Juniper Networks, Inc. (NASDAQ: JNPR) today reported its results for the three and twelve months ended December 31, 2007.
Net revenues for the fourth quarter of 2007 were $809.2 million, compared with $595.8 million for the fourth quarter of 2006, an increase of 36 percent. Net revenues for the twelve months ended December 31, 2007 were $2,836.1 million, compared with $2,303.6 million for the 2006 fiscal year, an increase of 23 percent.
Net income on a GAAP basis for the fourth quarter of 2007 was $122.9 million or $0.22 per share on a diluted basis, compared with a GAAP net income of $71.0 million or $0.12 per share for the fourth quarter of 2006. Non-GAAP net income for the fourth quarter of 2007 was $151.5 million or $0.27 per share on a diluted basis, compared with non-GAAP net income of $112.6 million or $0.19 per share for the fourth quarter of 2006. Net income on a GAAP basis for the twelve months ended December 31, 2007 was $360.8 million or $0.62 per share on a diluted basis, compared with a GAAP net loss of $1,001.4 million, including $1,283.4 million of impairment charges, or $1.76 per share for the 2006 fiscal year. Non-GAAP net income for the twelve months ended December 31, 2007 was $504.3 million or $0.87 per share on a diluted basis, compared with non-GAAP net income of $440.4 million or $0.73 per share for the 2006 fiscal year. The reconciliation between GAAP and non-GAAP results of operations is provided in a table immediately following the Net Product Revenue by Operating Segment table below.
"2007 was a strong year for Juniper Networks", said Scott Kriens, Chairman and Chief Executive Officer of Juniper Networks, Inc. "Our people and products delivered a clear competitive advantage to our customers in the high-performance networking market, and our results speak for themselves. We look forward to 2008 as another high-performance year, where we believe the intensity of our focus and execution will produce accelerating growth and leverage across our business."
Net cash provided by operations for the fourth quarter of 2007 were $247.7 million, compared to cash provided by operations of $234.2 million for the same quarter of 2006. Net cash flows from operations for the twelve months ended December 31, 2007 were $797.6 million, compared to cash provided by operations of $755.6 million for the 2006 fiscal year.
Capital expenditures and depreciation during the fourth quarter of 2007 were $35.9 million and $28.4 million, respectively. Capital expenditures and depreciation during the twelve months of 2007 were $146.9 million and $101.8 million, respectively.
"Juniper's key operating metrics were all in line or ahead of expectations in the December quarter," said Robyn Denholm, Chief Financial Officer, Juniper Networks, Inc. "Strong revenue growth, good improvements in operating margin and record cash flow from operations were the highlights of the quarter. Our achievement of profitability in our SLT product group is also a key milestone for the company. We are on the right track and believe these results demonstrate our continuing commitment to financial and operational discipline."
Q4 Highlights:
For the service provider market, Juniper announced the Partner Solution Development Platform (PSDP) that enables customers and partners to develop specialized applications on its best-in-class JUNOS software. The PSDP offers a powerful set of resources, including a software development kit (SDK) with intelligent and secure interfaces to JUNOS routing and service functions. These tools provide customers and partners with greater choice and control in designing, developing and deploying specialized applications that provide unique advantages to their businesses.
For the enterprise, Juniper continued to execute on its strategy to provide enterprises with advanced, coordinated visibility and control of applications and users across the extended enterprise with its announcement of Unified Access Control (UAC) 2.1. This solution advances the ability to deliver the access control, visibility and monitoring of applications and users needed to help address compliance requirements and mitigate exposure to risks and threats. Juniper also announced software enhancements for the WX and WXC application acceleration platforms that fortify application security without compromising performance.
2007 Highlights
Throughout the year, Juniper focused on advancing the fundamentals and economics of high-performance networking, delivering the fast, reliable secure network infrastructure high-performance businesses can rely on to accelerate the roll out of new applications and services to create value, differentiate themselves and accelerate growth.
For service providers, Juniper continued to execute on its vision for service-aware Next-Generation Networks (NGN). Juniper announced a new Session and Resource Control (SRC) solution that enables providers to allocate NGN resources in response to real-time requests from applications and users. Another key milestone for the company was the introduction of the T1600. Building on more than a decade of core routing experience, this next-generation core router extended the leadership of the T640, delivering unparalleled scalability and service richness. The T1600 also provides superior investment protection, enabling customers to upgrade currently installed T640 routers, in as little as 90 minutes, without service interruption. Juniper announced expansion of the MX-series of Ethernet Services Routers with the additions of the MX480 and MX240, offering providers' performance at scale, superior quality of service (QoS) and enhanced service flexibility previously unattainable in Ethernet deployments. The PSDP provided the latest proof point of Juniper's ability to extend the value of JUNOS and offer partners and customers new market-changing infrastructure solutions.
