Fri, Jul 26, 8:22 PM (43 days ago)
Juniper Networks, Inc. reported a decrease in total net revenues for the quarter ended June 30, 2024, to $1,189.6 million, down from $1,430.1 million in the same period in 2023, primarily due to lower product sales across all customer solutions and verticals. Service revenues, however, saw an increase, driven by strong software support and SaaS sales. Gross margin improved slightly to 57.9%, up from 56.9% in the prior year, due to a higher service revenue mix and improved service margins. Operating income fell significantly to $45.0 million from $141.1 million, impacted by merger-related charges associated with the pending acquisition by Hewlett Packard Enterprise (HPE). Net income rose to $34.1 million from $24.4 million, aided by lower tax provisions and gains on investments. Cash flow from operations decreased to $316.1 million, reflecting lower customer collections and increased tax payments. The company maintained a strong balance sheet with $935.0 million in cash and equivalents and declared a quarterly dividend of $0.22 per share. The merger with HPE is expected to close in late 2024 or early 2025, subject to regulatory approvals.