Cybersecurity company Okta raises revenue and profit forecasts due to growing demand for identity verification tools against AI-powered attacks. Shares rose 7% in extended trading, with focus on simplifying security, compliance, and user experience. Okta’s COO highlights increased investment in securing identity, with major deals in the public sector, including one with the Department of Defense.

Okta automates user access with products like single sign-on and uses AI to monitor risks in real time. The company raises fiscal 2026 revenue forecast to $2.88-$2.89 billion and adjusted profit per share forecast to $3.33-$3.38. Third-quarter revenue is expected to be $728-$730 million, beating analysts’ estimates, with adjusted earnings per share in line with expectations.

In the second quarter, Okta’s revenue increased by 13% to $728 million, surpassing estimates, with quarterly adjusted EPS of 91 cents beating expectations. The company continues to focus on enhancing security measures and meeting the rising demand for identity verification tools.

Read more at Yahoo Finance: Okta raises annual forecasts on surging cybersecurity tools demand