•
Mar 31

Fortinet Q1 2025 Earnings Report

Fortinet posted strong Q1 results with record margins and solid cash flow growth.

Key Takeaways

Fortinet delivered a robust Q1 performance with double-digit revenue and billings growth, record non-GAAP operating margin, and strong free cash flow.

Total Revenue
$1.54B
Previous year: $1.35B
+13.8%
EPS
$0.58
Previous year: $0.43
+34.9%
Total Billings
$1.6B
Previous year: $1.41B
+13.5%
Unified SASE ARR
$1.15B
Previous year: $915M
+25.7%
Security Operations ARR
$435M
Previous year: $334M
+30.3%
Gross Profit
$1.25B
Previous year: $1.05B
+18.9%
Cash and Equivalents
$3.6B
Previous year: $1.93B
+86.7%
Free Cash Flow
$783M
Previous year: $609M
+28.6%
Total Assets
$10.4B
Previous year: $7.66B
+35.8%

Fortinet

Fortinet

Fortinet Revenue by Segment

Forward Guidance

Fortinet expects continued growth in revenue and billings in Q2 2025, driven by strong demand across product lines.

Positive Outlook

  • Q2 revenue expected between $1.59B and $1.65B
  • Q2 billings expected between $1.685B and $1.765B
  • Q2 non-GAAP EPS guidance of $0.58 to $0.60
  • Strong expected non-GAAP operating margin range of 31.5% to 32.5%
  • Full-year revenue expected to reach up to $6.85B

Challenges Ahead

  • Macroeconomic risks may impact IT spending
  • Prolonged sales cycles for large enterprise deals
  • Ongoing geopolitical tensions and supply chain challenges
  • Inflation and interest rate effects could affect demand
  • Execution risk in integrating recent acquisitions like Linksys

Revenue & Expenses

Visualization of income flow from segment revenue to net income