Fortinet Inc., a leading cybersecurity company, reported impressive financials for the fourth quarter, boosting its stock price. The company recorded a net income of $310.9 million, or 40 cents per share, which remained almost unchanged compared to the previous year. However, on an adjusted basis, Fortinet earned 51 cents per share, surpassing analysts’ expectations of 43 cents per share.
Following the announcement, the company’s shares saw a significant surge of 14% in after-hours trading, marking a positive turnaround from the double-digit percentage declines experienced in the last two quarterly reports.
Fortinet’s revenue for the fourth quarter grew by 10% to reach $1.42 billion. This exceeded the FactSet consensus of $1.41 billion. Additionally, the company’s billings, including deferred revenue, totaled $1.86 billion, surpassing analysts’ estimates of $1.63 billion.
CEO Ken Xie attributed these positive results to Fortinet’s successful sales strategy shift and improved execution by its sales teams. He expressed satisfaction with the company’s performance in a press release.
Looking ahead, Fortinet has set its revenue forecast for the full year at $5.715 billion to $5.815 billion, with billings projected to be in the range of $6.4 billion to $6.6 billion. Analysts had anticipated revenue of $5.9 billion and billings of $6.5 billion.
For the first quarter, Fortinet expects revenue between $1.3 billion and $1.36 billion, with billings ranging from $1.390 billion to $1.450 billion. The FactSet consensus estimates were $1.37 billion in revenue and $1.47 billion in billings.
Fortinet’s strong performance in the latest quarter demonstrates its resilience and ability to adapt to a changing market. With a positive outlook for the future, the company is poised for continued success.
