Palo Alto Networks (NASDAQ: PANW), the global cybersecurity leader, announced today’s financial results for its fiscal first-quarter 2022, which ended October 31, 2021.
Total revenue for the fiscal first quarter 2022 grew 32% year over year to $1.2 billion, compared with total revenue of $946.0 million for the fiscal first quarter 2021.
GAAP net loss for the fiscal first quarter of 2022 was $103.6 million compared to the last quarter of 2021, which was $92.2 million.
The earning per share is $1.06 per diluted share, compared with GAAP net loss of $92.2 million, or $0.97 per diluted share, for the fiscal first quarter of 2021.
Non-GAAP net income for the fiscal first quarter of 2022 was $170.3 million, or $1.64 per diluted share, compared with non-GAAP net income of $158.1 million, or $1.62 per diluted share, for the fiscal first quarter of 2021. A reconciliation between GAAP and non-GAAP information is contained in the tables below.
“Q1 was a strong start to fiscal year 2022, driven by strength in both our product and Next-Generation Security businesses, giving us confidence to raise our revenue and billings guidance for the year,” said Nikesh Arora, chairman and CEO of Palo Alto Networks. “We continue to see strong customer demand and have continued to release key innovations which give us confidence in the durable growth we presented at our September Analyst Day.
“The combination of strong top-line metrics, upside to our profitability goals, and cash conversion for Q1 showcase our focus on total shareholder return,” said Dipak Golechha, the chief financial officer of Palo Alto Networks.
Financial Outlook
Palo Alto Networks provides guidance based on current market conditions and expectations.
For the fiscal second quarter 2022, we expect:
- Total billings in the range of $1.51 billion to $1.53 billion, representing year-over-year growth of between 24% and 26%.
- Total revenue in the range of $1.265 billion to $1.285 billion, representing year-over-year growth of between 24% and 26%.
- Diluted non-GAAP net income per share in the range of $1.63 to $1.66, using 105 million to 107 million shares outstanding.
Financial Statement :
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Palo Alto Networks, Inc. |
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Preliminary Condensed Consolidated Statements of Operations |
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(In millions, except per share data) |
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(Unaudited) |
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Three Months Ended |
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October 31, |
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2021 |
2020 |
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Revenue: |
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Product |
$ |
295.5 |
$ |
237.3 |
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Subscription and support |
951.9 |
708.7 |
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Total revenue |
1,247.4 |
946.0 |
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Cost of revenue: |
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Product |
88.9 |
62.2 |
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Subscription and support |
291.7 |
215.6 |
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The total cost of revenue |
380.6 |
277.8 |
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Total gross profit |
866.8 |
668.2 |
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Operating expenses: |
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Research and development |
339.5 |
237.4 |
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Sales and marketing |
505.9 |
388.6 |
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General and administrative |
104.1 |
86.7 |
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Total operating expenses |
949.5 |
712.7 |
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Operating loss |
(82.7) |
(44.5) |
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Interest expense |
(6.9) |
(40.2) |
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Other income (expense), net |
(1.6) |
2.4 |
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Loss before income taxes |
(91.2) |
(82.3) |
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Provision for income taxes |
12.4 |
9.9 |
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Net loss |
$ |
(103.6) |
$ |
(92.2) |
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Net loss per share, basic and diluted |
$ |
(1.06) |
$ |
(0.97) |
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Weighted-average shares used to compute net loss per share, basic and diluted |
97.6 |
95.5 |
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