{"id":518475,"date":"2021-07-27T16:18:23","date_gmt":"2021-07-27T20:18:23","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/juniper-networks-reports-preliminary-second-quarter-2021-financial-results\/"},"modified":"2021-07-27T16:18:23","modified_gmt":"2021-07-27T20:18:23","slug":"juniper-networks-reports-preliminary-second-quarter-2021-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/juniper-networks-reports-preliminary-second-quarter-2021-financial-results\/","title":{"rendered":"Juniper Networks Reports Preliminary Second Quarter 2021 Financial Results"},"content":{"rendered":"

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Juniper Networks Reports Preliminary Second Quarter 2021 Financial Results<\/b><\/p>\n

SUNNYVALE, Calif.–(BUSINESS WIRE<\/a>)–
\nJuniper Networks (NYSE: JNPR), a leader in secure, AI-driven networks, today reported preliminary financial results for the three months ended June 30, 2021 and provided its outlook for the three months ending September 30, 2021.\n<\/p>\n

Second Quarter 2021 Financial Performance<\/b><\/p>\n

\nNet revenues were $1,172.3 million, an increase of 8% year-over-year and an increase of 9% sequentially.\n<\/p>\n

\nGAAP operating margin was 7.3%, a decrease from 8.3% in the second quarter of 2020, and an increase from 2.6% in the first quarter of 2021.\n<\/p>\n

\nNon-GAAP operating margin was 15.8%, an increase from 14.3% in the second quarter of 2020, and an increase from 12.1% in the first quarter of 2021.\n<\/p>\n

\nGAAP net income was $62.0 million, an increase of 1% year-over-year and an improvement from a net loss of $31.1 million in Q1’21, resulting in diluted income per share of $0.19.\n<\/p>\n

\nNon-GAAP net income was $141.0 million, an increase of 21% year-over-year, and an increase of 43% sequentially, resulting in non-GAAP diluted earnings per share of $0.43.\n<\/p>\n

\nThe reconciliation between GAAP and non-GAAP results of operations is provided in a table immediately following the Preliminary Net Revenues by Geographic Region table below.\n<\/p>\n

\n\u201cWe reported better than expected results, a second consecutive quarter of double-digit product revenue growth and record product orders during the June quarter,\u201d said Juniper\u2019s CEO, Rami Rahim. \u201cOur experience-first strategy is working, our teams are executing well and the investments we have made both in our customer solutions and our sales organization are enabling us to capitalize on improving end-market conditions. We are entering the second half with strong momentum, and I am increasingly confident in our long-term growth prospects.\u201d\n<\/p>\n

\n\u201cWe delivered a strong financial performance during the June quarter as revenue, non-GAAP gross margin, non-GAAP operating margin and non-GAAP earnings per share each exceeded our expectations,\u201d said Juniper\u2019s CFO, Ken Miller. \u201cThe investments we have made are paying off and should position us to not only deliver sustained top-line growth, but also to deliver improved profitability over time.\u201d\n<\/p>\n

Balance Sheet and Other Financial Results <\/b><\/p>\n

\nTotal cash, cash equivalents, and investments as of June 30, 2021 were $1,815.4 million, compared to $2,570.3 million as of June 30, 2020, and $1,764.6 million as of March 31, 2021.\n<\/p>\n

\nNet cash flows provided by operations for the second quarter of 2021 was $257.2 million, compared to $97.6 million in the second quarter of 2020, and $179.8 million in the first quarter of 2021.\n<\/p>\n

\nDays sales outstanding in accounts receivable was 59 days in the second quarter of 2021, compared to 63 days in the second quarter of 2020, and 64 days in the first quarter of 2021.\n<\/p>\n

\nCapital expenditures were $21.4 million, and depreciation and amortization expense was $58.9 million during the second quarter of 2021.\n<\/p>\n

Outlook <\/b><\/p>\n

\nThese metrics are provided on a non-GAAP basis, except for revenue and share count. Non-GAAP earnings per share is on a fully diluted basis. The outlook assumes that the exchange rate of the U.S. dollar to other currencies will remain relatively stable at current levels.\n<\/p>\n

\nThere is a worldwide shortage of semiconductors impacting many industries, caused in part by the COVID-19 pandemic. Similar to others, we are experiencing an ongoing component shortage, which has resulted in extended lead times of certain products and elevated costs. During the past quarter, we continued to strengthen our supply chain and have increased inventory levels over the course of the last year. We continue to work closely with our suppliers to further enhance our resiliency and limit disruptions outside of our control to the best of our ability. We believe that even with these actions, extended lead times, and elevated costs will likely persist for at least the next few quarters. While the situation is dynamic, at this point in time we believe we will have access to sufficient semiconductor supply to meet our full-year financial forecast.\n<\/p>\n

\nAt the mid-point of guidance, revenue is expected to be up approximately 5.5% year-over-year.\n<\/p>\n

\nWe expect our Q3’21 non-GAAP gross margin to decline sequentially due to higher costs related to supply constraints and an expected increase in service delivery costs, partially offset by benefits from higher revenue.\n<\/p>\n

\nWe expect a modest sequential increase in Non-GAAP operating margin.\n<\/p>\n

\nOur guidance for the quarter ending September 30, 2021 is as follows:\n<\/p>\n