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FFIV · F5, INC.

50 filings

10-Q

FFIV 10-Q Quarterly Reports

F5, INC. - 50 quarterly reports

Filing record · 2016–202610-K1010-Q338-K108

FFIV filed 10 annual reports (10-K), 33 quarterly reports (10-Q) and 108 current reports (8-K) between 2016 and 2026.

  1. FY2017 annual report10-K · Nov ’17Nov ’17
  2. Deal closed8-K · Jan ’20Jan ’20
  3. Leadership change8-K · Jan ’22Jan ’22
  4. Leadership change8-K · Oct ’25Oct ’25
  1. 2026-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2026

    F5, INC. (FFIV) reported strong financial performance for the nine months ended June 30, 2026, with total revenues reaching $2.5 billion, an increase of 9.7% year-over-year. This growth was driven by a significant 17.3% rise in product revenues, particularly in systems, which grew 31.6%, alongside a more modest 2.7% increase in services revenue. The company demonstrated improved profitability, with gross profit increasing by 10.5% to $2.04 billion and net income growing 6.8% to $536.0 million. Diluted EPS also saw a healthy increase to $9.29 from $8.54 in the prior year period. The balance sheet remains robust, with total assets growing to $6.83 billion and cash and cash equivalents increasing to $1.61 billion. Despite a substantial increase in share repurchases totaling $501.1 million for the nine-month period, F5 maintained a strong cash position and positive operating cash flow of $841.4 million. The company also made strategic acquisitions, including SurePath AI, Inc., to bolster its AI security capabilities. While facing ongoing legal proceedings and the impact of a previously disclosed cyber incident, F5 appears to be managing these challenges effectively. The company's consistent revenue growth, expanding profitability, and strategic investments position it favorably within the application delivery and security solutions market.

    Aug 6, 2026
  2. 2026-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2026

    F5, INC. (FFIV) reported solid financial results for the six months ended March 31, 2026, demonstrating continued growth and profitability. Total net revenues increased by 9.1% year-over-year to $1.63 billion, driven by a robust 16.3% rise in product revenues, which benefited from strong demand for both systems and software solutions. Service revenues also saw a modest increase of 2.7%. The company maintained healthy gross margins around 81.5%, reflecting effective cost management. Net income grew to $327.8 million, an increase of 5.1% compared to the prior year's period, with diluted EPS reaching $5.68. The company continues to invest in growth, with R&D expenses up 9.4% and sales and marketing expenses up 9.5%, indicating a strategic focus on innovation and market expansion. Financially, F5, Inc. maintains a strong liquidity position with $1.44 billion in cash, cash equivalents, and restricted cash as of March 31, 2026. Operating activities generated a significant $525.1 million in cash flow, underscoring the company's operational efficiency. However, the company was active in returning capital to shareholders, with $401.1 million used for share repurchases during the six-month period, alongside $18.1 million for taxes related to net share settlements of equity awards. The company also faces ongoing legal proceedings, including a copyright claim related to NGINX and a securities class action lawsuit, alongside the previously disclosed Cyber Incident. While these present uncertainties, management remains confident in its defense and the overall financial stability of the company.

    May 5, 2026
  3. 2026-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2025

    F5, Inc. (FFIV) reported solid financial results for the quarter ended December 31, 2025. Total revenues increased by 7.3% year-over-year to $822.5 million, driven by a significant 11.3% surge in product revenues to $410.3 million, primarily due to strong performance in systems. Service revenues also saw a modest increase of 3.6% to $412.2 million. Net income grew by 8.2% to $180.1 million, resulting in diluted earnings per share of $3.10, up from $2.82 in the prior year period. The company's gross margin remained strong at 81.5%. The company successfully integrated the acquisition of CalypsoAI Corp. in September 2025, enhancing its AI security offerings. While F5 continues to invest in research and development and sales and marketing, it also executed a substantial share repurchase program, returning capital to shareholders. Management expressed confidence in the company's liquidity and ability to meet its obligations, with cash and equivalents totaling $1.2 billion at quarter-end. Investors should monitor the ongoing legal proceedings and the potential impact of the previously disclosed Cyber Incident.

    Feb 5, 2026
  4. 2025-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2025

    F5, INC. (FFIV) reported a strong third quarter for fiscal year 2025, demonstrating robust revenue growth and improved profitability. Total net revenues increased by 12.2% year-over-year to $780.4 million, driven by a significant surge in product revenues, particularly in systems and software. This growth indicates successful market penetration and demand for F5's advanced application delivery and security solutions. The company's profitability also saw a notable improvement, with net income rising to $190 million, a substantial increase from $144 million in the prior year's comparable quarter. This enhanced profitability, coupled with a healthy increase in operating income, reflects effective cost management and the benefits of its revenue growth strategy. For the nine-month period, total net revenues grew by 10.1% to $2.28 billion, and net income reached $501.9 million. The company maintained a strong cash position, with cash and cash equivalents increasing to $1.43 billion. F5 also continued its commitment to shareholder returns through a significant share repurchase program, repurchasing $125 million worth of stock in the quarter. Despite ongoing macroeconomic uncertainties, F5's performance suggests resilience and a positive outlook for its core business.

    Aug 6, 2025
  5. 2025-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2025

    F5, Inc. reported solid financial results for the second quarter of fiscal year 2025, with total net revenues increasing by 7.3% year-over-year to $731.1 million. This growth was driven by a strong performance in product revenues, particularly systems, which saw a 26.7% increase, alongside a more moderate but steady rise in services revenue. The company maintained healthy gross margins, reflecting effective cost management despite increased investments in research and development. Net income also saw a significant increase, up 22.3% to $145.5 million, indicating improved profitability and operational efficiency. The balance sheet remains robust, with total assets growing to $5.9 billion, supported by a substantial increase in cash and cash equivalents. The company continues to actively return capital to shareholders through its share repurchase program, repurchasing $125.0 million in the current quarter. While F5 faces ongoing legal proceedings, management remains confident in its defenses and has not accrued any loss contingencies. The company's strategic focus on application delivery and security solutions, coupled with its diverse customer base and expanding cloud offerings, positions it well for continued growth.

