Shares in Check Point Software Technologies Ltd. rose slightly in regular trading today after the cybersecurity company beat expectations on earnings in its latest quarter.

For its second quarter that ended June 30, Check Point reported earnings per share of $2 before costs such as stock compensation. That was up 22% from $1.64 in the same quarter of last year, on revenue of $589 million, up 3% year-over-year. Analysts had expected adjusted earnings per share of $1.90 and revenue of $589 million.

Check Point saw increased revenue across the board, with its product and license revenue up 12% year-over-year, to $117 million, and security subscription revenue up 14%, to $239 million. The company’s deferred revenue also rose 7% year-over-year, to $1.774 billion.

Notably, Check Point’s cash balance, marketable securities and short-term deposits fell to $3.515 billion, compared with $3.676 billion the year prior. The decline was in part the result of the company repurchasing 2.6 million shares in the quarter at a cost of about $325 million.

Highlights in the quarter included Check Point landing an unnamed large pharmaceutical company that chose the company’s Harmony Email security product thanks to its high catch rate versus the competition. Check Point also landed a large bank that decided to replace its existing solution that was missing phishing emails.

“Our platform security strategy realized continued success, as Infinity revenues surpassed 10% of total revenues for the quarter,” Gil Shwed, founder and chief executive officer of Check Point, said in the company’s earnings release. “This was further emphasized by a 14% increase in security subscription revenues that encompasses our advanced security solutions such as ThreatCloud AI, CloudGuard and Harmony E-mail.”

Check Point said it expects adjusted earnings per share of $1.97 to $2.07 in its fiscal second quarter on revenue of $570 million to $605 million. For the full year 2023, the company expects adjusted earnings per share of $7.70 to $8.30 on revenue of $2.34 billion to $2.51 billion.

After the earnings report was delivered at the beginning of regular trading, Check Point shares closed up 2.6%, to $132.11.

On the same day Check Point delivered its earnings, Shwed offered an unusual comment on Israeli politics. In an interview with YNet News, Shwed said he would not base a company in Israel today because of changes to the country’s judiciary that those on the left have opposed.

“The recent events are difficult for all of us and are tearing Israeli society apart,” Shwed said in the interview. “I am working to prevent that rift from infiltrating my company.”

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