Fortinet Inc · Q1 2021 earnings

Briefing

Reported strong revenue and billings growth driven by platform of on-premise and cloud security products.

Fortinet reported a strong first quarter in 2021, with total revenue reaching $710.3 million, a 23% increase year-over-year. The company's growth was fueled by its platform of on-premise and cloud security products, resulting in the highest quarterly product revenue growth in five years. Fortinet also raised its full-year guidance due to good visibility and strong business momentum.

• Total revenue increased by 23% year-over-year to $710.3 million.
• Product revenue grew by 25% year-over-year to $240.7 million.
• Service revenue increased by 22% year-over-year to $469.6 million.
• Billings increased by 27% year-over-year to $850.6 million.

Headline financials

Revenue & EPS history

For the second quarter of 2021, Fortinet expects revenue in the range of $733 million to $747 million and billings in the range of $860 million to $880 million. The company anticipates a non-GAAP gross margin between 78.5% and 79.5%, and a non-GAAP operating margin between 24.5% and 25.5%. Diluted non-GAAP net income per share is projected to be in the range of $0.83 to $0.88, assuming a non-GAAP effective tax rate of 21% and a diluted share count of 168 million to 170 million.