    May 6, 2025
  6. 2025-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2024

    F5, Inc. (FFIV) reported a strong first quarter for fiscal year 2025, with total net revenues increasing by 10.7% year-over-year to $766.5 million. This growth was primarily driven by a significant 20.5% increase in net product revenues, fueled by both software and systems sales, indicating a rebound in demand for its core offerings. Service revenues also saw a modest increase of 2.9%, supported by maintenance contract renewals. The company's profitability improved, with net income rising to $166.4 million from $138.4 million in the prior year period, resulting in a healthy increase in diluted EPS to $2.82 from $2.32. Financially, F5 maintains a robust balance sheet with total assets growing to $5.9 billion. Cash and cash equivalents increased to $1.15 billion, demonstrating strong operating cash flow generation of $202.8 million for the quarter. The company actively returned capital to shareholders through share repurchases totaling $125 million, while still holding $1.3 billion remaining under its authorized repurchase program. The strong revenue growth, improved profitability, and healthy cash flow position suggest positive momentum for F5 heading into the rest of fiscal year 2025.

    Feb 7, 2025
  7. 2024-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2024

    F5, Inc. reported its financial results for the quarter and nine months ended June 30, 2024. The company demonstrated strong profitability with net income increasing significantly year-over-year for both periods, driven by improved operational efficiencies and a strategic focus on higher-margin services. Total net revenues saw a slight decline, primarily due to a decrease in product sales, particularly systems, though this was partially offset by an increase in service revenues, largely from maintenance contract renewals and price realizations. Financially, F5 continues to maintain a robust balance sheet with substantial cash and investments. The company generated strong operating cash flow, which was utilized for significant share repurchases, indicating a commitment to returning value to shareholders. Despite a slight dip in overall revenue, the improved profitability and healthy cash generation position F5 to navigate current market conditions and invest in future growth. Investors should monitor the ongoing shift in revenue mix towards services and the company's ability to reignite product revenue growth in a stabilizing demand environment.

    Aug 6, 2024
  8. 2024-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2024

    F5, Inc. (FFIV) reported its fiscal second-quarter results, showcasing a notable increase in profitability driven by disciplined expense management and a shift in revenue mix. While total net revenues saw a slight decline year-over-year, primarily due to a decrease in systems product sales, the company demonstrated resilience through a significant increase in services revenue, bolstered by maintenance contract renewals and prior period price increases. This shift, coupled with a reduction in operating expenses, particularly in sales, marketing, and R&D, led to a substantial improvement in income from operations and net income. The company's financial health remains robust, with a strong cash position and an undrawn revolving credit facility. F5 continues its commitment to shareholder returns through a significant share repurchase program, demonstrating confidence in its future performance. While macroeconomic uncertainties and customer budget constraints are noted as headwinds affecting product demand, F5 believes these are temporary and rooted in the broader economic environment rather than architectural shifts or competitive pressures. The company is focused on its multi-cloud application security and delivery solutions, expecting continued demand driven by application and API growth.

    May 6, 2024
  9. 2024-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2023

    F5, Inc. reported a net income of $138.4 million for the three months ended December 31, 2023, a significant increase from $72.4 million in the prior year period. This growth was primarily driven by a substantial improvement in operating income, which more than doubled year-over-year, alongside strong service revenue growth. Despite an overall decline in total net revenues (-1.1%), the company demonstrated effective cost management, with operating expenses decreasing significantly as a percentage of net revenue, leading to a robust increase in profitability. The company also continued its share repurchase program, indicating confidence in its financial position and commitment to returning value to shareholders.

    Feb 5, 2024
  10. 2023-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2023

    F5, INC. (FFIV) reported solid financial results for the nine months ended June 30, 2023, demonstrating resilience despite a challenging macroeconomic environment. Total net revenues grew by 5.5% year-over-year, reaching $2.11 billion, driven by an increase in both product and service revenues. Notably, service revenues saw a 6.6% increase, partly attributed to higher maintenance contract renewals as customers delayed new product purchases. Net income for the period also increased by 4.3% to $242.8 million. The company maintained a strong balance sheet with $681.6 million in cash, cash equivalents, and restricted cash as of June 30, 2023, although this represents a decrease from the prior year primarily due to debt prepayment and share repurchases. Despite a reported charge of $56.7 million related to a third-quarter fiscal year 2023 restructuring plan aimed at driving efficiencies and annualized savings of approximately $130 million, the company's operational performance remained robust. Management indicated that the softer demand for new products observed is temporary, stemming from macroeconomic uncertainties and customer budget constraints rather than architectural shifts or competitive pressures. F5's strategic focus on multi-cloud application security and delivery solutions continues to be a core driver for future growth.

    Aug 4, 2023
  11. 2023-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2023

    F5, Inc. reported its financial results for the quarter and six months ended March 31, 2023. The company experienced revenue growth driven by an increase in product revenue, particularly systems sales, and continued growth in service revenue from maintenance contract renewals. Despite an increase in cost of product revenues due to component cost increases and sourcing-related costs, F5 maintained strong gross margins. Operationally, the company saw increases in sales and marketing, and research and development expenses, primarily due to personnel costs, while general and administrative expenses saw a slight decrease. Net income for the period showed a positive trend, supported by increased income from operations and higher interest income. The company's liquidity remains strong, with sufficient cash and investments, and an undrawn revolving credit facility, although cash was utilized for debt prepayment and share repurchases. Management noted a softer demand environment due to macroeconomic uncertainty, impacting customer buying patterns, but believes this is temporary.

    May 5, 2023
  12. 2023-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2022

    F5, Inc. reported total net revenues of $700.4 million for the three months ended December 31, 2022, a 1.9% increase year-over-year. This growth was primarily driven by a 4.6% increase in service revenues, reflecting a larger installed product base and the benefits of price increases. Product revenues remained largely flat, with a slight decrease in systems revenue offset by growth in software revenue. The company's net income for the quarter was $72.4 million, or $1.20 per diluted share, compared to $93.6 million, or $1.51 per diluted share, in the prior year. This decrease was influenced by higher cost of product revenues, increased operating expenses particularly in research and development, and a higher effective tax rate. Financially, F5 significantly reduced its debt by voluntarily prepaying its entire $350 million term loan. The company also maintained a strong liquidity position with $609.9 million in cash, cash equivalents, and restricted cash as of December 31, 2022, and an undrawn $350 million revolving credit facility. Shareholder returns were supported by $40 million in share repurchases during the quarter.

