Arista
🇺🇸 NYSE:ANET
•
Dec 31, 2024
Arista Q4 2024 Earnings Report
Arista reported strong revenue growth and profitability in Q4 2024.
Key Takeaways
Arista Networks delivered strong financial performance in Q4 2024, exceeding guidance with a 25.3% YoY revenue increase and solid profitability. Growth was driven by continued demand in AI networking and enterprise expansion.
Revenue grew 25.3% YoY to $1.93B, surpassing expectations.
Net income increased by 30.5% YoY to $801.0M.
Non-GAAP EPS grew to $0.65, up from $0.52 in Q4 2023.
Strong balance sheet with $2.76B in cash and equivalents.
Arista Revenue
Arista EPS
Arista Revenue by Segment
Forward Guidance
Arista expects continued strong performance in Q1 2025, with revenue projected between $1.93B and $1.97B and a non-GAAP operating margin of approximately 44%.
Positive Outlook
- Revenue guidance of $1.93B - $1.97B, showing continued growth.
- Non-GAAP gross margin expected to remain strong at ~63%.
- Continued investment in AI and enterprise networking solutions.
- Strong balance sheet supports long-term growth strategy.
- AI-driven demand expected to sustain revenue momentum.
Challenges Ahead
- Slight decline in gross margin YoY due to increased costs.
- Potential macroeconomic uncertainties could impact demand.
- Competitive pressures in AI networking may affect pricing power.
- Supply chain constraints remain a risk factor.
- Foreign exchange fluctuations could impact revenue growth.
Revenue & Expenses
Visualization of income flow from segment revenue to net income