Shares in Tenable Holdings Inc. rose more than 7% in late trading after the cybersecurity exposure management firm reported strong beats in earnings and revenue in its latest quarter.

For its second quarter that ended June 30, Tenable reported earnings per share of 22 cents before costs such as stock compensation, up from five cents per share in the same quarter of last year, on revenue of $195 million, up 19% year-over-year. Analysts had expected EPS of 13 cents on revenue of $190.2 million.

Tenable’s strong figures were boosted by customer acquisition, with the company adding 426 new enterprise platform customers in the quarter and 63 net new six-figure customers. Reflecting this, calculated current billings rose 15% from a year ago, to $200.2 million. Also reflecting improved fundaments, Tenable was sitting on $645.5 million in cash, cash equivalents and short-term investments as of June 30, up from $567.4 million as of Dec. 30, 2022.

Highlights in the quarter included Tenable adding support for on-premises and hybrid deployments to its Tenable One exposure management platform in April. With the added support, Tenable customers have the flexibility to choose where they deploy their vulnerability management assets — in the cloud, on-premises or both for a hybrid approach.

Because it’s 2023 and every company is attempting to jump on the artificial intelligence bandwagon, Tenable also added AI-powered identity security into its Exposure Management Platform. The release in late June brought AI and machine learning to identity-aware features that provide a unified view of all user identities and entitlement risks.

“We are very pleased with our Q2 results, which included better than expected top-line growth and a sizable beat in earnings,” Amit Yoran, chairman and chief executive officer of Tenable, said in the company’s earnings release. “Our traction with Tenable One strategically positions us to win in the exposure management market as we help customers protect their organizations and consolidate their security spend.”

For its fiscal third quarter, Tenable said that it currently expects adjusted earnings per share of 18 to 19 cents on revenue of $197 million to $199 million. For the full year 2023, the company expects adjusted earnings per share of 65 to 69 cents on revenue of $783 million to $791 million.

Photo: Wikimedia Commons