    Feb 3, 2023
  13. 2022-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2022

    F5, Inc. reported a modest increase in total net revenues for the three and nine months ended June 30, 2022, compared to the prior year, driven by growth in software and services, though partially offset by a decline in systems revenue due to supply chain constraints. The company demonstrated resilience with improved income from operations and net income for both periods. The acquisition of Threat Stack in October 2021 is integrated, and its financial impact is not yet material. F5's balance sheet remains strong, with significant cash and investments, although cash levels decreased due to substantial share repurchases and the Threat Stack acquisition. The company continues to manage its debt obligations effectively and has ample liquidity from its revolving credit facility. Key financial highlights include the growth in software revenue, a strategic shift towards subscription-based and SaaS offerings, and diligent management of operating expenses, with notable increases in R&D to support future growth. Despite ongoing supply chain challenges impacting hardware sales, F5's strategic focus on software and cloud-based solutions positions it for continued growth. The company maintains compliance with its debt covenants and is actively managing its capital resources.

    Aug 5, 2022
  14. 2022-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2022

    F5, Inc. (FFIV) reported its financial results for the quarter and six months ended March 31, 2022. Total net revenues saw a slight decrease of 1.7% for the quarter, primarily impacted by supply chain constraints affecting hardware sales, though this was partially offset by growth in software offerings. For the six-month period, total net revenues increased by 4.0%, driven by growth in both product (especially software) and services revenue. The company's gross margin remained strong, around 80%, indicating effective cost management despite rising component prices. Operating expenses saw a reduction in the quarter, driven by lower sales and marketing and general and administrative costs. Net income for the quarter was $56.2 million, an increase from $43.2 million in the prior year, demonstrating improved profitability. The company continues to invest in R&D and has implemented a restructuring plan, resulting in a charge of $7.9 million in the first half of the fiscal year. F5 maintains a strong liquidity position with $922.0 million in cash and investments, despite significant share repurchases and the acquisition of Threat Stack in the prior year.

    May 6, 2022
  15. 2022-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2021

    F5, INC. (FFIV) reported a solid increase in net revenues for the quarter ended December 31, 2021, driven by growth in both product and service segments. Total net revenues rose by 10.0% year-over-year to $687.1 million. Product revenue saw a significant 19.1% increase, primarily fueled by strong software sales, while service revenue grew by 2.2%. The company successfully integrated the Threat Stack acquisition, which closed in October 2021, enhancing its cloud security capabilities. Despite facing supply chain constraints that impacted hardware sales, F5 demonstrated robust financial performance, with net income increasing to $93.6 million from $87.7 million in the prior year's comparable quarter.

    Feb 4, 2022
  16. 2021-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2021

    F5, Inc. (FFIV) reported solid revenue growth in its fiscal third quarter ended June 30, 2021, with total net revenues increasing by 11.7% year-over-year to $651.5 million. This growth was primarily driven by a significant 22.3% increase in net product revenues, especially from software sales, indicating a positive shift in their product mix. While gross margin saw a slight decrease to 81.4% from 81.8% in the prior year's comparable quarter, operating expenses also grew, impacting income from operations which rose by 9.9% to $96.4 million. The company also saw a notable reduction in its effective tax rate, contributing to a higher net income of $89.6 million, a 28.2% increase year-over-year. The company's balance sheet reflects strategic acquisitions, with goodwill increasing significantly due to the acquisition of Volterra, Inc. in January 2021. Cash and investments decreased due to this acquisition and share repurchases, but the company maintains a strong liquidity position with substantial available borrowing capacity. Despite ongoing legal proceedings, F5 demonstrated resilience in its financial performance, with continued investment in research and development and sales and marketing to support future growth.

    Aug 5, 2021
  17. 2021-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2021

    F5, Inc. (FFIV) reported its fiscal second-quarter 2021 results, showing year-over-year revenue growth driven by strong performance in software products. Total net revenues increased by 10.6% to $645.3 million for the quarter, with product revenues growing 19.1% and service revenues up 3.8%. This growth was primarily fueled by an increase in software product sales and an expanding installed base of products. The company's profitability saw a decline, with net income decreasing from $61.4 million in the prior year's quarter to $43.2 million. This was largely impacted by increased operating expenses, particularly in sales and marketing and research and development, as well as impairment charges related to facility exits. Despite these pressures, F5 continues to invest in its growth areas and manage its balance sheet, evidenced by ongoing share repurchase programs and a strong cash position, though temporarily reduced by recent acquisitions.

    May 6, 2021
  18. 2021-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2020

    F5, INC. (FFIV) reported a net income of $87.7 million ($1.41 diluted EPS) for the quarter ended December 31, 2020, a decrease from $98.5 million ($1.62 diluted EPS) in the prior year quarter. Total net revenues increased by 9.7% to $624.6 million, driven by a 22.8% rise in product revenue, largely due to an increase in software sales and the impact of the Shape acquisition. Service revenues remained relatively flat. The company highlighted strong growth in software revenue and continued integration of the Shape acquisition, which contributed to increased product costs and overall operating expenses, particularly in R&D and Sales & Marketing, reflecting strategic investments in growth areas. Despite the decrease in net income, the company's financial position remains robust with a significant increase in cash and cash equivalents, reaching $1.03 billion. Management noted that while COVID-19 has not had a significant impact on recent results, the long-term effects remain uncertain. The company ended the quarter with a strong liquidity position, including $350 million available under its revolving credit facility and significant investment balances, suggesting a solid foundation for ongoing operations and strategic initiatives.

