CrowdStrike forecasts downbeat second-quarter revenue, shares fall


FILE PHOTO: CrowdStrike logo is seen in this illustration taken July 29, 2024. REUTERS/Dado Ruvic/Illustration/FIle Photo

(Reuters) -CrowdStrike forecast second-quarter revenue below Wall Street estimates, signaling weaker government and enterprise spending on cybersecurity products, sending the company's shares down 5.7% after the bell on Tuesday.

Higher interest rates and sticky inflation have forced clients to rein in tech spending, weighing on demand for companies such as CrowdStrike, despite an increasing need for robust cybersecurity solutions due to rising threats and ransomware attacks.

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