Okta Reports Strong Q3 2025 Earnings Growth

Okta, Inc. ( (OKTA) ) has released its Q3 earnings. Here is a breakdown of the information Okta, Inc. presented to its investors.

Okta, Inc., a leader in identity management solutions, provides secure authentication and authorization services for businesses and developers worldwide. The company operates within the technology sector, focusing on enhancing identity security across various industries.

In its latest financial report, Okta, Inc. revealed a strong performance for the third quarter of fiscal year 2025, with notable increases in both revenue and profitability. The company’s strategic investments in partner ecosystems and public sector verticals have contributed to significant growth, reflecting its ongoing commitment to innovation and customer satisfaction.

Key financial metrics from the report include a 14% year-over-year increase in total revenue, reaching $665 million, and a similar rise in subscription revenue. Remaining performance obligations saw a 19% increase, indicating a robust future revenue pipeline. Okta also reported a GAAP net income of $16 million, transitioning from a previous net loss, and a non-GAAP net income of $121 million, showcasing a substantial improvement in operational efficiency.

The company achieved an operating cash flow of $159 million and a free cash flow of $154 million, maintaining a strong cash position with $2.248 billion in cash, cash equivalents, and short-term investments. Okta’s ability to manage its financial resources effectively is further evidenced by its debt management strategy, including the repurchase of convertible senior notes.

Looking ahead, Okta’s management anticipates continued growth with a revenue forecast of up to $2.597 billion for the full fiscal year 2025, representing a 15% increase year-over-year. The company aims to sustain its momentum by leveraging its strengths in identity security and expanding its market reach, despite a challenging macroeconomic environment.