    Feb 5, 2021
  19. 2020-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2020

    F5, Inc. (FFIV) reported financial results for the quarter and nine months ended June 30, 2020. Total net revenues saw a modest increase of 3.5% for the quarter and 5.1% for the nine months, driven by growth in software product and service revenues. The company successfully integrated the acquisition of Shape Security, Inc., which closed in January 2020, contributing to an increase in goodwill and operating expenses, particularly in sales and marketing and general and administrative costs. Despite increased operating expenses, net income saw a decline for both the three and nine-month periods compared to the prior year, largely due to higher costs associated with acquisitions and a decrease in other income. Financially, F5 strengthened its balance sheet with increased cash and equivalents, though overall investments decreased due to acquisition-related cash outflows. The company also secured a new $400 million term loan facility to finance the Shape acquisition, with no outstanding borrowings under its $350 million revolving credit facility as of June 30, 2020. Management noted the uncertainty surrounding the ongoing COVID-19 pandemic and its potential impact on future operations and financial performance, though no significant impact was observed in the current quarter's results.

    Aug 5, 2020
  20. 2020-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2020

    F5, INC. reported financial results for the quarter and six months ended March 31, 2020. Total net revenues showed growth, with a 7.1% increase for the quarter and 5.9% for the six-month period, driven by increased software and service revenues. The company completed the significant acquisition of Shape Security, Inc. in January 2020 for approximately $1 billion in cash, which is reflected in a substantial increase in goodwill and intangible assets on the balance sheet, as well as higher financing activities due to associated debt. Despite increased operating expenses, particularly in sales and marketing and R&D, the company maintained profitability. The company also noted the emerging impact of the COVID-19 pandemic, stating it had a net-neutral impact on results for the quarter ended March 31, 2020, but acknowledged the ongoing uncertainty. Key financial metrics indicate a shift in the company's asset base, with a significant increase in goodwill due to the Shape acquisition. While cash reserves decreased due to the acquisition, the company secured a new $400 million term loan and has a $350 million revolving credit facility, indicating a strong liquidity position. The adoption of new lease accounting standards (ASC 842) resulted in the recognition of significant operating lease right-of-use assets and liabilities on the balance sheet. The company's outlook remains cautiously optimistic, with ongoing monitoring of the COVID-19 pandemic's potential impacts.

    May 6, 2020
  21. 2020-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2019

    F5, Inc. (FFIV) reported its financial results for the quarter ended December 31, 2019. Total net revenues saw a healthy increase of 4.7% year-over-year, driven primarily by growth in software and services. The company's strategic focus on multi-cloud application services appears to be resonating with customers, as evidenced by the revenue growth, particularly in services which now represent a larger portion of the revenue mix at 58.8% compared to 57.0% in the prior year's quarter. Operating expenses increased significantly, largely due to investments in sales and marketing, research and development, and general and administrative functions, including costs associated with the NGINX acquisition and relocation of its corporate headquarters. Despite the rise in operating expenses, the company maintained a strong gross profit margin of 84.4% and demonstrated solid cash flow generation from operations.

    Feb 5, 2020
  22. 2019-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2019

    F5, Inc. (FFIV) reported its financial results for the nine months ended June 30, 2019. The company demonstrated steady revenue growth, with total net revenues increasing by 3.3% year-over-year for the nine-month period. This growth was driven by an increase in software sales and service revenues, indicating a positive trend in their core business. A significant event during this period was the acquisition of Nginx, Inc. on May 8, 2019, which is expected to enhance F5's multi-cloud application services capabilities. Financially, F5 maintained a strong balance sheet with substantial cash and investments, although total cash and investments decreased primarily due to the Nginx acquisition. The company also continued its share repurchase program, albeit with a temporary suspension of its automatic component following the acquisition. Operating expenses, particularly in sales and marketing and R&D, saw increases, largely attributed to headcount growth and the Nginx integration, impacting operating income, which decreased year-over-year for both the three and nine-month periods. Despite these investments, the company reported positive net income and continued to generate strong operating cash flows.

    Aug 2, 2019
  23. 2019-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2019

    F5, Inc. (FFIV) reported solid financial results for the six months ended March 31, 2019, demonstrating steady revenue growth and improved profitability. Total net revenues increased by 3.0% year-over-year, driven by robust growth in service revenues, which offset a slight decline in product revenues for the quarter. The company maintained healthy gross margins and managed operating expenses effectively, leading to a significant increase in net income of 24.7% for the six-month period. Key financial strengths include a strong balance sheet with substantial cash and investments, and no long-term debt, providing significant financial flexibility. The company also announced a definitive agreement to acquire Nginx, Inc. for approximately $670 million, signaling a strategic move to enhance its application services portfolio. While the acquisition is expected to be funded by cash and potentially debt, F5's current financial position appears robust enough to support such a transaction.

    May 3, 2019
  24. 2019-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2018

    F5, INC. (FFIV) reported solid financial results for the quarter ended December 31, 2018. The company demonstrated revenue growth driven by its services segment, which benefited from an expanding installed base of products. Profitability also saw a significant increase, with net income rising substantially year-over-year, partly attributable to a lower effective tax rate following the Tax Cuts and Jobs Act. The company maintained a strong liquidity position with substantial cash and investments and continued its commitment to shareholder returns through a robust share repurchase program. Management expressed confidence in the company's ability to meet operating requirements and noted ongoing investments in research and development to support future growth.

    Feb 1, 2019
  25. 2018-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2018

    F5, INC. (FFIV) reported solid financial results for the nine months ended June 30, 2018, with total net revenues growing to $1.6 billion, a 3.0% increase year-over-year. This growth was primarily driven by a 7.0% rise in service revenues, reflecting an expanding installed customer base and recurring maintenance contracts. While product revenues saw a slight decrease of 1.7% for the same period, the company's focus on services demonstrates a shift towards more predictable revenue streams. Net income for the nine months increased by 12.6% to $320.8 million, with diluted earnings per share rising to $5.16. The company maintained a strong liquidity position, with $1.4 billion in cash and investments, and continued to return capital to shareholders through share repurchases, spending $450.1 million on buybacks during the period. However, the company faces ongoing legal proceedings with Radware, Inc., the outcome of which remains uncertain but has not yet required an accrual for loss contingencies.

