Fortinet Shares Surge on Q4 Results (FTNT)
Shares of Fortinet Inc. (NASDAQ: FTNT) saw a huge rally in trading on Thursday after the Sunnyvale, California-based company reported strong fourth-quarter financial results.
- Fourth-quarter revenue rose 25%
- Billings climb 24% in the fourth quarter
- Free cash flows of $48.5 million
Ken Xie, President and CEO of Fortinet, said that the company had a great fourth-quarter, which resulted in strong finish to the year. Xie said that the company continued to attract and retain a number of its large profile enterprise and service provider customers, and introduced several new and competitive products that differentiate it from its competitors.
For the quarter, Fortinet reported total revenue of $151.2 million, representing an increase of 25% over the same period in the previous year. Product revenue for the quarter was $71 million, up 24% over the same period in the previous year. Services revenue, meanwhile, rose 26% to $76.7 million in the fourth quarter.
FTNT’s total billings for the quarter were $174.3 million, up 24% over the same period in the previous year. GAAP operating income for the quarter stood at $35 million. GAAP net income for the quarter was $21.5 million, up from $16.5 million reported for the same period in the previous year. On a non-GAAP basis, the company reported net income of $28.1 million, compared to $22.3 million reported for the same period in the previous year.
For the full year 2012, Fortinet reported revenue of $533.6 million, up 23% over the same period in the previous year. GAAP net income for the year $66.8 million, while non-GAAP net income for the year was $88.3 million.
Fortinet shares rose to an intra-day high of $24.24 on Thursday before ending the day 21.91% higher at $23.59 on above average volume of 14.83 million.
About Fortinet Inc.
Fortinet Inc. is a Sunnyvale, California-based company providing network security solutions.