(CTN News) – Okta has revealed that hackers who breached their customer support system have stolen data from all of their customer support users, a much larger breach than initially believed.
This news caused a drop in shares by as much as 7% during pre-market trading on Wednesday.
However, the stock recovered after Okta announced earnings that surpassed expectations.
The company had originally planned to report earnings later in the day but moved it up to the morning following the disclosure of the expanded breach. Reported adjusted earnings per share of 44 cents, exceeding the 30 cents expected by analysts.
Additionally, their third-quarter revenue reached $584 million, surpassing the consensus estimate of $563 million. Okta has warned that the expanded breach puts customers at a higher risk of attacks or phishing attempts.
However, it clarified that customers in government or Department of Defense environments were not affected by the breach.
Okta stated in a letter that there is no proof hackers are using the obtained data to target customers. 99.6% of affected customers had their email and full name exposed. Okta is working with a forensics firm and will share the report with customers.
They will also notify individuals whose information was downloaded. Okta’s identity management solutions are used by many businesses, making them a prime target for hackers.
Social engineering tactics were employed by threat actors in the attacks on MGM and Caesars, which targeted the IT help desks and platforms of these companies.
The total losses incurred from these incidents, including a multi-million dollar ransom payment from Caesars, exceeded $100 million.
Okta initially revealed that its customer support system had been compromised, however, it stated that approximately 130 customers were affected by the security breach.
This announcement caused a significant decline of over 11% in the company’s share price, resulting in a loss of approximately $2 billion in market capitalization.
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This news article has been translated from the original language to English by WorldsNewsNow.com.
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