Rubrik shares spike 22% after a strong quarter

Rubrik shares rose 22% on Friday after the data management company posted fiscal third-quarter results that exceeded Wall Street expectations and raised its full-year revenue forecast.

The company recorded its second-best trading day since going public in April 2024.

Late Thursday, the company lifted its revenue outlook for the fiscal year to a range of $1.28 billion to $1.282 billion. The prior upper end of the forecast was $1.237 billion.

CEO Bipul Sinha said that demand for Rubrik’s cyber resilience products and its emerging tools for managing artificial intelligence agents are helping drive growth. He said companies adopting AI systems are seeking greater visibility and control as they deploy new technologies.

Sinha said businesses want to understand how their agents behave, whether controls are in place, and whether errors can be reversed. He described these concerns as a key factor behind rising interest in Rubrik’s offerings.

Rubrik narrowed its losses in the latest quarter. The company reported a net loss of $63.83 million, or 32 cents per share, compared with a loss of $130.91 million, or 71 cents per share, in the same period last year.

On an earnings call, Sinha said Rubrik is gaining customers by replacing legacy vendors. He said one of Asia’s largest banks selected Rubrik over a long-term provider. He also cited a Fortune 250 professional services firm that made a similar switch.

Sinha said the expansion of AI is increasing the frequency and sophistication of cyberattacks, prompting organizations to upgrade their defenses. He said Rubrik expects continued rapid growth as the market for cyber resilience and AI protection evolves.