Juniper Networks reported Q4 2023 revenue of $1,364.8 million, a decrease of 6% year-over-year, and a decrease of 2% sequentially. Non-GAAP net income was $196.9 million, a decrease of 8% year-over-year, and an increase of 2% sequentially, resulting in non-GAAP diluted earnings per share of $0.61.
Full-Year 2023 net revenues were $5,564.5 million, an increase of 5% year-over-year. Non-GAAP net income was $736.4 million, an increase of 15% year-over-year, resulting in diluted earnings per share of $2.26, an increase of 16% year-over-year.
“We delivered record revenue results in 2023 and grew our business on a year-over-year basis for a third consecutive year,” said Juniper’s CEO, Rami Rahim. “These results reflect the strength of our enterprise business, which not only delivered a second consecutive year of solid double-digit revenue growth, but also achieved positive product order growth in the fourth quarter and on a full-year basis.”
Product orders at Juniper:
- Increased by double digits sequentially. Declined by single digits year-over-year.
Enterprise orders:
- Showed strong growth, increasing in the mid-teens year-over-year.
Backlog situation:
- Ended the year with a backlog of approximately $570 million. Slightly elevated compared to pre-pandemic levels.
Revenue by vertical in Q4:
Enterprise: Largest vertical, up 8% year-over-year but down 9% sequentially.
Cloud: Declined 17% year-over-year, increased 18% sequentially.
- Service Provider: Declined 15% year-over-year, 4% sequentially.
Customer solution revenue:
- AI-Driven Enterprise: Grew 1% year-over-year, declined 16% sequentially.
- Mist and other Mist Cloud products: Grew approximately 40% year-over-year.
- Cloud-Ready Data Center: Declined 30% year-over-year, grew 6% sequentially.
- Automated WAN Solutions: Down 5% year-over-year, up 4% sequentially.
Total Software and Related Services revenue:
- $360 million, an 18% increase year-over-year.
Annual Recurring Revenue (ARR):
- Grew 30% year-over-year. Ended the year at $384 million.
Total Security revenue:
- $161 million, down 5% year-over-year but up 1% sequentially.
Customer composition in Q4:
- Top 10 customers: Four from Cloud, three from Enterprise, three from Service Provider. Accounted for 36% of total revenue, compared to 34% in Q4’22.