NASDAQ$FTNT

Fortinet Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Reported strong financial results with revenue growth and increased billings.

Fortinet reported a strong second quarter with a 30% increase in total revenue year-over-year, driven by growth in both product and service revenue. The company's billings also saw significant growth, and they raised full-year revenue and billings guidance.

  • Total revenue increased by 30% year-over-year to $801.1 million.
  • Product revenue grew by 41% year-over-year to $298.3 million.
  • Service revenue increased by 24% year-over-year to $502.8 million.
  • Billings grew by 35% year-over-year to $960.9 million.

Headline financials

Total Revenue

$801M

Previous: $616M+30.2%
EPS (adj)

$0.19

Previous: $0.16+18.8%
Total Billings

$961M

Previous: $712M+35.1%
Capital Expenditures

-$75.6M

Previous: -$58.5M-29.2%
Free Cash Flow

$61.9M

Previous: $53.6M+15.5%
Net Income

$138M

Previous: $112M+22.7%
Operating Income

$148M

Previous: $117M+26.4%
Gross Profit

$614M

Previous: $480M+27.9%
Cash & Equivalents

$1.88B

Previous: $916M+105.1%
Total Assets

$5.56B

Previous: $3.33B+66.9%
Stock-Based Comp

$52.6M

Previous: $48.9M+7.6%

Revenue & EPS history

Fortinet · Revenue · Quarterly

$801M

Q2 2021+30.2%vs Q2 2020
Beat estimate in 16 of 16 quarters(100%)
ActualEstimate

Revenue by segment

Fortinet · $298M total across 1 segment · Q2 2021

  • Product Revenue
    $298M+40.8%

Forward guidance

Fortinet expects revenue between $800 million and $815 million and billings between $940 million and $960 million for the third quarter of 2021.

Tailwinds

  • Revenue in the range of $800 million to $815 million
  • Billings in the range of $940 million to $960 million
  • Non-GAAP gross margin in the range of 77.5% to 78.5%
  • Non-GAAP operating margin in the range of 24.5% to 25.5%
  • Diluted non-GAAP net income per share in the range of $0.90 to $0.95

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+0.6%

Avg return

Earnings day

+2.3%

Avg return

5 days after

+5.2%

Avg return

30 days after

55%

36 / 66 earnings

Positive

+26.3%

Q2 2024

Best reaction

-23.6%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.2%+26.2%+61.0%
Q4 2025+4.9%+11.3%+6.0%
Q3 2025+4.2%-2.7%+1.1%
Q2 2025-1.2%+5.4%+4.7%
Q1 2025-8.6%-1.6%-1.7%
Q4 2024+2.8%+2.8%-3.3%
Q3 2024+13.8%+22.6%+22.7%
Q2 2024+26.3%+25.8%+36.8%
Q1 2024-7.3%-6.5%-6.6%
Q4 2023+6.0%+6.6%+10.6%
Q3 2023-11.9%-13.6%-8.4%
Q2 2023-23.6%-21.2%-18.1%
Q1 2023+6.8%+9.8%+12.6%
Q4 2022+14.7%+14.7%+15.3%
Q3 2022-18.6%-15.2%-5.0%
Q2 2022-12.9%-11.7%-19.5%
Q1 2022-0.7%-14.4%+3.5%
Q4 2021+1.4%+1.6%+8.3%
Q3 2021+3.4%+5.8%-8.2%
Q2 2021+0.2%+9.6%+16.3%
Q1 2021+3.2%+4.4%+10.4%
Q4 2020+3.0%+6.0%+11.0%
Q3 2020-7.2%-5.5%+4.1%
Q2 2020-6.5%-9.7%-16.0%
Q1 2020+24.5%+29.4%+29.4%
Q4 2019-2.3%-2.1%-16.9%
Q3 2019+9.1%+10.9%+27.2%
Q2 2019+7.2%+2.2%-1.4%
Q1 2019-6.5%-11.0%-21.1%
Q4 2018-3.2%-0.3%-1.6%
Q3 2018-11.7%-9.0%-10.1%
Q2 2018+17.2%+17.0%+33.1%
Q1 2018-2.1%+1.8%+10.8%
Q4 2017+3.6%+3.6%+16.8%
Q3 2017-2.4%-0.7%+5.6%
Q2 2017-5.7%-9.3%-8.7%
Q1 2017-2.3%-1.3%-1.0%
Q4 2016+13.9%+14.1%+9.6%
Q3 2016+5.3%+5.2%+1.3%
Q2 2016-5.3%-7.2%-2.6%
Q1 2016+6.5%
Q4 2015+8.9%
Q3 2015-16.7%
Q2 2015+9.1%
Q1 2015+13.1%
Q4 2014-10.0%
Q3 2014+0.8%
Q2 2014+6.8%
Q1 2014+4.1%
Q4 2013+0.7%
Q3 2013+0.7%
Q2 2013+4.4%
Q1 2013+0.0%
Q4 2012+19.8%
Q3 2012-18.6%
Q2 2012+12.6%
Q1 2011-1.6%
Q1 2012+0.2%
Q4 2011+0.7%
Q4 2009+0.7%
Q3 2010-4.2%
Q3 2011-4.2%
Q2 2010-7.1%
Q4 2010-7.1%
Q2 2011-7.1%
Q1 2010-6.4%

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