CVLT

Commvault Systems, Inc.

HALAL — SCREEN DOES NOT PASSstock

Is CVLT Halal?

Cloud data-protection and software services — generally permissible activity, but the current debt, liquidity and receivables screens fail.

What You Should Know

Commvault's March 31, 2026 Form 10-K reports assets of $1,886.305 million, convertible notes of $880.863 million, cash of $899.987 million, receivables of $330.483 million and fiscal-year revenue of $1,183.690 million. Debt/assets is 46.70%, liquidity/assets is 47.71%, receivables plus cash/assets is 65.23% and disclosed interest income is 1.84% of revenue; the examined asset-based financial screens fail. No universal prohibited-revenue numerator is disclosed.

⚠️ Concerns

  • Debt/assets is 46.70%, above examined one-third limits
  • Liquidity/assets is 47.71% and receivables-plus-cash/assets is 65.23%
  • Convertible-note leverage and large cash balance
  • Government, surveillance, cybersecurity and customer end uses require qualitative review
  • Disclosed interest income is 1.84% of fiscal-year revenue; no fixed purification percentage asserted

Current quantitative Sharia screen

Based on 10-K figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
46.70%Above limit
Below 33.333% under FTSE Yasaar

880.863 / 1,886.305

Cash + interest-bearing securities / assets
47.71%Above limit
Below 33.333% under FTSE Yasaar

899.987 / 1,886.305

Receivables + cash / assets
65.23%Above limit
Below 50% under FTSE Yasaar

1,230.47 / 1,886.305

Non-compliant income / revenue
1.84%Within limit
No more than 5% under FTSE Yasaar

21.81 / 1,183.69

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 46.70% and liquidity/assets is 47.71%, both above the examined FTSE limits; receivables-plus-cash/assets is 65.23%.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt/assets, liquidity/assets and receivables-plus-cash/assets are above the examined MSCI limits; this is not an index-membership claim.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Debt/assets and identifiable liquidity/assets are above the examined Malaysia limits; this is a calculation against SAC ratios, not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Incomplete

A licensed historical market-cap series is not stored; the filing-based asset-ratio failures are documented independently.

Business-activity disclosure

Commvault provides data-protection, backup, cyber-resilience, cloud and information-management software and services. The core software activity is generally permissible, but the filing does not provide a universal prohibited-revenue numerator for customer or end uses.

Limitation: No universal prohibited-activity revenue numerator or scholar-specific purification percentage is disclosed; government, surveillance, security and customer end-use allocation remains qualitative.

Purification

The filing discloses $21.810 million of interest income; ZakatInvest does not prescribe a fixed scholar-approved purification percentage.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Commvault's March 31, 2026 Form 10-K.
  • Interest-bearing debt is $880.863 million of convertible notes, net of issuance costs; operating leases are excluded.
  • Cash and cash equivalents are $899.987 million and trade accounts receivable are $330.483 million; no separate interest-bearing securities balance is identified.
  • Fiscal-year revenue is $1,183.690 million and disclosed interest income is $21.810 million (1.84% of revenue).
  • Cloud, data-protection and software activity is retained as qualitative analysis; no universal prohibited-revenue numerator is disclosed.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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