Trend Micro Reports Earnings Results for Q4 2024 and FY2024

• Increase of 10% globally in net sales at actual currency in 2024
• Increase of 21% in next-gen AI security operations center (SOC) annual recurring revenue (ARR), growing the total enterprise ARR by 7% to over US $1.3 Billion
• Increase of 24% globally in pre-GAAP commercial revenue at constant currency in Q4
• Increase of 48% in operating income improving operating margin to 18% in 2024

TOKYO, Feb. 18, 2025 /PRNewswire/ -- Trend Micro Incorporated (TYO: 4704;TSE: 4704), a global cybersecurity leader, today announced earnings results for the fourth quarter and fiscal year 2024, ending December 31, 2024, reporting 8% and 10% year-over-year (YoY) growth, respectively.

In Q4, platform adoption propelled Trend's enterprise net sales by +10% YoY and enterprise ARR by +7% YoY, now surpassing US $1.3 billion. While achieving strong top line growth, operating margin improved to 18% in 2024, with 47% YoY operating income growth.

Eva Chen, co-founder and CEO at Trend: "Our strong Q4 performance is proof that our enterprise cybersecurity platform is unlocking unprecedented value for our customers, and this is just the beginning. Our ability to bring visibility from obscurity turns the table on the attacker, and that is the game changer. Proactive security starts here!"

The proactive capabilities of Trend's cyber risk exposure management accelerated a platform attachment rate of nearly 40% in Q4. This contributed to 21% YoY growth in next-gen AI SOC ARR surpassing US $273M, signaling the platform's critical role in preventing attacks and ensuring business continuity.

Kevin Simzer, COO at Trend: "The rise of enterprise AI and platform consolidation are changing the security landscape like never before, relegating old approaches like SIEM and empowering organizations to better manage cyber risk. We see platform adoption growing worldwide, driving accelerated performance across all regions with double digit pre-GAAP commercial growth of 24%.ⁱ"

The desire for fewer siloed tools and better visibility is driving rapid industry consolidation, reflected by over ten thousand customers now leveraging the power of Trend's enterprise platform.

For this quarter, Trend Micro posted consolidated net sales of 69,979 million Yen (or US $458 million, 152.51 JPY = 1USD). The company posted operating income of 8,868 million Yen (or US $58 million) and net income attributable to owners of the parent of 7,940 million Yen (or US $52 million) for the quarter.

Based on information currently available to the company, consolidated net sales for the year ending December 31, 2025 are expected to be 288,600 million Yen (or US $ 1,874 million, based on an exchange rate of 154 JPY = 1 USD). Operating income and net income attributable to owners of the parent company are expected to be 60,300 million Yen (or US $391 million) and 38,900 million Yen (or US $252 million), respectively.

Key business updates in Q4 2024

Innovative: Trend nurtures a culture of innovation to drive advancements across its cybersecurity platform.

• Collaborated with NVIDIA to offer their ecosystem of partners a way to safeguard AI deployments and mitigate evolving cyber threats
• Launched enhanced cloud security and AI-driven security platform for Amazon Web Services (AWS) developers
• Awarded Google Cloud Ready – Regulated & Sovereignty Solutions status, driving innovation and delivering enhanced solutions to the market.

Trusted: Trend is a trusted partner to the customers and communities that it serves.

• Invited to present at Paris Peace Forum to drive secure AI Adoption as a longtime contributor to global security initiatives.
• Published critical research warning of hyper-personalized, AI-powered attacks emerging that will require industry-wide effort to address.
• Achieved gold standard compliance ranking, FedRAMP® Authorization to Operate (ATO), enabling governments to leverage unmatched threat intelligence and risk management.

Global: Trend has the most geographically diverse customer base in the industry, with millions of sensors powering the Trend Vision One™ platform's superior cyber risk exposure management.

• Enabled Managed Service Provides (MSPs) to double impact and revenue with modified cybersecurity platform offering.
• Named a Leader in the 2024 Gartner^® Magic Quadrant™ for Email Security Platforms (ESP), a critical part of its comprehensive cybersecurity platform.
• Achieved 100% coverage rate in MITRE ATT&CK^® Evaluations, reflecting industry leadership in global threat intelligence.

Trend Micro was awarded the following patents in Q4 2024:

Notice Regarding Forward-Looking Statements
Certain statements included in this press release that are not historical facts are forward-looking statements. Forward-looking statements are sometimes accompanied by words such as "believe," "may," "will," "estimate," "continue," "anticipate," "intend," "expect," "should," "would," "plan," "predict," "potential," "seem," "seek," "future," "outlook" and similar expressions that predict or indicate future events or trends or that are not statements of historical matters. These statements are based on our current expectations and beliefs and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Although we believe that the expectations reflected in our forward-looking statements are reasonable, we do not know whether our expectations will prove correct. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof, even if subsequently made available by us on our website or otherwise. We do not undertake any obligation to update, amend or clarify these forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

About Trend Micro
Trend Micro, a global cybersecurity leader, helps make the world safe for exchanging digital information. Fueled by decades of security expertise, global threat research, and continuous innovation, Trend Micro's AI-powered cybersecurity platform protects hundreds of thousands of organizations and millions of individuals across clouds, networks, devices, and endpoints. As a leader in cloud and enterprise cybersecurity, Trend's platform delivers a powerful range of advanced threat defense techniques optimized for environments like AWS, Microsoft, and Google, and central visibility for better, faster detection and response. With 7,000 employees across 70 countries, Trend Micro enables organizations to simplify and secure their connected world. www.TrendMicro.com.

SOURCE Trend Micro Incorporated