Thank you for standing by, and welcome to Zscaler's Third Quarter, Fiscal Year 2025 Earnings conference call. At this time, all participants are in a listen-only mode. After the speaker presentation, there will be a question-and-answer session. To ask a question during the session, you will need to press star one one on your telephone. To remove yourself from the queue, you may press star one one again. I would now like to hand the call over to Ashwin Kesireddy, Vice President, Investor Relations and Strategic Finance. Please go ahead.
Good afternoon, everyone, and welcome to the Zscaler Third Quarter Fiscal Year 2025 Earnings conference call. On the call with me today are Jay Chaudhry, Chairman and CEO, and Remo Canessa, CFO. Please note we have posted our earnings release and a supplemental financial schedule to our investor relations website. Unless otherwise noted, all numbers we talk about today will be on an adjusted non-GAAP basis. You will find the reconciliation of GAAP to the non-GAAP financial measures in our earnings release.
I'd like to remind you that today's discussion will contain forward-looking statements, including, but not limited to, the company's anticipated future revenue, annual recurring revenue, calculated billings, operating performance, gross margin, operating expenses, operating income, net income, free cash flow, dollar-based net retention rate, future hiring decisions, remaining performance obligations, income taxes, earnings per share, our objectives and outlook, our customer response to our products, and our market share and market opportunity. These statements and other comments are not guarantees of future performance, but rather are subject to risk and uncertainty, some of which are beyond our control. These forward-looking statements apply as of today, and you should not rely on them as representing our views in the future. We undertake no obligation to update these statements after this call.
For a more complete discussion of the risks and uncertainties, please see our filings with the SEC, as well as in today's earnings release. I also want to inform you that we'll be attending the following conferences: Bank of America Global Technology Conference on June 5th, FBN Virtual Technology Conference on June 6th, and BMO Virtual Software Conference on June 9. Now, I'll turn the call over to Jay.
Thank you, Ashwin. Our strong Q3 results demonstrate growing demand for our platform and continued improvement in our sales productivity. More customers are adopting Zscaler's comprehensive solutions with platform-wide deals for our Zero Trust security. Driven by the strong demand, we achieved two significant milestones. First, we achieved our best Q3 with TCV bookings of over $1 billion. Second, our remaining performance obligations, or RPO, are now nearly $5 billion.
New logo ACV had strong growth of over 40% year- over- year. Total new ACV was up double digits year- over- year once again in the quarter. Our annual recurring revenue, or ARR, was approximately $2.9 billion, representing the third straight quarter of 23% year- over- year growth. We remain on track to reach $3 billion or more in ARR by the end of this quarter. We are proud of achieving these strong top-line results at scale while delivering strong profitability. Our year-to-date fiscal 2025 revenue growth of 24%, combined with our free cash flow margin of 28%, resulted in Rule of 52 performance. While many SaaS companies struggle to achieve Rule of 40 performance, we have exceeded this industry benchmark for each of the last 21 quarters.
Moving on to discussion of our platform, I am very pleased to share that our platform now secures over 50 million users and other significant milestones. This milestone gives us several competitive advantages. First, more users deliver powerful network effect and strengthen our market leadership. Zscaler's Zero Trust Exchange platform sits in line for enterprise communications. Every time we secure a user from a new attack, we apply that protection for all users of our platform, creating a flywheel for improving security. The magnitude of this effect is staggering. Last year alone, our exchange processed over 100 trillion transactions, blocked over 60 billion threats, and enforced over 5 trillion policies. This unique network effect differentiates Zscaler from other vendors trying to pursue this market segment and delivers unparalleled cybersecurity to our customers. Hence, more and more enterprises are selecting Zscaler as the partner of choice.
Second, more users mean more high-quality data for our AI solutions. The millions of users, workloads, and IoT devices on our platform result in over 500 billion transactions, generating over 20 PB of high-fidelity data per day. As you know, AI is only as good as the data that powers it, and I believe we have the best data. There are two unique aspects to our proprietary data. One, its vast quantity, and two, its high fidelity, both of which we utilize to train our models and deliver highly effective AI solutions. Third, the large volume of proprietary data I just talked about empowers us to deliver cutting-edge solutions for security operations. By leveraging our data fabric technology and correlating our logs with third-party data, we have introduced exposure management and threat management solutions, which deliver a new level of actionable insights for our customers' security operations.
Leveraging our scale, we're building new security operation solutions, copilots, and agentic AI solutions that will be showcased at our upcoming Zenith Live conferences. With our Zero Trust Exchange platform, we fundamentally transform cybersecurity from firewall-based models to Zero Trust architecture. Firewall-based security creates trusted and untrusted networks. Once a user or a threat actor gets on the trusted network, they are then blindly trusted and can move unchecked across the enterprise network. That is what makes ransomware and other cyberattacks so dangerous. With Zscaler's Zero Trust architecture, there's no concept of trusted networks. Every user, every workload, every IoT/OT device, and every AI model is untrusted. With Zero Trust, we connect only the authorized party to the authorized application.
While legacy vendors are attempting to cobble together disjointed point products and calling it a platform, we are constantly expanding our core Zero Trust Exchange by integrating new functionality to solve more and more of our customers' security concerns. Our industry-leading capabilities are recognized by our customers, partners, and leading third-party analyst firms. Of note, I am thrilled to share that Gartner once again recognized Zscaler as a leader in their SSE Magic Quadrant, extending our status as a leader in the MQ for user security for over a decade. Moving on to the macro environment, customers remain cautious about their IT spending due to ongoing economic uncertainty. While customers are still prioritizing cyber and data protection, return on investment and the value delivered remain important to customers.