    Aug 1, 2018
  26. 2018-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2018

    F5 Networks, Inc. (FFIV) reported for the six months ended March 31, 2018, a total revenue of $1.056 billion, representing a 2.2% increase year-over-year. This growth was primarily driven by a 6.9% increase in service revenues, benefiting from a growing installed product base and increased maintenance contract renewals. Product revenues, however, experienced a slight decline of 3.3%. Net income for the period rose by 5.7% to $198.1 million, leading to diluted EPS of $3.18, an increase from $2.87 in the prior year. The company maintained a strong financial position with $1.37 billion in cash and investments and no long-term debt. Significant share repurchases of $300 million were executed during the period. The company also highlighted the impact of the Tax Cuts and Jobs Act of 2017, which resulted in a lower effective tax rate for the period. Management expressed confidence in their ability to meet operating requirements for the next twelve months through existing cash reserves and operational cash flow.

    May 2, 2018
  27. 2018-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2017

    F5 Networks, Inc. (FFIV) reported its financial results for the quarter ended December 31, 2017. The company demonstrated modest top-line growth, with total net revenues increasing by 1.4% year-over-year to $523.2 million. This growth was primarily driven by a 7.0% increase in service revenues, which offset a 5.1% decline in product revenues. The shift towards services revenue highlights a potential strategic evolution for the company, offering more recurring revenue streams. Profitability remained robust, with net income at $88.4 million, a slight decrease from $94.2 million in the prior year's comparable quarter, resulting in diluted earnings per share of $1.41. The company maintained a strong balance sheet with $1.35 billion in cash and investments and no long-term debt. A significant highlight was the active capital return program, with $150 million used for share repurchases during the quarter, underscoring management's commitment to returning value to shareholders.

    Feb 2, 2018
  28. 2017-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2017

    F5 Networks, Inc. (FFIV) reported solid financial results for the nine months ended June 30, 2017, demonstrating consistent revenue growth and strong profitability. Total net revenues increased by 5.6% to $1.55 billion, driven by both product and service sales, with services representing a growing portion of the revenue mix. The company maintained healthy gross margins around 83% and effectively managed operating expenses, leading to a 11.3% increase in income from operations to $415.1 million. Financially, F5 Networks maintained a strong balance sheet with over $1.2 billion in cash and investments and no long-term debt. Operating activities generated robust cash flow of $527.2 million, which was largely utilized for significant share repurchases totaling $450.1 million, reflecting a commitment to returning capital to shareholders. The company also announced plans for a new corporate headquarters in Seattle, indicating a strategic investment in future growth and operations.

    Aug 2, 2017
  29. 2017-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2017

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter ended March 31, 2017, demonstrating continued revenue growth and a healthy increase in profitability. Total net revenues rose by 7.1% year-over-year, driven by robust demand for its core application delivery networking (ADN) products, particularly security solutions and software-only Virtual Editions, as well as a growing services revenue stream from an expanding installed base. The company maintained strong gross margins at 83.0% and improved operating income by 20.5%, showcasing effective cost management alongside revenue expansion. Key financial strengths include a strong balance sheet with a substantial increase in cash and cash equivalents to $655.8 million, supported by robust operating cash flow generation of $364.7 million for the first six months. The company continues to return value to shareholders through its share repurchase program, repurchasing $300 million in common stock during the period. Management expressed confidence in their liquidity, projecting that existing cash balances and operational cash flow will be sufficient to meet operating requirements for at least the next twelve months. The company also noted the upcoming CEO transition, with François Locoh-Donou set to take over on April 3, 2017, and highlighted ongoing efforts to address potential accounting standard changes.

    May 10, 2017
  30. 2017-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2016

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter ended December 31, 2016. Total net revenues grew by 5.4% year-over-year, driven primarily by an 8.5% increase in service revenues, indicating continued customer reliance on the company's support and maintenance offerings. Product revenue saw a more modest increase of 2.0%. The company maintained strong gross profit margins at 83.5%. Net income increased to $94.2 million, up from $89.7 million in the prior year period, translating to diluted earnings per share of $1.44. Operationally, F5 Networks demonstrated effective cost management, with operating expenses as a percentage of net revenue remaining stable year-over-year at 56.8%. The company's liquidity position remains robust, with cash and investments totaling $1.197 billion as of December 31, 2016. Significant cash flow from operations was bolstered by substantial share repurchases, totaling $150 million during the quarter, demonstrating a commitment to returning capital to shareholders. The company also noted an ongoing legal proceeding with Radware, for which an accrual of $7.0 million was recorded.

    Feb 1, 2017
  31. 2016-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2016

    F5, Inc. (FFIV) reported its financial results for the period ending June 30, 2016. The company demonstrated resilience in its financial performance, with total net revenues increasing by 2.7% year-over-year for the quarter, reaching $496.5 million. This growth was primarily driven by a 12.9% increase in service revenues, reflecting an expanding installed base of products, while product revenues saw a slight decline. Profitability remained strong, with gross profit increasing by 3.8% to $412.2 million, leading to a healthy gross margin of 83.0%. Net income for the quarter was $91.8 million, a slight decrease from the prior year's $93.2 million, resulting in diluted earnings per share of $1.37, consistent with the prior year's $1.30 on a basic EPS basis. The company maintained a robust balance sheet, with total assets of $2.25 billion and a significant cash position. Management highlighted strong liquidity and cash flow generation, with $507.5 million in cash provided by operating activities for the nine-month period, largely utilized for significant share repurchases totaling $550.1 million.

    Jul 27, 2016
  32. 2016-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2016

    F5 Networks, Inc. reported steady overall revenue growth for the third quarter of fiscal year 2016, driven primarily by a significant increase in service revenues, which offset a decline in product revenues. This shift in revenue mix indicates a growing reliance on recurring revenue streams from maintenance and support contracts, likely due to an expanding installed base. While total revenue saw a modest increase, profitability per share saw a slight decrease compared to the prior year, partly influenced by increased operating expenses, particularly in research and development and sales and marketing, and a notable litigation expense. The company's balance sheet remains strong with substantial cash and investments, though it was impacted by a significant stock repurchase program. The company's liquidity is considered sufficient for the next twelve months. Investors should note the ongoing shift towards services revenue and the company's commitment to innovation through increased R&D spending, alongside careful management of operating expenses. The significant ongoing legal proceeding with Radware presents a notable risk factor and potential financial impact.

