ZS Zscaler margins

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Relative Growth: Rel. Growth: 64
Relative Strength: Rel. Strength: 87
Relative Valuation: Rel. Valuation: 8
Relative Profitability: Rel. Profitability: 37
Gross margin
76.8%
Operating margin
-4%
EBITDA margin
8%
Net margin
-1.9%

Zscaler shows a gross margin of 76.8%, an operating margin of -4%, an EBITDA margin of 8%, and a net margin of -1.9%, but its operating margin is negative at -4%, and its net margin is negative at -1.9%. Across the available margins, EBITDA margin advanced the most and net margin weakened the most, by 1.4 and 0.3 percentage points respectively.

ZS margin history

Gross, operating, EBITDA and net margin trends

Over the last 3 years, Zscaler's margins averaged 77.28% gross, -5.39% operating, 5.9% EBITDA, and -2.45% net. For Zscaler, operating, EBITDA, and net margins are above their three-year averages, while gross margin is below its three-year average.

ZS margin expansion

Year-over-year margin changes in percentage points

The strongest improvement was in EBITDA margin, which increased by 1.4 percentage points, and operating margin also expanded by 0.8 percentage points, while gross margin contracted by 0.1 percentage points and net margin by 0.3 percentage points.

Gross margin expansion
-0.1pp
Operating margin expansion
0.8pp
EBITDA margin expansion
1.4pp
Net margin expansion
-0.3pp

ZS Gross margin

Zscaler's gross margin averaged 77.28% over the last 3 years. Compared with its three-year average, Zscaler's current gross margin is 76.8% and is 0.5 percentage points below its three-year average. Over the last 3 years, Zscaler's gross margin peaked at 78% in Jul 2024 and reached a low of 76.5% in Jan 2026.

ZS Operating margin

Zscaler's operating margin averaged -5.39% across the past 3 years. The current operating margin stands at -4%, 1.4 percentage points above its three-year average. Over the last 3 years, Zscaler's operating margin peaked at -4% in Jul 2026 and reached a low of -10.1% in Jan 2024.

ZS EBITDA margin

Looking back over the last 3 years, Zscaler recorded an average EBITDA margin of 5.9%. Zscaler's current EBITDA margin is 8% and is 2.1 percentage points above its three-year average. The highest EBITDA margin for Zscaler was 8% in Jul 2026, while the lowest was 0.6% in Jan 2024.

ZS Net margin

Across the last 3 years, Zscaler's net margin averaged -2.45%. The current net margin stands at -1.9%, 0.6 percentage points above its three-year average. Net margin was highest at -0.6% in Jan 2025 and lowest at -7.3% in Jan 2024.

ZS margin group comparison

Margins compared with peer-group, industry and sector averages

Zscaler's gross margin of 76.8% is above the Technology sector and the industry average. Compared to its Technology sector average of 52.3%, Zscaler's gross margin is 47% higher.

ZS margin peer comparison

Compare margins with selected peers

Frequently asked questions

What is Zscaler's gross margin?

The current gross margin for ZS is 76.8% as of Jul 31, 2026.

What is Zscaler's operating margin?

As of Jul 31, 2026, ZS has an operating margin of -4%.

What is Zscaler's EBITDA margin?

As of Jul 31, 2026, ZS has an EBITDA margin of 8%.

What is Zscaler's net margin?

The current net margin for ZS is -1.9% as of Jul 31, 2026.

What are the average margins of ZS?

Zscaler's average margins over the last 3 years were 77.3% gross, -5.4% operating, 5.9% EBITDA, and -2.5% net.

What are the highest historical margins of ZS?

Over this 5-year history, ZS peaked at 78.1% gross in Oct 2022, -4% operating in Jul 2026, 8% EBITDA in Jul 2026, and -0.6% net in Jan 2025.

What are the lowest historical margins of ZS?

Zscaler's lowest recorded margins during the past 5 years were 76.5% gross in Jan 2026, -32.2% operating in Apr 2022, -24.9% EBITDA in Apr 2022, and -38.5% net in Jan 2022.