Colombia. Fortinet released financial results for the second quarter, which ended June 30, 2015, in which it achieved more than considerable growth.
"This record growth in turnover, above-expected revenue, as well as profitability and cash flow in the second quarter, reflect that our strategy works," said Ken Xie, founder, president and CEO of Fortinet. "The above-expected performance has been driven by the combination of a consumer-centric strategy, competitive technology positioning, investment in marketing and sales, alignment with our partners, the momentum of the security market and our ability to acquire new customers while expanding our presence in the accounts we already work with. Looking ahead, Fortinet is well positioned to hold on and gain greater global market share, as the company has the best-in-class, end-to-end network security platform," Xie said.
Billing
Total turnover was $297.2 million in the second quarter of 2015, an increase of 40%, compared to $213 million in the same quarter of 2014.
Revenue
Total revenue was $239.8 million in the second quarter of 2015, an increase of 30% compared to $184.1 million in the same quarter of 2014. Within total revenue, product revenue was $114.8 million, up 34% from $85.4 million in the same quarter of 2014. Service revenue was $125 million, up 27% from $98.7 million during the same period in 2014.
Deferred revenue
Total deferred revenue was $657.6 million as of June 30, 2015, an increase of $57.4 million compared to $600.2 million as of March 31, 2015.
Cash and cash flow
As of June 30, 2015, cash, cash equivalents and investments were $1.15 billion, compared to $1.07 billion as of March 31, 2015. In the second quarter of 2015, cash flow from operations was $84.3 million, compared to $43.8 million in the same period in 2014. Free cash flow was $73.5 million compared to $34.1 million in the same quarter of 2014.
GAAP Operating Income
They were $3 million, representing a GAAP operating margin of 1%. In the same quarter of 2014, GAAP operating income was $11.1 million, representing a GAAP operating margin of 6%.
GAAP Net Income and Diluted Net Income Per Share
GAAP net income was $0.8 million, up from $6.1 million during the same quarter in 2014. Diluted GAAP net income per share was break-even compared to $0.04 during the same quarter of 2014.
Non-GAAP Operating Income
They were $29.3 million, representing a non-GAAP operating margin of 12%. During the same period in 2014 these revenues were $28.7 million and represented a margin of 16%.
Non-GAAP Net Income and Diluted Net Income Per Share
Non-GAAP net income was $19.4 million, compared to $18.6 million during the same quarter of 2014. Diluted non-GAAP net income per share was $0.11 in both periods.
For more information visit: www.fortinet.com