    Apr 27, 2016
  33. 2016-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2015

    F5 Networks, Inc. (FFIV) reported its fiscal second quarter results for the period ending December 31, 2015. The company demonstrated steady revenue growth, with total net revenues increasing by 5.8% year-over-year to $489.5 million. This growth was primarily driven by a significant 14.9% increase in service revenues, offsetting a slight 2.6% decline in product revenues. The company's gross profit margin remained strong at 82.5%. Operating expenses also saw an increase, particularly in Research and Development, reflecting ongoing investment in innovation. Financially, F5 Networks maintained a strong liquidity position with $1.175 billion in cash and investments. A significant portion of cash flow was utilized for share repurchases, with $200 million spent during the quarter under its established repurchase program. The company reported net income of $89.7 million, or $1.28 per diluted share, indicating a slight increase from the prior year. The company reiterated its belief that current cash and investment balances, along with operational cash generation, will be sufficient to meet its operating requirements for at least the next twelve months.

    Jan 27, 2016
  34. 2015-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2015

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter and nine months ended June 30, 2015, demonstrating continued revenue growth driven by both its products and services segments. Total net revenues increased by 9.8% for the quarter and 12.0% for the first nine months of fiscal year 2015 compared to the prior year, indicating robust demand for its application delivery networking (ADN) solutions. Profitability also saw improvement, with net income rising by 17.2% for the quarter and 23.4% for the nine-month period. The company maintained strong gross margins above 82%, reflecting effective cost management. F5 Networks also continued its aggressive share repurchase program, returning significant capital to shareholders. The company maintains a strong liquidity position with substantial cash and investments and no long-term debt, positioning it well for continued investment in innovation and operational expansion.

    Jul 29, 2015
  35. 2015-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2015

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter and six months ended March 31, 2015, demonstrating continued revenue growth and profitability. Total net revenues increased by 12.4% and 13.1% for the three and six-month periods, respectively, driven by growth in both product and service revenues, signaling strong demand for its application delivery networking (ADN) solutions. The company maintained robust gross margins, reflecting its ability to manage cost of revenues effectively, and demonstrated operational efficiency by controlling operating expenses as a percentage of revenue. Financially, F5 Networks maintained a strong balance sheet with a significant increase in cash and cash equivalents, largely fueled by robust operating cash flow. The company continued its commitment to returning capital to shareholders through a significant stock repurchase program, underscoring its confidence in its financial position and future prospects. While the company faces a dynamic market and competitive landscape, its consistent revenue growth, healthy margins, and strong cash generation position it favorably for continued success.

    May 7, 2015
  36. 2015-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2014

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter ended December 31, 2014. The company demonstrated robust revenue growth, driven by both its products and services segments, indicating continued demand for its application delivery networking (ADN) solutions. Profitability also saw a significant increase, reflecting effective cost management and operational leverage. The balance sheet remains strong, with substantial cash and investments, underscoring the company's financial stability. Management's outlook suggests confidence in continued growth, supported by product innovation and expansion in key markets. The company continues to invest in research and development to maintain its competitive edge and is actively engaged in share repurchase programs, returning value to shareholders. While facing a dynamic market, F5 Networks appears well-positioned to capitalize on evolving technology trends, including cloud computing, by adapting its product and service offerings.

    Feb 5, 2015
  37. 2014-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2014

    F5 Networks, Inc. (FFIV) reported solid financial performance for the third quarter and the first nine months of fiscal year 2014, demonstrating continued revenue growth and improving profitability. Total net revenues increased by 18.9% and 16.6% for the three and nine-month periods, respectively, driven by strong demand for their core Application Delivery Networking (ADN) products and a growing services segment. The company's gross profit margin remained robust, reflecting effective cost management. Operating expenses increased, largely due to investments in sales and marketing, and research and development to support growth and innovation. The company ended the period with a strong balance sheet, characterized by significant cash and investment balances and no long-term debt. F5 Networks actively returned capital to shareholders through a substantial stock repurchase program, which significantly impacted cash flows. The acquisition of Defense.Net, Inc. during the quarter is expected to enhance the company's DDoS mitigation capabilities. Management expresses confidence in the company's liquidity and ability to meet operating requirements for at least the next twelve months.

    Aug 7, 2014
  38. 2014-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2014

    F5 Networks, Inc. (FFIV) reported solid financial results for the fiscal second quarter ended March 31, 2014. The company demonstrated strong revenue growth, driven by increases in both product and service revenues. This growth reflects continued demand for F5's core Application Delivery Networking (ADN) products and an expanding installed base of products, leading to higher service renewals. The company maintained healthy gross margins and demonstrated effective expense management, particularly in sales and marketing, despite increased investments in research and development to fuel future innovation. Financially, F5 Networks maintained a robust balance sheet with significant cash and investments. The company actively returned capital to shareholders through a substantial stock repurchase program, indicating confidence in its financial position and future prospects. While the company faces various industry and economic risks, its operational performance and financial strength provide a positive outlook for investors.

    May 8, 2014
  39. 2014-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2013

    F5 Networks, Inc. (FFIV) reported its fiscal second quarter 2014 results for the period ending December 31, 2013. The company demonstrated solid revenue growth, with total net revenues increasing by 11.2% year-over-year to $406.5 million. This growth was driven by a healthy expansion in both product and service revenues. Product revenues saw a 6.8% increase, while service revenues grew by an impressive 16.9%, indicating a strengthening recurring revenue stream. While gross profit margin slightly decreased from 83.3% to 82.1%, overall operating income remained stable. The company significantly increased its investment in Research and Development (R&D) by 32.1% and Sales and Marketing by 10.3%, signaling a commitment to future innovation and market expansion. Despite these increased expenses, net income saw a modest decrease of 2.2% to $68.0 million, primarily due to a legal settlement charge. F5 Networks continues to maintain a strong balance sheet with substantial cash and investments, and importantly, no long-term debt, while actively returning capital to shareholders through a significant stock repurchase program.

