managing enterprise cyber risk.”
This growth has been significantly driven by the increased adoption of Trend Micro’s enterprise solutions, with enterprise net sales rising by 16% year-over-year. On the innovation front, the company has been proactive in addressing emerging cybersecurity challenges, including launching AI-driven solutions for securing AI-enabled data centres and introducing security solutions for AI PCs.
Kevin Simzer, COO, Trend Micro, said, “We exceeded our internal targets for the quarter, both in terms of revenue and profitability. Our emphasis on platform expansion and operational efficiency resulted in an 18% operating margin this quarter.”
Despite these impressive results, Trend Micro has maintained its outlook for the 2024 fiscal year. The company projects consolidated net sales to reach 271,000 million Yen (approximately $1,843 million), with anticipated operating income of 52,900 million Yen (around $359 million) and net income for the owners projected at 34,600 million Yen (about $235 million).
