CYBER-security solutions provider Fortinet reported a 20-percent hike in total revenue to $1.8 billion for full year 2018, from $1.49 billion in 2017 on the back of continued patronage for its vast offerings.
The company generated last year a topline of $674.4 million from its products, 17 percent higher than the $577.2 million it registered a couple of years ago.
Service revenue rose by 23 percent from $917.7 million to $1.13 billion year-on-year (YoY).
Billings aggregated to $2.15 billion, an increase of 20 percent compared to $1.80 billion during the two periods in review.
Operating income in accordance with Generally Accepted Accounting Principles (GAAP) stood at $231 million in 2018, from $109.8 million in 2017. These figures represented a GAAP operating margin of 13 percent and 7 percent, respectively.
Non-GAAP operating profit surged $402.9 million from $257.4 million, with a non-GAAP operating margin of 22 percent from 17 percent YoY.
Last year’s financial standing of Fortinet also improved further, with cash flow from operations increasing from $594.4 million to $638.9 million, while free cash flow surging from $459.1 million to $585.9 million.
For the fourth quarter (Q4) of 2018, revenue reached $507 million, up 22 percent from previous year’s $416.6 million.
It was comprised of $200.8-million product topline or over 24 percent than the comparable period’s $162.1 million, as service revenue jumped by 20 percent from $254.5 million to $306.2 million.
From October to December 2018, overall billings amounted $649.2 million or over 22 percent compared to $534 million in the same quarter of 2017.
GAAP operating income was $85.1 million (17 percent difference) and $42.2 million (10 percent difference) for Q4 YoY.
Non-GAAP operating income ballooned to $130.6 million (26 percent margin) and $78.7 million (19 percent margin) for the last quarter of 2018 and 2017, accordingly.
In Q4 of last year, cash flow from operations was $180.2 million against $157.5 million in the $168.6 million as opposed to $143.9 million a couple of years ago.
“Our strong fourth quarter results drove a solid finish to 2018, demonstrating demand for our product and services, and illustrating our ability to drive disciplined growth with solid margin improvement,” said Ken Xie, founder, chairman and chief executive officer of Fortinet.
The firm remains bullish on constant business growth as it expects revenue to be in the range of $465 million to $475 million for the first quarter of this year.
It also projects the topline to be between $2.06 billion to $2.10 billion for the fiscal year 2019.
“We are well-positioned to achieve another year of better than industry growth in 2019, driven by business momentum and strong customer demand for our broad, integrated, and automated security solutions across their entire network infrastructure,” he stressed.
Headquartered in Sunnyvale, California, Fortinet is a global leader in broad, integrated and automated cyber-security solutions.
Ranked No. 1 in the most security appliances shipped worldwide, it offers real-time protection to more than 375,000 customers worldwide.
In the Philippines, the network security company provides sales and marketing support, as well as technical back up to their distributors and resellers.