    Feb 6, 2014
  40. 2013-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2013

    F5 Networks, Inc. (FFIV) reported its third-quarter fiscal year 2013 results, showing a 5.0% year-over-year increase in total net revenues to $370.3 million. While product revenues saw a slight decline of 5.0%, service revenues experienced robust growth of 19.3%, indicating a strong contribution from their expanding installed base and maintenance contracts. Despite the revenue growth, net income for the quarter decreased to $68.2 million from $72.3 million in the prior year, primarily due to an increase in operating expenses, particularly in sales and marketing, and research and development. The company continues to invest in growth initiatives, as evidenced by increased headcount in these areas. F5 Networks maintained a strong liquidity position with $1.27 billion in cash and investments, and continued its share repurchase program, demonstrating a commitment to returning capital to shareholders.

    Aug 8, 2013
  41. 2013-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2013

    F5 Networks, Inc. (FFIV) reported its financial results for the quarter and six months ended March 31, 2013. The company demonstrated revenue growth driven by its services segment, which offset a decline in product revenue. Total net revenues increased by 3.1% year-over-year for the quarter to $350.2 million and by 8.1% for the six-month period to $715.7 million. This growth was largely attributable to a significant increase in service revenues, up 22.8% for the quarter and 25.2% for the six-month period, indicating the expanding installed base of products and recurring service contracts. Despite revenue growth, net income saw a slight decrease, with net income for the quarter at $63.4 million ($0.80 diluted EPS) compared to $68.6 million ($0.86 diluted EPS) in the prior year. For the six-month period, net income was $132.9 million ($1.68 diluted EPS) versus $135.1 million ($1.69 diluted EPS) in the prior year. The company made a significant acquisition of LineRate Systems, Inc. for $125.3 million in February 2013, which contributed to an increase in goodwill and intangible assets. F5 Networks also continued its share repurchase program, authorizing an additional $200 million, and utilized $100 million for repurchases in the first half of the fiscal year.

    May 9, 2013
  42. 2013-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2012

    F5 Networks, Inc. (FFIV) reported solid financial results for the quarter ended December 31, 2012. Total net revenues increased by 13.3% year-over-year, driven by strong growth in services revenue, which surged by 27.7%, alongside a more modest 4.2% increase in product revenue. This shift in revenue mix, with services becoming a larger proportion, indicates a growing recurring revenue base for the company. Profitability also saw an uptick, with net income rising to $69.5 million from $66.5 million in the prior year period, translating to diluted EPS of $0.88, an improvement from $0.83. The company maintained a strong balance sheet with over $1.2 billion in cash and investments, and no long-term debt. F5 also actively returned capital to shareholders through share repurchases, demonstrating confidence in its financial position and future prospects.

    Feb 7, 2013
  43. 2012-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2012

    F5 Networks, Inc. reported strong financial results for the quarter ended June 30, 2012, demonstrating continued growth and operational efficiency. Total net revenues increased by 21.3% year-over-year, driven by robust performance in both product and service segments. Product revenues saw a 15.5% increase, while service revenues surged by 30.6%, indicating strong customer adoption and demand for F5's application delivery networking (ADN) solutions and ongoing support. The company also reported a significant increase in operating income, up 24.6% year-over-year, reflecting effective cost management alongside revenue growth. Financially, F5 Networks maintained a strong balance sheet with substantial cash and investments, even after significant share repurchases and the acquisition of Traffix Communication Systems Ltd. for $133.7 million. The company's strategic acquisition of Traffix Systems in February 2012 is expected to enhance its competitive position in the telecommunications sector. Despite increased operating expenses, particularly in R&D and sales and marketing to support growth, F5 Networks demonstrated healthy profitability, with net income increasing by 15.6% year-over-year. The company's focus on innovation, coupled with a growing installed base and strong service revenue, positions it well for continued success.

    Aug 7, 2012
  44. 2012-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2012

    F5 Networks, Inc. (FFIV) reported strong revenue growth for the quarter ended March 31, 2012, with total net revenues increasing by 22.4% year-over-year. This growth was driven by both product and service revenues, indicating a healthy expansion of the company's installed base and demand for its core Application Delivery Networking (ADN) products. The acquisition of Traffix Communication Systems Ltd. in February 2012 for $133.7 million is expected to enhance F5's competitive position in the telecommunications sector with its Diameter signaling products. The company maintained robust profitability, with net income up significantly compared to the prior year. F5 also demonstrated strong operational cash flow, which was utilized for strategic investments, including the Traffix acquisition, and for continued share repurchases, underscoring a commitment to returning value to shareholders. Despite ongoing investments in research and development and sales and marketing to support growth, F5's financial position remains strong with substantial cash reserves and no long-term debt.

    May 7, 2012
  45. 2012-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2011

    F5 Networks, Inc. (FFIV) reported solid financial performance for the quarter ended December 31, 2011, demonstrating strong top-line growth and improved profitability. Total net revenues increased by 19.9% year-over-year, driven by a robust 14.6% rise in product revenue and an impressive 29.2% surge in service revenue. This growth was largely attributed to increased demand for their core Application Delivery Networking (ADN) products and an expanding installed base for maintenance contracts. The company's operational efficiency also improved, with income from operations growing by 25.0% compared to the prior year. This was achieved despite a notable increase in sales and marketing expenses, which rose 22.4% year-over-year, indicating strategic investments in growth. Net income saw a substantial 19.3% increase, translating to a higher earnings per share of $0.84 on a basic basis. F5 Networks maintained a strong balance sheet with over $1.1 billion in cash and investments and no long-term debt, underscoring its financial stability and capacity for future investments or shareholder returns.

    Feb 3, 2012
  46. 2011-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2011

    F5 Networks, Inc. reported strong financial performance for the quarter ended June 30, 2011, showcasing significant year-over-year growth in both revenue and net income. Total net revenues surged by 26.1% to $290.7 million, driven by robust performance in both product and service segments. The company's core Application Delivery Networking (ADN) products continue to be a primary revenue driver, supported by increasing demand for its security and WAN optimization solutions. Profitability also saw a substantial improvement, with net income rising by over 54% to $62.5 million. This growth was fueled by increased revenues and improved operating efficiencies, as evidenced by the widening operating margin. The company maintained a strong balance sheet with ample cash and investments, despite continued investment in stock repurchases and operational growth. F5 Networks demonstrates a healthy financial position with continued expansion in key markets, particularly internationally.

