Juniper posts 7% revenue growth in Q2 2014
Vendor reports revenue of $1.23bn, citing diversification across key verticals as growth driver
Juniper Networks has reported second-quarter 2014 revenue of $1.23bn, showing year-on-year growth of 7% and sequential growth of 5%.
The vendor's operating margin for Q2 2014 increased to 9.4% from 0.5% in Q1 on a GAAP basis, including $86m of restructuring and other charges, the company said. Non-GAAP operating margin for the second quarter increased to 22.3% from 17.2% in Q1 and 18.9% from the year-ago quarter.
The result was that Juniper posted a GAAP net income of $221.1m, and non-GAAP net income of $190.3m.
The company's CEO, Shaygan Kheradpir, said that Juniper's revenue growth during Q2 was as a result of the company's diversification across target verticals.
"With our focused strategy, we are seeing clear signs of success with customers who are in a build cycle for High-IQ networks and cloud ecosystems," he said.
"We are relentlessly executing on our Integrated Operating Plan and successfully implemented several initiatives to drive greater efficiencies across our organisation. Throughout, we have been working to ignite our culture of innovation and maintain our unwavering commitment to shareholders to drive significant value through profitable growth."
Robyn Denholm, the company's chief financial and operations officer, added that Juniper had made good progress towards its operating expense and capital allocation goals. She said this was possible by being mindful of how the company allocates resources to ensure that it continues to invest in R&D.
Juniper's total cash, cash equivalents and investments as of June 30 were $3.96bn, compared to $3.479bn as of March 31 2014. The company's net cash flow from operations for the second quarter was $425m, compared to $126m in the first quarter, and $284m in the second quarter of 2013.