F5 Networks beats quarterly expectations as revenue up 11% to $645M, but stock dips 5%
F5 Networks earnings: The Seattle-based company reported $645 million in revenue, up 11% year-over-year, for its fiscal first quarter. Non-GAAP earnings per share came in at $2.50, up from $2.23. Analysts expected revenue of $635 million and earnings per share of $2.39. Shares were down more than 5% in after-hours trading.
Pandemic tailwinds: F5 CEO François Locoh-Donou said the company is benefiting from customers “scaling their digital assets faster, resulting in growing demand for F5’s application security and delivery solutions.”
F5 transformation: The company has been moving aggressively into software and services, expanding beyond its traditional networking hardware business. It has spent more than $2 billion over the past two years on acquisitions, swooping up companies including Volterra, Nginx, and Shape Security. F5’s stock price has doubled since March 2020, now trading at more than $200/share.