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CrowdStrike posts record cash flow in first results since 2024 outage

CrowdStrike posts record cash flow in first results since 2024 outage

Money Moves

Nearly two years after a faulty update crashed 8.5 million computers, the security firm reports record cash flow and announces a 4-for-1 stock split

June 3rd, 2026: Record cash flow and a 4-for-1 split

Overview

Updated Jun 4

In July 2024, one bad CrowdStrike update crashed 8.5 million Windows computers and wiped a third off the company's market value. On June 3, 2026, the company reported record quarterly cash flow and announced its first-ever stock split, a 4-for-1 ratio.

Revenue rose 26% to $1.39 billion and free cash flow hit a record $468 million, but billings came in below Wall Street's target. The miss knocked shares down about 10% in after-hours trading. The same day, CrowdStrike named former NVIDIA engineer Dr. Bartley Richardson as its first Chief AI and Autonomous Systems Officer.

Why it matters

CrowdStrike protects the laptops, banks, and airlines you rely on. Its recovery shows whether one catastrophic failure can sink a security vendor, or not.

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Key Indicators

$1.39B
Quarterly revenue
Up about 26% from the same quarter a year earlier.
$468M
Free cash flow
A company record for a single quarter.
$256M
Net new annual recurring revenue
Record value of newly signed subscriptions, up 32% year over year.
$5.5B
Total recurring revenue
Annual value of all active subscriptions, up 24%.
4-for-1
Stock split ratio
Holders get three extra shares per share; split-adjusted trading starts July 2, 2026.

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People Involved

Organizations Involved

Timeline

July 2024 June 2026

7 events Latest: June 3rd, 2026 · 3 months ago
Tap a bar to jump to that date
  1. Record cash flow and a 4-for-1 split

    Latest Earnings

    CrowdStrike reports revenue up about 26% to $1.39 billion and record free cash flow of $468 million, and announces a 4-for-1 stock split. Shares fall after hours on cautious guidance.

  2. Richardson named first Chief AI and Autonomous Systems Officer

    Leadership

    CrowdStrike hired Dr. Bartley Richardson from NVIDIA, where he led engineering for agentic AI and cybersecurity AI, to fill a newly created C-suite role overseeing the company's AI strategy.

  3. Stock reaches record high

    Market

    CrowdStrike closes at an all-time high near $619 as enterprise security spending stays strong.

  4. Outage still weighs on guidance

    Earnings

    A year after the incident, CrowdStrike shares dip about 6% as the company cites lingering revenue effects from post-outage customer deals.

  5. Shares hit post-outage low

    Market

    CrowdStrike stock falls to about $218, down from $343 the day before the outage, erasing more than $30 billion in market value.

  6. Faulty update crashes millions of computers

    Incident

    A defective CrowdStrike Falcon update crashes an estimated 8.5 million Windows devices worldwide, grounding flights and disrupting hospitals, banks, and broadcasters.

Scenarios

1

Stock split takes effect on schedule in July

Likely Resolves by Jul 6, 2026

Discussed by: CrowdStrike investor relations; Nasdaq listings

The board has already approved the 4-for-1 split as a stock dividend. Barring an unexpected reversal, shares begin trading on a split-adjusted basis on July 2, 2026, quadrupling the share count and cutting the per-share price to about a quarter of its prior level. This is a mechanical step the company controls.

2

Delta and CrowdStrike settle before trial

Possible Resolves by Q2 2027

Discussed by: CNBC, Reuters legal coverage

Delta's claims over the outage have survived early challenges, and no trial date is set. Drawn-out commercial disputes like this often settle to avoid the cost and disclosure of a public trial. A confidential settlement would end the largest legal overhang from the outage without a verdict assigning blame.

3

CrowdStrike hits its raised full-year growth target

Uncertain Resolves by Apr 1, 2027

Discussed by: The Motley Fool, Investing.com earnings coverage

The company raised its full-year guidance for net new annual recurring revenue, betting that demand for securing artificial-intelligence systems keeps accelerating. If subscription growth lands within the guided range when the fiscal year closes, it confirms the recovery is durable, not a one-quarter rebound.

4

Shares set a new split-adjusted record by year-end

Uncertain Resolves by End of 2026

Discussed by: Barchart, Yahoo Finance market analysts

CrowdStrike reached record highs before this report, but shares fell on the cautious guidance. Whether the stock pushes past its pre-report peak depends on whether the AI-security demand story holds and the soft guidance proves conservative. A new high would signal investors view the outage as fully behind the company.

Historical Context

3 moments from history that rhyme with this story — and how they unfolded.

1994–1995

Intel's Pentium floating-point bug (1994)

A flaw in Intel's Pentium chip produced rare math errors. Intel first downplayed it, then faced public anger and took a $475 million charge to replace chips for any customer who asked.

Then

Intel's reputation took a sharp hit and the charge dented its earnings.

Now

Intel kept its market lead and the episode became a textbook case in handling a product defect.

Why this matters now

Like CrowdStrike, Intel showed that a single widely felt technical failure need not be fatal if the core product stays dominant and customers stay.

September 2017

Equifax data breach (2017)

Hackers exposed personal data of about 147 million people. Equifax's stock dropped roughly a third, its CEO resigned, and it later agreed to a settlement of up to $700 million.

Then

Shares fell hard and executives departed amid public outrage.

Now

Equifax recovered its share price within about two years and kept operating.

Why this matters now

A close parallel on timing: a security firm's stock can erase a major shock within roughly two years, which is about CrowdStrike's pace.

March 2019 onward

Boeing 737 MAX groundings (2019)

After two crashes killed 346 people, regulators grounded Boeing's best-selling jet worldwide. The company faced lawsuits, criminal scrutiny, and billions in costs.

Then

Boeing lost orders and its stock fell sharply during the grounding.

Now

The jet returned to service, but legal and safety questions trailed Boeing for years.

Why this matters now

It shows the other path: when a failure causes physical harm and litigation drags on, recovery is slower and messier than a software vendor's rebound.

Sources

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