Juniper Networks preliminary revenues for the second quarter reached USD 1.204 billion, down 8 percent from the year before but up 11 percent sequentially and passing the company’s guidance. The company said earlier that it saw a return to normality for Q2 after being earlier hit deployment delays, but that improvement would still be offset by mix and other factors. Revenues fell at Routing and Switching but rose for Security. By Vertical, Enterprise grew, while Cloud and Service Provider fell back. By region, revenues decline in the Americas but rose in EMEA and were virtually unchanged at Asia Pacific.
The net profit for the quarter fell 35 percent to USD 116.5 million, while the adjusted net profit slid 23 percent to USD 170.2 million. Sequentially, the figures were up 239 percent and 71 percent, respectively. Adjusted diluted earnings per share also passed expectations, slipping to USD 0.48 from 0.57 the year before, but up from the previous quarter’s 0.28. Total cash, cash equivalents and investments amounted to USD 3.530 billion at end June, from 4.214 billion the year earlier and 3.448 billion in the previous quarter. Juniper said it will pay a cash dividend of USD 0.18 per share, unchanged from the previous quarter.
For the third quarter, the company expects a further recovery at Cloud and Service Provider, and a return to year-on-year growth, though customer spending remains difficult to predict. Gross margins will be stable. Specifically, Juniper is guiding for revenues of USD 1.170 billion (+/-USD 30 million), adjusted gross margin of 59.0 percent and adjusted EPS at USD 0.44 (+/- 0.03).
