- Multi-cloud security and application delivery company F5’s first-quarter revenue grew 2% year-over-year, to $700 million, up from $687 million.
- GAAP net income for the first quarter of the fiscal year 2023 was $72 million, or $1.20 per diluted share.
- F5 signed a definitive agreement to acquire Lilac Cloud, a provider of innovative application delivery services.
F5 announced financial results for its first quarter of the fiscal year 2023. According to the report, the first quarter’s revenue grew 2% from the year-ago period, to $700 million, up from $687 million. At the end of the first quarter, global services revenue grew 5% from the year-ago period. Also, product revenue declined by 1%, reflecting 3% software revenue growth and a 4% decline in systems revenue.
$1.20 per diluted share
The first quarter’s GAAP net income was $72 million, or $1.20 per diluted share compared to $94 million, or $1.51 per diluted share year-over-year. Non-GAAP net income was $149 million, or $2.47 per diluted share, compared to $179 million, or $2.89 per diluted share, in the fiscal year 2022.
The company also announced its business outlook for the next quarter. According to the announcement, for the second quarter, F5 expects to deliver revenue in the range of $690 million to $710 million, with non-GAAP earnings in the range of $2.36 to $2.48 per diluted share.
Lilac Cloud acquisition
F5 also announced the acquisition of Lilac Cloud, a provider of innovative application delivery services. Lilac’s Content Delivery Network technology is being used in F5 Distributed Cloud Services. The company didn’t share the terms of the transaction and it is not expected to have a material impact on F5’s operating results. The acquisition is expected to be closed in the second quarter of the fiscal year 2023.
François Locoh-Donou, President and CEO of F5 said,
« Customers are focused on minimizing their spend and optimizing their existing investments while also continuing to drive revenue. We are enabling our customers to deliver the dynamic digital experiences that drive their businesses. At the same time, we are helping them consolidate solutions and use fewer resources to manage and secure their hybrid and multi-cloud applications. »