Revenue and Growth - First quarter revenue was $1.015 billion, a 3% increase year-over-year and a 4% increase when adjusted for foreign exchange[2]. - Total revenue for Q1 2025 was $1,015,139, representing a year-over-year growth of 3% compared to $986,970 in Q1 2024[14]. - Security and cloud computing revenue represented 69% of total revenue, growing 10% year-over-year and 11% when adjusted for foreign exchange[1]. - Security revenue was $531 million, up 8% year-over-year, while Cloud computing revenue grew by 14% to $165,456[14]. Income and Earnings - GAAP net income per diluted share was $0.82, down 26% year-over-year, while non-GAAP net income per diluted share was $1.70, up 4% year-over-year[6]. - Net income for Q1 2025 was $123,171, a decrease of 30% from $175,418 in Q1 2024[13]. - Non-GAAP net income for Q1 2025 was $256,096, slightly up from $255,495 in Q1 2024[19]. - GAAP net income per diluted share for Q1 2025 was $0.82, down from $1.11 in Q1 2024, reflecting a decrease of 26.1%[21]. - Non-GAAP net income per diluted share for Q1 2025 was $1.70, compared to $1.64 in Q1 2024, representing an increase of 3.7%[21]. Operating Performance - GAAP income from operations was $155 million, a 7% decrease from the previous year, with a GAAP operating margin of 15%[3]. - The company reported a GAAP operating margin of 15% for Q1 2025, down from 17% in Q1 2024[19]. - Non-GAAP adjusted EBITDA was $441 million, a 6% increase from the previous year[6]. - Adjusted EBITDA for Q1 2025 was $441.3 million, up from $417.2 million in Q1 2024, indicating a growth of 5.8%[23]. - The adjusted EBITDA margin for Q1 2025 was 43%, slightly up from 42% in Q4 2024[23]. Cash Flow and Capital Expenditures - Cash from operations for the first quarter was $251 million, representing 25% of revenue[7]. - Cash provided by operating activities in Q1 2025 was $251,200, down from $351,878 in Q1 2024[13]. - Total capital expenditures for Q1 2025 were $225,900, which is 22% of total revenue[16]. - Cash, cash equivalents, and restricted cash at the end of Q1 2025 totaled $1,100,311, up from $470,771 in Q1 2024[13]. Shareholder Actions and Financial Guidance - The company plans to repurchase $500 million worth of shares, acquiring 6.2 million shares at an average price of $81.19 per share[7]. - Financial guidance for Q2 2025 projects revenue between $1.012 billion and $1.032 billion, with non-GAAP net income per diluted share expected to be between $1.52 and $1.58[8]. Assets and Liabilities - Total assets as of March 31, 2025, were $9.982 billion, a decrease from $10.368 billion at the end of 2024[11]. Employee and Compensation Metrics - The number of employees at the end of Q1 2025 was 10,811, an increase from 10,533 in Q1 2024[16]. - Stock-based compensation for Q1 2025 amounted to $112.0 million, increasing from $93.3 million in Q1 2024, which is a rise of 20.0%[23]. - Amortization of acquired intangible assets for Q1 2025 was $27.6 million, compared to $21.0 million in Q1 2024, reflecting a growth of 31.4%[23]. Market and Economic Considerations - Management emphasizes the importance of foreign currency exchange rates in understanding financial results and performance comparisons[41]. - The dollar impact of foreign currency exchange rates is calculated by translating current period results using monthly average rates from the comparative period[41]. - Akamai's forward-looking statements include expectations about future financial performance and growth objectives, with potential risks highlighted[42]. - Actual results may differ materially from forward-looking statements due to various factors, including competition and macroeconomic trends[42]. - Akamai anticipates that subsequent events may change its expectations and beliefs, but disclaims any obligation to update forward-looking statements[43].

Core Insights - Akamai Technologies reported first quarter revenue of $1.015 billion, representing a 3% year-over-year increase and a 4% increase when adjusted for foreign exchange [1][2] - Security and cloud computing revenue accounted for 69% of total revenue, with a combined growth of 10% year-over-year and 11% when adjusted for foreign exchange [1] - GAAP net income per diluted share was $0.82, down 26% year-over-year, while non-GAAP net income per diluted share was $1.70, up 4% year-over-year [1][4] Financial Performance - Revenue by solution showed security revenue at $531 million (up 8% year-over-year), delivery revenue at $319 million (down 9% year-over-year), and cloud computing revenue at $165 million (up 14% year-over-year) [8][17] - GAAP income from operations was $155 million, a 7% decrease from the previous year, while non-GAAP income from operations was $307 million, up 5% [3][4] - Adjusted EBITDA was $441 million, reflecting a 6% increase from the previous year [4][27] Cash Flow and Share Repurchase - Cash from operations for the first quarter was $251 million, representing 25% of revenue [5] - The company repurchased 6.2 million shares for $500 million at an average price of $81.19 per share [5] Financial Guidance - For the second quarter of 2025, revenue guidance is set between $1.012 billion and $1.032 billion, with full-year revenue guidance between $4.050 billion and $4.200 billion [7] Geographic Revenue Breakdown - U.S. revenue was $529 million, up 3% year-over-year, while international revenue was $486 million, up 2% year-over-year [8][18]

