How much of CrowdStrike’s revenue comes from haram?

CrowdStrike provides intelligent security solutions capable of protecting workloads across on-premise, virtualized, and cloud-based environments.

CrowdStrike earns its revenue from the following revenue sources:

  • Subscription Revenue: 

Includes subscription fees to use CrowdStrike’s Falcon platform and additional cloud modules designed to protect organizations from security breaches, malware, and other cyberattacks.

  • Professional Services Revenue:

Includes incident response and proactive services, forensic and malware analysis, and attribution analysis.

The contributions from each of CrowdStrike’s revenue segments in their 2021 annual report were as follows:

Practical Islamic Finance concludes:

None of CrowdStrike’s revenue comes from anything inherently haram.

Does CrowdStrike rely on interest to operate?

CrowdStrike reports interest income, income earned from marketable securities, expenses related to the fair value of warrants for its redeemable convertible preferred stock, and foreign currency transaction gains and losses as a net value represented as “other income.”

Year-to-Date
for period ended
4/30/2021
Fiscal year
ended
1/31/2021
Fiscal year
ended
1/31/2020
Other Income$4,768$6,219$6,725
Total Revenue$302,843$874,438$481,413
Interest Expense $6,230$1,559$442
Total Expenses$334,190$966,967$627,478
Other Income / Revenue1.57%0.71%1.40%
Interest Expense / Total Expense1.86%0.16%0.07%
*Numbers in thousands, U.S. dollars

Practical Islamic Finance concludes:

Riba is used but not relied upon in CrowdStrike’s operations.

What is CrowdStrike’s Environmental, Social, and Governance (ESG) impact?

Environment

CrowdStrike states that whenever possible, it chooses servers with lower power demand and adjusts power to its servers based on demand to minimize the amount of energy utilized.

Social

CrowdStrike has a high Glassdoor rating of 4.3 out of 5.0 from over 200 current and previous employees compared to a 3.3 average for all other Glassdoor rated companies.

Governance

No notable governance highlights.

Practical Islamic Finance concludes:

CrowdStrike has a net positive ESG impact.

Comfort Rating

From CrowdStrike’s business, financial, and ESG reviews, Practical Islamic Finance rates CrowdStrike stock as:

Comfortable to invest in from a Halal perspective.

Sources

FAQ: What is CrowdStrike? | Platform, Products 

Environmental Statement | CrowdStrike Holdings, Inc. 

CrowdStrike Q1 2021 10-Q 

CrowdStrike 2021 10-K

CrowdStrike Reviews