A10 Networks reported Q3 revenue of $57.8 million, in-line with preliminary expectations and down $14.3 million year-over-year due to delays related to North American service provider customers’ capital expenditures. Non-GAAP net income was $12.0 million (representing 20.8% of revenue), or $0.16 per diluted share (non-GAAP EPS).
“Our intentional revenue diversification and proven business model is enabling A10 to navigate a challenging period while maintaining profitability, cash generation and the continued return of capital to shareholders,” said Dhrupad Trivedi, President and Chief Executive Officer of A10 Networks. “Growth in enterprise revenue partially offset delays in service provider spending that resulted in a decline in short-term service provider revenue. We continue to believe opportunities have been delayed, not lost, and that the long-term demand for security and network expansion solutions remains robust, supporting our intermediate-term outlook.”