A10 Networks(ATEN) - 2025 Q1 - Quarterly Results

Financial Performance - Revenue for Q1 2025 was $66.1 million, representing a 9% increase year-over-year from $60.7 million in Q1 2024[6] - GAAP net income for Q1 2025 was $9.5 million, or $0.13 per diluted share, compared to $9.7 million, or $0.13 per diluted share, in Q1 2024[6] - Non-GAAP net income for Q1 2025 was $15.0 million, or $0.20 per diluted share, compared to $12.7 million, or $0.17 per diluted share, in Q1 2024[6] - GAAP gross margin was 79.7%, while non-GAAP gross margin was 80.9%[6] - The company reported a total operating income of $8.8 million for Q1 2025, up from $7.2 million in Q1 2024[15] - Non-GAAP gross profit increased to $53.5 million in Q1 2025, up from $49.7 million in Q1 2024, indicating an 8% growth[21] - Non-GAAP operating income rose to $16.1 million, compared to $11.2 million in Q1 2024, showing a 44% increase[25] - Adjusted EBITDA for Q1 2025 was $19.5 million, up from $13.9 million in Q1 2024, representing a 40% increase[27] - The company reported a GAAP operating margin of 13.3% for Q1 2025, up from 11.9% in Q1 2024[25] Cash Flow and Assets - Cash and cash equivalents rose significantly to $243.8 million, compared to $95.1 million at the end of 2024, marking a 156% increase[20] - Total assets increased to $606.2 million as of March 31, 2025, up from $432.8 million at the end of 2024, representing a 40% growth[18] - Total liabilities increased to $410.3 million as of March 31, 2025, compared to $201.0 million at the end of 2024, a 103% rise[18] - Cash flows from operating activities decreased to $17.2 million in Q1 2025, down from $32.4 million in Q1 2024, a decline of 47%[20] Shareholder Returns - The company returned $51.4 million to investors, including $47.0 million from share repurchases and $4.4 million in cash dividends[6] - A new $75 million share repurchase program was authorized by the Board of Directors[6] Strategic Initiatives - The acquisition of ThreatX Protect, completed in February 2025, enhances the company's capabilities in protecting web applications and APIs[3] - The company completed an acquisition costing $19.1 million during the quarter, contributing to its strategic expansion efforts[20] Market Outlook - The company expects growth to outpace the broader industry despite potential near-term demand impacts from global trade dynamics[3] - Service provider spending patterns may remain uneven due to macroeconomic volatility and trade policy impacts[3]