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Crowdstrike shows small signs of recovery from disastrous flawed update last summer

Delta airlines plane
CrowdStrike flight fallout FILE PHOTO: Delta Air Lines is still trying to rebound after a worldwide internet outage on Friday. (Studio Porto Sabbia/Studio Porto Sabbia - stock.adobe.com)

ATLANTA, GA — Crowdstrike investors have been watching for signs the cybersecurity firm has recovered from a flawed update that crashed computers across industries last summer. But investors were disappointed with the latest results.

Crowdstrike’s latest quarterly results beat estimates, but the cybersecurity company issued a weaker-than-expected earnings forecast, sending shares lower in late trading.

This earnings report is Crowdstrike’s second one since its flawed update in July crashed millions of devices operating on Microsoft’s windows systems. The outage disrupted a wide range of industries, including banking, healthcare and air travel, with Delta Airlines especially hard hit.

The airline has sued Crowdstrike, saying the outage cost Delta at least $500 million. At the time, the firm said Delta was shifting blame from its failure to update the airline’s antiquated it infrastructure.

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