Fortinet

FTNT Q2 2024 Earnings

Reported Aug 6, 2024 at 4:07 PM ET · SEC Source

Q2 24 EPS

$N/A

Est. $0.41

Q2 24 Revenue

N/A

Est. $1.43B

vs S&P Since Q2 24

+82.1%

BEATING MARKET

FTNT +125.1% vs S&P +43.0%

Market Reaction

Did FTNT Beat Earnings? Q2 2024 Results

Fortinet delivered a blowout first quarter for fiscal 2026, posting non-GAAP diluted EPS of $0.82 against a Wall Street consensus of $0.62, a beat of 32.62% that extended the cybersecurity company's streak of topping EPS estimates to five consecutive… Read more Fortinet delivered a blowout first quarter for fiscal 2026, posting non-GAAP diluted EPS of $0.82 against a Wall Street consensus of $0.62, a beat of 32.62% that extended the cybersecurity company's streak of topping EPS estimates to five consecutive quarters. Revenue climbed 20.1% year over year to $1.85 billion, beating the $1.73 billion consensus by 6.68%, as the company exceeded the high end of its own guidance on both top and bottom lines. The single clearest driver of the outperformance was a 41% surge in product revenue to $645.10 million, signaling an accelerating hardware refresh cycle and new customer wins, while billings jumped 31% to $2.09 billion and free cash flow reached a record $1.01 billion. With ransomware activity intensifying sharply across the industry and enterprise security budgets reflecting that urgency, Fortinet raised its full-year 2026 revenue guidance to $7.71 billion to $7.87 billion, representing roughly 15% year-over-year growth, while guiding Q2 revenue to a range of $1.83 billion to $1.93 billion.

Key Takeaways

  • 41% product revenue growth driven by convergence of networking and security
  • 31% billings growth reflecting broad-based demand across portfolio and geographies
  • Increasingly complex AI-intensified threat environment driving demand
  • Direct operations and manufacturing model turning supply chain challenges into market share opportunities
  • Record operating cash flow of $1.08 billion and record free cash flow of $1.01 billion
24/7 Wall St

FTNT YoY Financials

Q2 2024 vs Q2 2023, source: SEC Filings

24/7 Wall St

FTNT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q3 22 Q1 26

“We are very pleased with our excellent first quarter results, exceeding the high end of our guidance through strong execution and broad-based demand across our portfolio and geographies.”

— Ken Xie, Q2 2024 Earnings Press Release