Fortinet (NAS: FTNT) reported earnings on July 25. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Fortinet beat expectations on revenue and met expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share dropped.
Margins dropped across the board.
Fortinet notched revenue of $129.0 million. The 21 analysts polled by S&P Capital IQ expected to see revenue of $126.2 million on the same basis. GAAP reported sales were 25% higher than the prior-year quarter's $103.0 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.12. The 23 earnings estimates compiled by S&P Capital IQ averaged $0.12 per share. GAAP EPS of $0.08 for Q2 were 11% lower than the prior-year quarter's $0.09 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 71.2%, 300 basis points worse than the prior-year quarter. Operating margin was 16.2%, 160 basis points worse than the prior-year quarter. Net margin was 10.8%, 330 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $136.1 million. On the bottom line, the average EPS estimate is $0.14.
Next year's average estimate for revenue is $525.8 million. The average EPS estimate is $0.52.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 86 members out of 95 rating the stock outperform, and nine members rating it underperform. Among 19 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 17 give Fortinet a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Fortinet is outperform, with an average price target of $29.60.
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The article Fortinet Beats on Revenue, Matches Expectations on EPS originally appeared on Fool.com.
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