{"id":519752,"date":"2021-07-29T07:33:23","date_gmt":"2021-07-29T11:33:23","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/netscout-reports-first-quarter-fiscal-year-2022-financial-results\/"},"modified":"2021-07-29T07:33:23","modified_gmt":"2021-07-29T11:33:23","slug":"netscout-reports-first-quarter-fiscal-year-2022-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/netscout-reports-first-quarter-fiscal-year-2022-financial-results\/","title":{"rendered":"NETSCOUT Reports First Quarter Fiscal Year 2022 Financial Results"},"content":{"rendered":"

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NETSCOUT Reports First Quarter Fiscal Year 2022 Financial Results<\/b><\/p>\n

WESTFORD, Mass.–(BUSINESS WIRE<\/a>)–NETSCOUT SYSTEMS, INC.<\/a> (NASDAQ: NTCT), a leading provider of service assurance, security, and business analytics, today announced financial results for its first quarter fiscal year 2022 ended June 30, 2021.\n<\/p>\n

\n\u201cOur first-quarter performance provides a solid start to fiscal year 2022,\u201d stated Anil Singhal, NETSCOUT\u2019s president and chief executive officer. \u201cStrong first-quarter product revenue growth in both the Service Assurance and Cybersecurity product lines drove our overall revenue increase and contributed to improved diluted earnings per share compared with the same quarter in the prior fiscal year.\u201d\n<\/p>\n

\nCommenting on the Company\u2019s plans and outlook for fiscal year 2022, Singhal said, \u201cAs the world continues to emerge from the pandemic, we remain focused on meeting our customers\u2019 needs for Service Assurance and Cybersecurity solutions that solve some of the connected world\u2019s toughest challenges. We continue to see opportunities for our products and services in the emerging technology trends that we believe will benefit NETSCOUT in the future, such as 5G, digital transformation through cloud migration, and the expanding cybersecurity threat landscape.\u201d\n<\/p>\n

Q1 FY22 Financial Results<\/b><\/p>\n

\nTotal revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2022 was $190.3 million, compared with $183.8 million in the same quarter one year ago. A reconciliation of GAAP and non-GAAP results is included in the attached financial tables.\n<\/p>\n

\nProduct revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2022 was $82.0 million, which was approximately 43% of total revenue. This compares with first-quarter fiscal year 2021 product revenue (GAAP and non-GAAP) of $71.7 million, which was approximately 39% of total revenue.\n<\/p>\n

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\nService revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2022 was $108.3 million, or approximately 57% of total revenue, compared to service revenue (GAAP and non-GAAP) of $112.1 million, or approximately 61% of total revenue, for the same period one year ago.\n<\/p>\n

\nNETSCOUT\u2019s loss from operations (GAAP) was $10.7 million in the first quarter of fiscal year 2022, compared with a loss from operations (GAAP) of $14.5 million in the comparable quarter one year ago. First-quarter fiscal year 2022 non-GAAP EBITDA from operations was $27.6 million, or 14.5% of non-GAAP quarterly revenue, compared with $26.6 million of non-GAAP EBITDA from operations, or 14.5% of non-GAAP quarterly revenue in the first quarter of fiscal year 2021. The Company\u2019s first-quarter fiscal year 2022 (GAAP) operating margin was -5.6% versus -7.9% in the prior fiscal year\u2019s first quarter. First-quarter fiscal year 2022 non-GAAP income from operations was $21.8 million with a non-GAAP operating margin of 11.4%. This compares with first-quarter fiscal year 2021 non-GAAP income from operations of $20.6 million and a non-GAAP operating margin of 11.2%.\n<\/p>\n

\nNet loss (GAAP) for the first quarter of fiscal year 2022 was $11.3 million, or $0.15 per share (diluted) versus net loss (GAAP) of $17.4 million, or $0.24 per share, for the first quarter of fiscal year 2021. On a non-GAAP basis, net income for the first quarter of fiscal year 2022 was $15.0 million, or $0.20 per share (diluted), which compares with $12.2 million, or $0.17 per share (diluted), for the first quarter of fiscal year 2021.\n<\/p>\n

\nAs of June 30, 2021, cash, cash equivalents, and short and long-term marketable securities were $493.9 million, compared with $476.5 million as of March 31, 2021, and $426.5 million as of June 30, 2020. During the first quarter of fiscal year 2022, NETSCOUT did not repurchase any shares of its common stock through its share repurchase program. At the end of the first quarter, NETSCOUT had $350.0 million outstanding on its revolving credit facility. On July 27, 2021, NETSCOUT leveraged the favorable financing market environment to amend and extend its revolving credit facility. The amended $800 million revolving credit facility extends the maturity from January 2023 to July 2026, increases financial flexibility, and lowers financing cost.\n<\/p>\n

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

\nNETSCOUT is reiterating its (GAAP and non-GAAP) revenue outlook as well as its non-GAAP diluted net income per share outlook issued on May 6, 2021. The Company is updating its GAAP diluted net income per share range to take into account accelerated charges associated with the early amendment of its revolving credit facility, higher stock-based compensation cost including the new performance-based restricted stock units discussed in its recently issued 2021 Proxy Statement, and amortization of an acquired trade name intangible asset. The current outlook is as follows:\n<\/p>\n