F5 Networks Excels in Q4 Results

F5 Networks (NASDAQ: FFIV) experienced an 11% surge in share prices following strong fourth quarter performance and a promising fiscal outlook.

Key Highlights

• New Share Repurchase Program: Announced a $1 billion buyback plan.
• Earnings Report: Adjusted EPS at $3.67, exceeding analyst expectations of $3.45.
• Quarterly Revenue: Reported $746.67 million, surpassing the consensus of $730.39 million (up 5.6% YoY).
• Software Revenue Growth: Increased by 19% YoY to $228 million.
• Other Revenue: Systems revenue fell 3% to $130 million; global services revenue rose 2% to $388 million.

Outlook

F5 Networks expects Q1 FY2025 revenue between $705 million and $725 million (midpoint slightly above consensus of $706 million). Adjusted EPS forecast ranges from $3.29 to $3.41, against an estimate of $3.37.

For the fiscal year 2025, anticipated revenue growth is 4% to 5% and adjusted EPS growth of 5% to 7% compared to FY2024.

François Locoh-Donou, President and CEO, stated, "Our results speak to the power of our portfolio and innovation, the strength of our operating model, and the resilience of our business."

Additionally, the board has approved a supplementary $1 billion for the stock repurchase program, on top of the existing $422 million in the prior program.