Juniper Networks hits Q2 earnings, revenue targets; CEO stepping down
It was a big news day for Juniper Networks after the bell on Tuesday as the company also announced its CEO is stepping down.
Let's get the numbers out of the way.
The network security solutions provider reported a second quarter net income of $98 million, or 19 cents per share (statement). Non-GAAP earnings were 29 cents per share on a revenue of $1.151 billion.
Wall Street was looking for earnings of 25 cents per share on a revenue of $1.09 billion.
In the earnings report, CEO Kevin Johnson reflected on the quarter in prepared remarks:
We continue to see signs of strength in our key markets and we are confident in our routing and switching portfolio. We are also seeing early signs of improving security demand. As we drive innovation to differentiate across our product portfolio, we continue to deliver revenue growth and stay focused on executing with agility to drive value for all our stakeholders.
For the third quarter, Wall Street expects Juniper to deliver earnings of 29 cents per share on a revenue of $1.14 billion.
Juniper is projecting its Q3 revenue to fall within the range of $1.14 billion to $1.18 billion with non-GAAP earnings between 29 and 32 cents per share.
As for Johnson, the CEO will be stepping down as soon as a successor can be named. Until then, he will remain in his post.
However, a reason for his departure was not publicized.
In a separate statement, Johnson made some cordial remarks, noting that he believes it is a "good time to transition to new leadership and drive the next phase of Juniper's growth."
In the meantime, Juniper's board of directors has formed a search committee to hire a new CEO. The board has also retained executive recruiting firm Heidrick and Struggles for extra help.
Johnson has served as CEO of Juniper Networks since September 2008. He was at Microsoft for 16 years before that, serving in a number of different executive roles, including president of the Platforms and Services unit.
Image via Juniper Networks