- Juniper Networks (JNPR +1.6%) has slid 6.7% after hours following a Q3 earnings report that was mostly in line but guided low, pointing to deployment timing delays in the fourth quarter.
- Revenues fell 2% Y/Y and were down 4% from the prior quarter; adjusted profits fell 5% Y/Y and 4% sequentially, to $211.1M.
- "While we are disappointed in our third quarter revenue results which were impacted by timing of switching deployments, we have made significant progress on executing on our cloud strategy," says CEO Rami Rahim.
- Revenue breakout: Product, $869.7M (down 6.3%); Service, $388.1M (up 8.7%).
- Product revenue by segment: Routing, $585.8M (down 5.5%); Switching, $212.6M (down 4.5%); Security, $71.3M (down 16.6%).
- Overall revenue by vertical: Cloud, $344.9M (down 4%); Telecom/Cable, $576.9M (down 3.8%); Strategic Enterprise, $336M (up 2.9%).
- The company's Q4 outlook "reflects continued large deployment timing delays as Juniper expects its large customers to continue their architectural transition."
- It sees gross margins remaining at current levels, and forecasts Q4 revenues of $1.2B-$1.26B, below consensus for $1.33B, and non-GAAP EPS of $0.49-$0.55, below expectations for $0.60.
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Conference call to come at 5 p.m. ET.
- Press Release