Core Insights - Akamai Technologies has announced a strategic partnership with FPT Corporation to enhance cloud application deployment and optimization on Akamai Cloud [1][2] - The collaboration aims to leverage FPT's expertise in cloud migration, AI, and automation alongside Akamai's robust platform to deliver value to customers [2][3] Company Overview - FPT Corporation operates in 30 countries, with a significant presence in the Americas, employing over 1,000 professionals since entering the region in 2008 [4] - In 2024, FPT's global IT services achieved a 27.4% year-on-year revenue increase, contributing 79% of its total technology revenue and 91% of its pre-tax profit [4] - FPT reported a total revenue of USD 2.47 billion in 2024, with a workforce exceeding 54,000 employees [7] Partnership Details - The partnership will enable organizations to optimize multi-cloud and distributed environments, enhancing performance and cost efficiencies [2][3] - FPT and Akamai demonstrated AI capabilities at the 2025 NAB Show, showcasing how AI can transform media archives into monetizable assets [3] Financial Performance - FPT reported a robust first-quarter performance in 2025, with revenue increasing by 13.9% and profit before tax up 19.4% year-on-year [4] - The technology sector remains a key growth driver for FPT, achieving a 15.3% year-on-year increase, supported by a 17% rise in revenue from global IT services [4]

Akamai Technologies, Inc. (AKAM) is scheduled to release first-quarter 2025 results on May 8, after the closing bell. In the last reported quarter, the company delivered an earnings surprise of 9.21%. It pulled off a trailing four-quarter earnings surprise of 3.42%, on average. The company is expected to report higher revenues year over year, backed by healthy demand in security and compute verticals across multiple end markets. Management’s focus on expanding its product portfolio to cater to advanced use ...

Core Viewpoint - Akamai Technologies (AKAM) is expected to report a quarterly earnings per share (EPS) of $1.58, reflecting a 3.7% decline year-over-year, while revenues are forecasted to increase by 2.2% to $1.01 billion [1]. Earnings Estimates - The consensus EPS estimate has been revised upward by 0.1% in the last 30 days, indicating a reassessment by analysts [2]. - Changes in earnings estimates are crucial for predicting investor reactions, with empirical studies showing a strong correlation between earnings estimate revisions and short-term stock price performance [3]. Revenue Projections - Analysts project 'Revenue- Security' to be $538.25 million, representing a 9.7% increase from the previous year [5]. - 'Revenue- Compute' is expected to reach $168.06 million, indicating a 16.3% year-over-year increase [5]. - 'Revenue- Delivery' is projected at $302.31 million, reflecting a decline of 14.1% compared to the same quarter last year [5]. - 'Revenue- International' is estimated at $489.92 million, showing a 3.2% increase year-over-year [6]. - 'Revenues- United States' are expected to be $523.19 million, indicating a 2.1% increase from the prior year [6]. Stock Performance - Over the past month, Akamai Technologies shares have gained 12%, outperforming the Zacks S&P 500 composite, which increased by 0.4% [6]. - Based on its Zacks Rank 3 (Hold), AKAM is likely to perform in line with the overall market in the upcoming period [6].

Core Viewpoint - Akamai Technologies and P3M Works have formed a strategic partnership to provide zero trust identity, credential, and access management (ICAM) solutions specifically for UK government and defense supply chains, addressing the need for enhanced security in third-party access and supply chain operations [1][2][3] Group 1: Partnership Details - The collaboration combines Akamai's zero trust security capabilities, already implemented in U.S. Department of Defense networks, with P3M's expertise in UK government requirements [1][2] - The focus will be on Akamai's Zero Trust Federated ICAM solutions, which facilitate secure collaboration with vendors and contractors while minimizing exposure to cyber threats [2][3] - The joint offering will be available to UK government agencies and their supply chain partners starting in Q3 2025 [4] Group 2: Security Features - Key features include federated identity management, zero trust policy enforcement, continuous authentication, and comprehensive auditing of third-party activities [7] - The solutions will utilize a policy engine for dynamic, context-aware access decisions based on identity, device health, and behavioral analytics [3] - The approach aims to mitigate supply chain vulnerabilities and insider threats through continuous verification of access requests, even in challenging environments [3] Group 3: Company Backgrounds - Akamai is recognized for its cybersecurity and cloud computing solutions, providing defense-in-depth to safeguard enterprise data and applications globally [9] - P3M Works specializes in cyber resilience consultancy for public sector and defense organizations, focusing on protecting national security against evolving cyber threats [6][8]

