Palo Alto Networks reported fiscal fourth-quarter revenue of $3.41 billion, up 34% year over year and beating Wall Street estimates of $3.35 billion. CEO Nikesh Arora said companies must build an entirely new security stack for the roughly $5 trillion of capital spending on AI infrastructure expected over the next five years to defend against automated threats. He noted that AI is forcing modernization of approximately $1 trillion in aging cybersecurity infrastructure. Next-generation security ARR rose 63% to $9.1 billion and AI agent security ARR surpassed $120 million. The company guided fiscal 2027 revenue to $14.10 billion to $14.20 billion. Shares closed at $362.09, down 5.24%, after the report.