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Zscaler ZS Contract Liabilities

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Other financials

Income statement

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Revenue$850.5M+25.4%
Gross profit$657.8M+26.0%
Operating income-$29.6M-16.6%
Net income-$13.9M-237%
EPS (diluted)-$0.09-200%

Balance sheet

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Cash & equivalents$982.1M-50.7%
Total debt$1.7B+40.9%
Total equity$2.4B+31.1%
Total assets$7.1B+32.9%

Cash flow

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Operating cash flow$198.0M-6.2%
CapEx$42.4M-41.2%
Free cash flow$155.6M+12.0%

Valuation

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Market cap$26.29B-41.6%
Enterprise value$27.04B-39.1%
P/S8.3×-8.6×

Profitability

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Gross margin76.7%-0.7pp
Operating margin-4.7%-0.1pp
Net margin-2.4%+3.7pp
FCF margin30.4%+0.1pp

Returns & leverage

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Return on equity-3.7%+2.3pp
Debt / equity0.7×+0.1×
Current ratio1.9×+0.6×

Where this comes from

Reported directly by Zscaler in its filing.

Tagged under the XBRL concept us-gaap:ContractWithCustomerLiabilityNoncurrent.

The source filing: Zscaler’s 10-Q, filed May 26, 2026.

Filed
May 26, 2026, 4:09 PM EDT
Fiscal quarter
Q3 FY2026
Calendar quarter
Q2 2026
Accession
0001713683-26-000096
Line itemApril 30, 2026July 31, 2025
Operating lease liabilities66,75152,497
Total current liabilities2,500,9422,429,611
Convertible senior notes1,699,6361,700,727
Deferred revenue, noncurrent380,063413,609
Operating lease liabilities, noncurrent94,79743,352
Other noncurrent liabilities56,04633,316
Total liabilities4,731,4844,620,615
Commitments and contingencies (Note 12)

Item 1. Financial Statements

FAQ

What is Zscaler's contract liabilities?
Zscaler (ZS) reported contract liabilities of $380.06M in Q1 2026.
How has Zscaler's contract liabilities changed year-over-year?
Zscaler's contract liabilities increased by 23.8% year-over-year, from $307.09M to $380.06M.
What is the long-term trend for Zscaler's contract liabilities?
Over 4 years (2021 to 2025), Zscaler's contract liabilities has grown at a 62.5% compound annual growth rate (CAGR), from $59.32M to $413.61M.
What does contract liabilities mean?
Revenue collected or billed in advance of performance — deferred revenue under ASC 606 terminology, representing future revenue obligations.

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