F5 Reports 2Q13 Earnings as BIG-IQ Release Nears
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For the quarter, F5 reported revenue of $350.2 million, a three percent year-over-year gain, with $63.4 million net income, or $0.80 per share. Moving forward, F5 provided guidance for a third quarter revenue target in the range of $355 to $365 million.
"During the quarter, we experienced difficulties in closing certain forecasted deals, as customers hesitated to approve budgets and release purchase orders, causing us to adjust our internal forecast late in the quarter," John McAdam, CEO of F5, said during the vendor's earnings call. "In particular, we experienced significant weakness in our telco vertical, where sales were down significantly on both a year-over-year and sequential basis, as funding for several projects was delayed."
McAdam noted that government sales were also down year-over-year, likely due in part to the U.S. government sequester. F5 isn't the only networking vendor to report slowing government sales. In an earnings call earlier this week, Juniper Networks also reported earnings impacted by the U.S. Federal government spending slowdown.
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