{"id":773041,"date":"2023-07-27T10:06:38","date_gmt":"2023-07-27T14:06:38","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/netscout-reports-first-quarter-fiscal-year-2024-financial-results\/"},"modified":"2023-07-27T10:06:38","modified_gmt":"2023-07-27T14:06:38","slug":"netscout-reports-first-quarter-fiscal-year-2024-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/netscout-reports-first-quarter-fiscal-year-2024-financial-results\/","title":{"rendered":"NETSCOUT Reports First Quarter Fiscal Year 2024 Financial Results"},"content":{"rendered":"

<\/p>\n

NETSCOUT Reports First Quarter Fiscal Year 2024 Financial Results<\/b><\/p>\n

Delivered Solid Q1 Financial Performance<\/i><\/b><\/p>\n

Released Next-Generation Technologies to Support 2H FY2024 Revenue Ramp<\/i><\/b><\/p>\n

WESTFORD, Mass.–(BUSINESS WIRE<\/a>)–NETSCOUT SYSTEMS, INC.<\/a> (NASDAQ: NTCT), a leading provider of enterprise performance management, carrier service assurance, cybersecurity, and DDoS protection, today announced financial results for its first quarter ended June 30, 2023.<\/p>\n

Remarks by Anil Singhal, NETSCOUT\u2019s President and Chief Executive Officer:<\/b><\/p>\n

\n\u201cWe delivered a solid financial performance in the first quarter of our fiscal year with total revenue in-line with our expectations and double-digit percentage improvement in diluted earnings per share year over year. At the same time, we released several new product offerings, including our \u2018Visibility Without Borders\u2019 platform, our next-generation Omnis Cyber Intelligence solution, Adaptive DDoS, and Mobile Security, all of which we expect to begin contributing to revenue in the second half of the current fiscal year. Looking ahead, we are reiterating our fiscal year 2024 outlook and remain focused on delivering long-term stakeholder value.\u201d<\/p>\n

Q1 FY24 Financial Results<\/b><\/p>\n

\nTotal revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2024 was $211.1 million, compared with $208.8 million (GAAP and non-GAAP) in the first quarter of fiscal year 2023. A reconciliation of all GAAP and non-GAAP results are included in the financial tables below.<\/p>\n

\nProduct revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2024 was $94.7 million, or approximately 45% of total revenue in the period. This compares with product revenue (GAAP and non-GAAP) of $98.3 million in the first quarter of fiscal year 2023, which was approximately 47% of total revenue in the period. As of June 30, 2023, NETSCOUT had a product backlog consisting of fulfillable orders of approximately $12 million, which excludes radio frequency propagation modeling orders of approximately $4 million. This compares with approximately $39 million of fulfillable orders and $45 million of radio frequency propagation modeling orders as of June 30, 2022.<\/p>\n

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\nService revenue (GAAP and non-GAAP) for the first quarter of fiscal year 2024 was $116.5 million, or approximately 55% of total revenue in the period. This compares with service revenue (GAAP and non-GAAP) of $110.6 million in the first quarter of fiscal year 2023, which was approximately 53% of total revenue for the period.<\/p>\n

\nNETSCOUT\u2019s loss from operations (GAAP) was $4.7 million in the first quarter of fiscal year 2024, compared with a loss from operations (GAAP) of $9.1 million in the first quarter of fiscal year 2023. The Company\u2019s operating margin (GAAP) was negative 2.2% in the first quarter of fiscal year 2024, versus negative 4.4% in the same period of fiscal year 2023. Non-GAAP income from operations was $29.6 million with a non-GAAP operating margin of 14.0% in the first quarter of fiscal year 2024. This compares to non-GAAP income from operations of $24.5 million and a non-GAAP operating margin of 11.7% in the first quarter of fiscal year 2023. Non-GAAP EBITDA from operations in the first quarter of fiscal year 2024 was $34.6 million, or 16.4% of non-GAAP quarterly revenue for the period. This compares to non-GAAP EBITDA from operations of $29.8 million in the first quarter of fiscal year 2023, or 14.3% of non-GAAP quarterly revenue for the period.<\/p>\n

\nNet loss (GAAP) for the first quarter of fiscal year 2024 was $4.2 million, or a net loss of $0.06 per share (diluted), versus a net loss of $7.1 million, or a net loss of $0.10 per share (diluted), for the first quarter of fiscal year 2023. On a non-GAAP basis, net income for the first quarter of fiscal year 2024 was $22.7 million, or $0.31 per share (diluted), compared with $18.1 million, or $0.24 per share (diluted), for the first quarter of fiscal year 2023.<\/p>\n

\nAs of June 30, 2023, cash, cash equivalents, short-term and long-term marketable securities, and investments, were $390.5 million, compared with $427.9 million as of March 31, 2023, and $374.6 million as of June 30, 2022. The Company\u2019s outstanding debt balance under its revolving credit facility was $100 million as of June 30, 2023. The $800 million revolving credit facility will expire in July 2026.<\/p>\n

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

\nNETSCOUT is reiterating its revenue and diluted net income per share outlook (GAAP and non-GAAP) for fiscal year 2024, all of which were previously issued by the Company on May 4, 2023, in its fourth quarter and full fiscal year 2023 earnings press release. The Company\u2019s financial outlook for fiscal year 2024 remains as follows:<\/p>\n