•
Sep 30, 2022

Juniper Networks Q3 2022 Earnings Report

Juniper Networks reported preliminary financial results for Q3 2022, showing revenue increase year-over-year and sequentially.

Key Takeaways

Juniper Networks reported a strong Q3 2022 with record revenue results, driven by product sales growth and double-digit year-over-year growth across all customer verticals and solutions. The company's revenue and non-GAAP EPS exceeded the high-end of their guidance range, and they anticipate continued revenue strength in Q4 and sustained growth in 2023.

Net revenues were $1,414.6 million, up 19% year-over-year and 11% sequentially.

GAAP operating margin was 10.6%, increasing from both the previous year and previous quarter.

GAAP net income was $121.5 million, a 37% increase year-over-year.

Non-GAAP net income per share was $0.58.

Total Revenue
$1.42B
Previous year: $1.19B
+19.0%
EPS
$0.58
Previous year: $0.46
+26.1%
Non-GAAP Operating Margin
17.2%
Gross Profit
$788M
Previous year: $692M
+13.8%
Cash and Equivalents
$831M
Previous year: $1.01B
-17.8%
Total Assets
$8.98B
Previous year: $8.72B
+2.9%

Juniper Networks

Juniper Networks

Juniper Networks Revenue by Geographic Location

Forward Guidance

For the fourth quarter, Juniper Networks expects revenue to be approximately $1,475 million, plus or minus $50 million, and non-GAAP net income per share to be approximately $0.64, plus or minus $0.05.

Positive Outlook

  • Revenue will be approximately $1,475 million, plus or minus $50 million.
  • Non-GAAP gross margin will be approximately 57.0%, plus or minus 1.0%.
  • Non-GAAP operating margin will be approximately 18.0% at the mid-point of revenue guidance.
  • Non-GAAP other income and expense (OI&E) will be near Q3'22 levels.
  • Non-GAAP tax rate will be approximately 19.0%.

Challenges Ahead

  • There is a worldwide shortage of semiconductors and other components impacting many industries.
  • Experiencing ongoing supply chain challenges, which have resulted in extended lead times, as well as elevated logistics and component costs.
  • Extended lead times and elevated costs will persist into 2023.
  • Assumes a share count of approximately 330 million shares.
  • Non-GAAP operating expenses will be approximately $575 million, plus or minus $5 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income