Seattle-based F5 Networks saw shares rise more than 5% in after-hours trading Monday after its fiscal fourth quarter earnings report beat expectations.
The company posted revenue of $615 million, up 4%, and non-GAAP earnings per share of $2.59. Wall Street expected revenue of $606 million and EPS of $2.37.
F5 Networks continues to benefit from its move into software and services, expanding beyond its traditional networking hardware business. Software revenue was up 36% from the year-ago quarter.
“Going forward, we expect continued robust software growth from a more diversified base of subscription and SaaS revenue, a software subscription renewals flywheel that is starting to turn with momentum, and true-forward revenue opportunities on a significant percentage of our long-term software subscription contracts,” François Locoh-Donou, president and CEO of F5, said in a statement.
Earlier this year Locoh-Donou laid out the