Group 1: Earnings Expectations for Akamai Technologies - Wall Street anticipates a year-over-year decline in earnings for Akamai Technologies, with expected earnings of $1.58 per share, reflecting a -3.7% change, while revenues are projected to be $1.01 billion, up 2.2% from the previous year [3][12] - The earnings report is scheduled for May 8, 2025, and the stock may rise if results exceed expectations, but could decline if they fall short [2][14] - The consensus EPS estimate has been revised 0.14% higher in the last 30 days, indicating a slight bullish sentiment among analysts [4][10] Group 2: Earnings Surprise Prediction - The Zacks Earnings ESP model shows a positive Earnings ESP of +0.07% for Akamai Technologies, suggesting a likelihood of beating the consensus EPS estimate [11][10] - Historical performance indicates that Akamai has beaten consensus EPS estimates three out of the last four quarters, with a notable surprise of +9.21% in the last reported quarter [12][13] Group 3: Comparison with Industry Peers - Zillow, another player in the Zacks Internet - Services industry, is expected to report earnings of $0.43 per share, a +19.4% year-over-year change, with revenues of $588.55 million, up 11.3% [17] - Zillow's consensus EPS estimate has remained unchanged, but it has a negative Earnings ESP of -8.67% and a Zacks Rank of 4 (Sell), making it difficult to predict an earnings beat [18]

Core Insights - Akamai Technologies has launched a new T-shirt design in collaboration with UNIQLO for the PEACE FOR ALL collection, following a successful previous partnership [1][4] - The T-shirt design reflects both the early days of the internet and a vision for a safer, more connected world [2][3] - The PEACE FOR ALL project, initiated in June 2022, has sold over 6.6 million shirts, raising more than US$12.8 million for humanitarian organizations [4] Company Overview - Akamai is a leading cybersecurity and cloud computing company that provides solutions to power and protect businesses online [5] - The company offers market-leading security solutions and full-stack cloud computing services, ensuring reliability and scalability for global enterprises [5]

Core Insights - Akamai Technologies has launched a new solution called Firewall for AI, designed to provide multilayered protection for AI applications against various security threats [1][4] Group 1: AI Security Challenges - The rapid deployment of large language models (LLMs) and other AI tools introduces new security vulnerabilities, including adversarial attacks and data scraping, which traditional web application firewalls (WAFs) cannot effectively mitigate [2] - Existing security solutions are inadequate for addressing AI-specific threats, necessitating a new approach to secure AI applications [3] Group 2: Features of Firewall for AI - Firewall for AI offers multilayered protection by blocking adversarial inputs, unauthorized queries, and large-scale data scraping, thereby preventing model manipulation and data exfiltration [8] - The solution includes real-time AI threat detection that adapts to evolving AI-based attacks, ensuring compliance and data protection for AI-generated outputs [8] - Flexible deployment options are available, allowing integration into existing security frameworks via Akamai edge, REST API, or reverse proxy [8] Group 3: Enhancements to Security Capabilities - Akamai is also introducing API LLM Discovery, which automatically identifies and categorizes GenAI and LLM API endpoints, continuously updating security policies to prevent unauthorized access [5]

Core Insights - Akamai Technologies has updated its Security Certified Service Provider programs, allowing certified partners to deliver Day-2 Operations Services for API security solutions and technical support for Akamai Guardicore Segmentation environments [1][3] Group 1: API Security and Attacks - The Akamai State of the Internet report indicates that from January 2023 to June 2024, there were 108 billion API attacks, which can result in data theft, reputation damage, regulatory fines, and significant financial losses [2] - The importance of securing APIs is emphasized due to the various forms of attacks, including data breaches and distributed denial-of-service attacks [2] Group 2: Partner Program Enhancements - The enhancements to the Security Certified Service Provider programs enable partners to better meet customer needs and provide comprehensive protection and support [3] - The updates strengthen the capabilities of partners like Orange Cyberdefense, allowing them to offer tailored microsegmentation services to secure digital assets [3] Group 3: Day-2 Operations Services - Day-2 Operations Services for API security include a full suite of services from project delivery to 24/7 support, ensuring compliance and monitoring potential security incidents [4] - Services offered include operational management, security incident management, active testing for vulnerabilities, and audit and compliance management [5][6]