    Aug 5, 2011
  47. 2011-Q2

    F5, INC. Quarterly Report for Q2 Ended Mar 31, 2011

    F5 Networks (FFIV) reported a strong fiscal second quarter 2011 (three months ended March 31, 2011). Net revenues rose 34.7% year over year to $277.6 million, and the six-month total rose 37.6% to $546.5 million. Growth was broad-based: product revenue grew 34.1% (ADN products were 97.5% of product sales) and services grew 35.8%, driven by a larger installed base and maintenance renewals. Gross margin on a GAAP basis was 81.7%, up from 79.9%, though product gross margin fell to 18.1% from 21.2%. Operating margin expanded to 30.0% from 24.2%, and diluted EPS was $0.68 versus $0.41 a year earlier. Operating expenses grew more slowly than revenue, with sales and marketing rising 28.3% and R&D rising 18.4%. The balance sheet and cash generation remain strong. Cash, short-term and long-term investments totaled $997.2 million, up $135.1 million since September 30, 2010, and the company carries no long-term debt. Operating cash flow for the six months was $194.4 million. The company repurchased $71.5 million of stock during the half and had $166.0 million remaining under its repurchase programs as of May 3, 2011. Deferred revenue grew to $313.3 million in total, a leading indicator of future service revenue. Key risks include $16.4 million of illiquid municipal auction rate securities (classified as long-term), concentration among distributors (one distributor, Avnet, accounted for 19.6% of Q2 revenue), reliance on a single contract manufacturer for ADN products, and international sales exposure, which was 41% of revenue. Management described the company's financial condition as strong, with operations expected to fund its needs for at least the next twelve months.

    May 6, 2011
  48. 2011-Q1

    F5, INC. Quarterly Report for Q1 Ended Dec 31, 2010

    F5 Networks' first-quarter fiscal 2011 results (three months ended December 31, 2010) show strong growth and profitability. Total net revenues rose 40.7% year over year to $268.9 million, with product revenues up 43.8% to $171.5 million, driven by Application Delivery Networking (ADN) demand, and services revenues up 35.5% to $97.4 million on a growing installed base of maintenance contracts. Gross margin was 81.8% on a gross profit basis, income from operations grew 82.6% to $79.9 million, and net income reached $55.7 million, or $0.68 per diluted share, versus $0.36 a year earlier. Operating expenses grew more slowly than revenue, with operating expenses falling to 52.1% of revenue from 56.7%, and the effective tax rate fell to 32.4% from 35.5% after the federal R&D credit was reinstated. The balance sheet and cash flow remain very strong. Cash, short-term and long-term investments totaled $952.3 million, up $90.2 million sequentially, and the company reports no long-term debt. Operating cash flow was $103.1 million, deferred revenue rose to $287.8 million in total, and day's sales outstanding was 48. The company repurchased $25.0 million of stock during the quarter and has $204.4 million remaining under its buyback authorizations. Investors should note the remaining exposure to $16.3 million of municipal auction rate securities, classified as long-term, which the company believes will remain illiquid for more than twelve months, as well as concentration risk, with one distributor (Avnet Technology Solutions) accounting for 18.8% of revenue. Looking ahead, the filing signals that stock-based compensation will likely rise as new equity awards are granted, that research and development spending is expected to stay roughly constant as a percentage of revenue, and that a single contract manufacturer supplies the core ADN hardware without a long-term contract. The derivative litigation related to stock option grant dates was finally dismissed in January 2011, removing a notable overhang. Overall, the quarter reflects robust demand, expanding margins, and a healthy balance sheet, with key watch items being revenue concentration, supply chain dependence, and the ARS position.

    Feb 7, 2011
  49. 2010-Q3

    F5, INC. Quarterly Report for Q3 Ended Jun 30, 2010

    F5 Networks reported a strong fiscal third quarter ended June 30, 2010. Net revenues rose 45.7% year over year to $230.5 million, and net income nearly doubled to $40.5 million, or $0.50 per diluted share, versus $22.8 million, or $0.29, a year earlier. Products revenue grew 54.1% and services revenue grew 32.7%, driven by demand for its core Application Delivery Networking (ADN) products and a larger installed base that feeds maintenance renewals. Gross margin expanded to 80.7% from 78.7%, and operating margin widened to 26.1% from 19.8%, indicating good operating leverage even as sales and marketing headcount grew 18%. For the nine months, revenue increased 31.3% to $627.7 million and diluted EPS reached $1.27, compared with $0.79 a year earlier. Operating cash flow was $227.2 million, and combined cash and investments rose to $780.6 million from $574.4 million at fiscal year-end 2009, with no long-term debt. The company repurchased $55.0 million of stock during the nine months and had about $55.7 million remaining under its $200 million authorization as of August 4, 2010. Deferred revenue, a leading indicator of future service revenue, grew about 31% to $239.6 million. The main watch items are a higher effective tax rate (36.2% for the nine months versus 29.7%), largely from the expiration of the federal R&D credit, and customer and distributor concentration, with two distributors accounting for 23.3% of nine-month revenue. The company also holds $15.9 million of fair value in auction rate securities that remain illiquid. Those holdings are classified as long-term, though UBS has agreed to a put option through July 2012. Management characterizes its disclosure controls as effective.

    Aug 6, 2010
  50. 2010-Q1-A2

    F5, INC. Quarterly Report (Amendment) for Q1 Ended Dec 31, 2009

    F5 Networks, Inc. filed an amendment to its Form 10-Q for the quarterly period ended December 31, 2009. This amendment (Amendment No. 2) is solely for the purpose of attaching exhibits, specifically Exhibits 31.1, 31.2, and 32.1, which relate to the certifications of the principal executive and financial officers. The original filing from February 5, 2010, remains unchanged, and this amendment does not update any financial or operational disclosures. Investors should note that the core financial and operational performance for the quarter ending December 31, 2009, is detailed in the original 10-Q filing. This amendment does not provide new insights into the company's business performance, revenue, expenses, or balance sheet items. Therefore, any analysis of F5 Networks' performance during that period would need to refer to the original 10-Q document.

    May 13, 2010