For the enterprise market, Juniper continued to focus on its proven, no compromise systems-based approach to delivering a high-performance network infrastructure with security at scale. Juniper was the first to provide advanced granular user and application visibility and control across the network within its integrated security and routing platforms (ISG and SSG). Juniper rolled out new branch networking offerings, expanding the J-series and SSG family to accelerate the secure delivery of business critical applications to branch offices. Juniper expanded its valued partnership with Microsoft to protect networks against downtime and loss by offering customers and partners open, standards-based interoperability between Juniper's Unified Access Control (UAC) and Microsoft's Network Access Protection (NAP). Together, the companies provide enterprises with greater choice, flexibility and investment protection for Network Access Control (NAC) deployments. The UAC 2.1 enhancements further streamline policy enforcement and mitigate risk to ensure information technology security initiatives deliver business value.
Fueling High-Performance Businesses In the service provider market, the MX family continued to gain momentum, with customers such as Elion, a leading voice, Internet and data provider in Estonia, and Neo Telecoms, a leading French IP services operator, announcing their selection of the MX960 for their next-generation core and backbone networks, respectively. The T-series continued to be integral to many customers' core upgrades. Verizon Business announced its intent to quadruple the standard speed of its backbone network connecting major US cities, using the T-series to deploy one of the first router-to-router 40Gbps (OC-768) circuits carrying live traffic. Chunghwa Telecom, Taiwan's leading service provider, is building a unified IP core network to underpin its fixed-mobile convergence (FMC) strategy with Juniper's T-series; Turk Telekom, Turkey's incumbent telecoms operator, deployed Juniper's T-series routers to upgrade network capacity and accelerate the introduction of new revenue-generating services; and Telefonica has upgraded its next-generation core IP network in Brazil by deploying Juniper's T-series.
In the enterprise market, integrated routing and security solutions continued to gain traction. O'Neill, one of the world's leading youth lifestyle and surfing brands is deploying Juniper's Secure Services Gateway (SSG), along with NetScreen Security-Manager (NSM) to secure its growing network of retail branch offices across Europe. Japan's University of Tsukuba, Dexia, a European banking group and a leader in financing services for the public sector, and Inner Mongolia Power all announced they will protect their network infrastructure with Juniper's Integrated Security Gateway (ISG). Juniper also gained leverage from its service provider customers into the enterprise market in the form of managed services. A clear example of this was Verizon Business, who selected Juniper's WXC platform as the technology to fuel their new Managed WAN Optimization Service.
Juniper Networks will host a conference call web cast today, January 24, 2008 at 1:45 p.m. (Pacific Time), to be broadcasted live over the Internet at: http://www.juniper.net/....
To participate via telephone, the dial-in number is 303-223-0112. Please call ten minutes prior to the scheduled conference call time. The webcast replay of the conference call will be archived on the Juniper Networks website until March 14, 2008.
Net revenues for the fourth quarter of 2007 were $809.2 million, compared with $595.8 million for the fourth quarter of 2006, an increase of 36 percent. Net revenues for the twelve months ended December 31, 2007 were $2,836.1 million, compared with $2,303.6 million for the 2006 fiscal year, an increase of 23 percent.
Net income on a GAAP basis for the fourth quarter of 2007 was $122.9 million or $0.22 per share on a diluted basis, compared with a GAAP net income of $71.0 million or $0.12 per share for the fourth quarter of 2006. Non-GAAP net income for the fourth quarter of 2007 was $151.5 million or $0.27 per share on a diluted basis, compared with non-GAAP net income of $112.6 million or $0.19 per share for the fourth quarter of 2006. Net income on a GAAP basis for the twelve months ended December 31, 2007 was $360.8 million or $0.62 per share on a diluted basis, compared with a GAAP net loss of $1,001.4 million, including $1,283.4 million of impairment charges, or $1.76 per share for the 2006 fiscal year. Non-GAAP net income for the twelve months ended December 31, 2007 was $504.3 million or $0.87 per share on a diluted basis, compared with non-GAAP net income of $440.4 million or $0.73 per share for the 2006 fiscal year. The reconciliation between GAAP and non-GAAP results of operations is provided in a table immediately following the Net Product Revenue by Operating Segment table below.
"2007 was a strong year for Juniper Networks", said Scott Kriens, Chairman and Chief Executive Officer of Juniper Networks, Inc. "Our people and products delivered a clear competitive advantage to our customers in the high-performance networking market, and our results speak for themselves. We look forward to 2008 as another high-performance year, where we believe the intensity of our focus and execution will produce accelerating growth and leverage across our business."
Net cash provided by operations for the fourth quarter of 2007 were $247.7 million, compared to cash provided by operations of $234.2 million for the same quarter of 2006. Net cash flows from operations for the twelve months ended December 31, 2007 were $797.6 million, compared to cash provided by operations of $755.6 million for the 2006 fiscal year.
Capital expenditures and depreciation during the fourth quarter of 2007 were $35.9 million and $28.4 million, respectively. Capital expenditures and depreciation during the twelve months of 2007 were $146.9 million and $101.8 million, respectively.
"Juniper's key operating metrics were all in line or ahead of expectations in the December quarter," said Robyn Denholm, Chief Financial Officer, Juniper Networks, Inc. "Strong revenue growth, good improvements in operating margin and record cash flow from operations were the highlights of the quarter. Our achievement of profitability in our SLT product group is also a key milestone for the company. We are on the right track and believe these results demonstrate our continuing commitment to financial and operational discipline."
