01—Abstract
Summary
Summary of the 10-K/A filed July 29, 2011. Cited figures are marked; the original filing is the authoritative source.
Fortinet, Inc. filed an amendment to its 2010 Form 10-K on July 28, 2011, primarily to correct exhibit filing errors related to certifications from its principal executive and financial officers.
The underlying financial statements and other disclosures from the original February 25, 2011, filing remain unchanged. As of June 30, 2010, the company had a market capitalization of approximately $591 milliona, indicating it was a significant, though not "large accelerated filer" at that time, reflecting its growth stage within the cybersecurity industry. Investors reviewing this amendment should note that it is an "exhibit-only" filing and does not introduce new financial performance data or material business updates for the 2010 fiscal year.
The core business and financial health metrics would be found in the original 10-K. This amendment serves a procedural purpose, ensuring regulatory compliance with filing requirements, specifically regarding executive certifications.
02—Key points
Key Highlights
- Amendment No. 1 to Form 10-K for the fiscal year ended December 31, 2010, filed on July 28, 2011.
- The amendment is primarily an exhibit-only filing to correct errors in Exhibits 31.1 and 31.2 (certifications).
- No revisions were made to the Company's financial statements as filed in the original Form 10-K on February 25, 2011.
- The filing confirms Fortinet was not a well-known seasoned issuer as of the reporting period.
- Fortinet was classified as an accelerated filer, indicating a certain level of maturity and public float.
- As of June 30, 2010, the aggregate market value of voting stock held by non-affiliates was approximately $590.9 million.
- As of February 17, 2011, there were 75,231,493 shares of common stock outstanding.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2010, Fortinet, Inc. kept $0.13.
- Revenue$324.7M100.0%
- Cost of revenue−$85.2M26.2%
- Gross profit$239.5M73.8%
- Operating costs−$184.1M56.7%
- Operating income$55.3M17.0%
- Interest, other & tax−$14.1M4.3%
- Net income$41.2M12.7%
Where FY2010 revenue went
$324.7M- Other operating costs: $134.3M, 41% of revenue
- Cost of revenue: $85.2M, 26% of revenue
- R&D: $49.8M, 15% of revenue
- Net income: $41.2M, 13% of revenue
- Interest, other & tax: $14.1M, 4.3% of revenue
Kept 13% as net income
Full revenue history →04—Financials
Financial Highlights
Figures from 10-K/AFY2010filed July 29, 2011Financial Statements
FY2010 against FY2009
| Line item | FY2010FY2009 | Change |
|---|---|---|
| Revenue | $324.70M$252.12M | +28.8% |
| Cost of Revenue | $85.21M$69.97M | +21.8% |
| Gross Profit | $239.49M$182.14M | +31.5% |
| R&D Expenses | $49.80M$42.20M | +18.0% |
| Operating Expenses | $184.15M$156.81M | +17.4% |
| Operating Income | $55.34M$25.33M | +118.4% |
| Net Income | $41.24M$60.18M | −31.5% |
| EPS (Basic) | $0.06$0.19 | −70.1% |
| EPS (Diluted) | $0.05$0.08 | −33.3% |
| Shares Outstanding (Basic) | 703.63M263.34M | +167.2% |
| Shares Outstanding (Diluted) | 782.03M652.19M | +19.9% |
05—Questions
Frequently Asked Questions
What is the primary purpose of this Amendment No. 1 to Fortinet's 2010 Form 10-K?
The primary purpose of this amendment is to correct certain exhibit filings, specifically Exhibits 31.1 and 31.2, which contain certifications from the principal executive and financial officers. New certifications are being filed as required by regulatory rules, but the core financial statements and other disclosures from the original 10-K remain unchanged.
Does this filing contain updated financial results for Fortinet?
No, this filing is an amendment to correct exhibit errors and does not introduce new financial performance data or other updates to the financial statements for the fiscal year ended December 31, 2010. The original Form 10-K, filed on February 25, 2011, contains the financial results.
What does Fortinet's classification as an 'accelerated filer' indicate?
Being classified as an 'accelerated filer' indicates that Fortinet meets certain thresholds for public float and reporting history, suggesting it is a well-established public company with a significant amount of its stock held by non-affiliates. This is a step up from a 'non-accelerated filer' but not as large as a 'large accelerated filer' or a 'well-known seasoned issuer'.
What was Fortinet's market capitalization around the time of this filing?
As of June 30, 2010, the aggregate market value of Fortinet's voting stock held by non-affiliates was approximately $590.9 million. This figure provides an indication of the company's valuation during that period.
06—Continue