Q4 Highlights:
For the service provider market, Juniper announced the Partner Solution Development Platform (PSDP) that enables customers and partners to develop specialized applications on its best-in-class JUNOS software. The PSDP offers a powerful set of resources, including a software development kit (SDK) with intelligent and secure interfaces to JUNOS routing and service functions. These tools provide customers and partners with greater choice and control in designing, developing and deploying specialized applications that provide unique advantages to their businesses.
For the enterprise, Juniper continued to execute on its strategy to provide enterprises with advanced, coordinated visibility and control of applications and users across the extended enterprise with its announcement of Unified Access Control (UAC) 2.1. This solution advances the ability to deliver the access control, visibility and monitoring of applications and users needed to help address compliance requirements and mitigate exposure to risks and threats. Juniper also announced software enhancements for the WX and WXC application acceleration platforms that fortify application security without compromising performance.
2007 Highlights
Throughout the year, Juniper focused on advancing the fundamentals and economics of high-performance networking, delivering the fast, reliable secure network infrastructure high-performance businesses can rely on to accelerate the roll out of new applications and services to create value, differentiate themselves and accelerate growth.
For service providers, Juniper continued to execute on its vision for service-aware Next-Generation Networks (NGN). Juniper announced a new Session and Resource Control (SRC) solution that enables providers to allocate NGN resources in response to real-time requests from applications and users. Another key milestone for the company was the introduction of the T1600. Building on more than a decade of core routing experience, this next-generation core router extended the leadership of the T640, delivering unparalleled scalability and service richness. The T1600 also provides superior investment protection, enabling customers to upgrade currently installed T640 routers, in as little as 90 minutes, without service interruption. Juniper announced expansion of the MX-series of Ethernet Services Routers with the additions of the MX480 and MX240, offering providers' performance at scale, superior quality of service (QoS) and enhanced service flexibility previously unattainable in Ethernet deployments. The PSDP provided the latest proof point of Juniper's ability to extend the value of JUNOS and offer partners and customers new market-changing infrastructure solutions.
For the enterprise market, Juniper continued to focus on its proven, no compromise systems-based approach to delivering a high-performance network infrastructure with security at scale. Juniper was the first to provide advanced granular user and application visibility and control across the network within its integrated security and routing platforms (ISG and SSG). Juniper rolled out new branch networking offerings, expanding the J-series and SSG family to accelerate the secure delivery of business critical applications to branch offices. Juniper expanded its valued partnership with Microsoft to protect networks against downtime and loss by offering customers and partners open, standards-based interoperability between Juniper's Unified Access Control (UAC) and Microsoft's Network Access Protection (NAP). Together, the companies provide enterprises with greater choice, flexibility and investment protection for Network Access Control (NAC) deployments. The UAC 2.1 enhancements further streamline policy enforcement and mitigate risk to ensure information technology security initiatives deliver business value.
Fueling High-Performance Businesses In the service provider market, the MX family continued to gain momentum, with customers such as Elion, a leading voice, Internet and data provider in Estonia, and Neo Telecoms, a leading French IP services operator, announcing their selection of the MX960 for their next-generation core and backbone networks, respectively. The T-series continued to be integral to many customers' core upgrades. Verizon Business announced its intent to quadruple the standard speed of its backbone network connecting major US cities, using the T-series to deploy one of the first router-to-router 40Gbps (OC-768) circuits carrying live traffic. Chunghwa Telecom, Taiwan's leading service provider, is building a unified IP core network to underpin its fixed-mobile convergence (FMC) strategy with Juniper's T-series; Turk Telekom, Turkey's incumbent telecoms operator, deployed Juniper's T-series routers to upgrade network capacity and accelerate the introduction of new revenue-generating services; and Telefonica has upgraded its next-generation core IP network in Brazil by deploying Juniper's T-series.
In the enterprise market, integrated routing and security solutions continued to gain traction. O'Neill, one of the world's leading youth lifestyle and surfing brands is deploying Juniper's Secure Services Gateway (SSG), along with NetScreen Security-Manager (NSM) to secure its growing network of retail branch offices across Europe. Japan's University of Tsukuba, Dexia, a European banking group and a leader in financing services for the public sector, and Inner Mongolia Power all announced they will protect their network infrastructure with Juniper's Integrated Security Gateway (ISG). Juniper also gained leverage from its service provider customers into the enterprise market in the form of managed services. A clear example of this was Verizon Business, who selected Juniper's WXC platform as the technology to fuel their new Managed WAN Optimization Service.
Juniper Networks will host a conference call web cast today, January 24, 2008 at 1:45 p.m. (Pacific Time), to be broadcasted live over the Internet at: http://www.juniper.net/....
To participate via telephone, the dial-in number is 303-223-0112. Please call ten minutes prior to the scheduled conference call time. The webcast replay of the conference call will be archived on the Juniper Networks website until March 14, 2008.
