Core Insights - Palo Alto Networks (PANW.US) reported a 16% year-over-year revenue growth for Q1 FY2026, reaching $2.47 billion, surpassing market expectations of $2.46 billion [1] - The company's net profit decreased by approximately 5% to $334 million, with adjusted earnings per share of $0.93, also exceeding market expectations of $0.89 [1] - The number of net platform additions was 60, which was below expectations and significantly lower than the previous quarter's 150 and last year's 100 [1] - For Q2, the company forecasts revenue between $2.57 billion and $2.59 billion, with the median aligning with market expectations [1] - The company announced the acquisition of cloud observability platform Chronosphere for $3.35 billion [1]

Core Viewpoint - The Gross Law Firm is notifying shareholders of Fortinet, Inc. about a class action lawsuit related to alleged false statements and misrepresentations made by the company regarding its product refresh cycle and the performance of FortiGate firewalls [1][3]. Summary by Sections Class Action Details - The class period for the lawsuit is from November 8, 2024, to August 6, 2025 [3]. - Allegations include that Fortinet misrepresented the potential profitability of its product refresh cycle, claiming it would be more lucrative than it actually was, and that the refresh consisted of old products which were only a "small percentage" of the company's business [3]. Shareholder Actions - Shareholders who purchased FTNT shares during the specified period are encouraged to register for the class action, with a deadline of November 21, 2025, to seek lead plaintiff status [4]. - Once registered, shareholders will receive updates on the case through a portfolio monitoring software [4]. Law Firm Background - The Gross Law Firm is a nationally recognized class action law firm dedicated to protecting investors' rights against deceit and fraud [5]. - The firm aims to ensure companies engage in responsible business practices and seeks recovery for investors who suffered losses due to misleading statements or omissions [5].

Summary of F5 Conference Call Company Overview - **Company**: F5 (NasdaqGS: FFIV) - **Industry**: Technology, specifically focused on application delivery and security Key Points and Arguments 1. **Evolution from Hardware to Software**: F5 has transitioned from being perceived as a hardware company to a multi-product software-oriented company, offering technology in hardware, software, and software as a service (SaaS) formats [2][11][15] 2. **Application Delivery and Security Platform**: F5 has developed a unified platform that integrates hardware, software, and SaaS to secure and deliver applications and APIs across various environments, which is a significant differentiation from competitors [16][17] 3. **Hybrid and Multi-Cloud Trends**: There is a growing trend among enterprises to adopt hybrid and multi-cloud architectures, driven by factors such as cost optimization, regulation, and the need for data sovereignty. F5 is positioned to address the complexity that arises from these environments [20][49] 4. **AI Integration**: The demands of AI require fine-grained processing and security of traffic, which aligns with F5's capabilities developed over the past 20 years. F5 is seeing new use cases in AI, such as data delivery and AI security [26][29] 5. **Customer Behavior Shifts**: There is a noticeable shift in customer behavior, with non-AI native companies beginning to adopt AI technologies, indicating a broader market trend towards AI integration [31][34] 6. **Strong Financial Performance**: F5 reported nearly 10% overall revenue growth, with significant contributions from both tech refresh initiatives and new use cases, indicating a robust business model [36][37] 7. **Response to Security Incident**: Following a security breach, F5 demonstrated transparency and effective communication with customers, which has been positively received. The company is focused on enhancing code integrity and leveraging AI tools for security improvements [39][42] 8. **Future Outlook**: F5 is optimistic about future growth driven by hybrid multi-cloud adoption and AI opportunities. The company aims to accelerate software growth and capitalize on the increasing complexity of customer environments [50][52] Additional Important Insights 1. **Data Center Modernization**: Companies are reinvesting in private data center capacity, driven by performance needs and the desire to manage data more effectively, particularly in the context of AI [20][21] 2. **Convergence of Delivery and Security**: F5 is focusing on the convergence of application delivery and security, which is becoming increasingly important in hybrid multi-cloud environments [54][55] 3. **Expansion of Security Services**: F5 is continuously adding security capabilities to its platform, including AI security and data loss protection, to enhance its offerings for applications and APIs [56] This summary encapsulates the key discussions and insights from the F5 conference call, highlighting the company's strategic direction, market positioning, and future growth opportunities.

Group 1 - The core issue was a global service outage experienced by Cloudflare Inc., affecting major websites including the U.S. energy regulatory agency, ChatGPT, and social media platform X [2] - The outage was caused by an "abnormal traffic surge" detected around 6:20 AM ET, leading to data transmission errors [2] - Cloudflare resolved the issue within six hours, and there is currently no evidence of a cyber attack or malicious activity related to the incident [2] Group 2 - Cloudflare operates as a global cloud platform, providing a wide range of network services to businesses of various sizes, enhancing the performance and reliability of critical internet assets [2] - The company offers data delivery services across 330 cities in 125 countries [2]

Core Viewpoint - A class action securities lawsuit has been filed against Fortinet, Inc. to recover losses incurred by shareholders due to alleged securities fraud between November 8, 2024, and August 6, 2025 [2][3]. Group 1: Lawsuit Details - The lawsuit claims that Fortinet's management made false statements and concealed information regarding the refresh cycle of their products, which was not as profitable as represented [3]. - It is alleged that the company misrepresented the number of FortiGate firewalls eligible for upgrades and misled investors about the momentum of the refresh cycle, which was pushed through more rapidly than communicated [3]. Group 2: Next Steps for Affected Shareholders - Shareholders who suffered losses during the specified timeframe are encouraged to seek information about their rights to recovery, with no cost or obligation to participate [4]. Group 3: Legal Representation - Levi & Korsinsky LLP is highlighted as a reputable securities litigation firm with a strong track record in securing recoveries for shareholders, having been recognized in the Top 50 Report for seven consecutive years [5].

Core Viewpoint - The Gross Law Firm has issued a notice to shareholders of Fortinet, Inc. regarding a class action lawsuit due to alleged false statements and concealment of material information related to the company's product refresh cycle and FortiGate firewall upgrades [1][2]. Group 1: Allegations and Class Action Details - The class period for the lawsuit is from November 8, 2024, to August 6, 2025 [1]. - Allegations include that Fortinet misrepresented the potential profitability of its product refresh cycle, claiming it would be more lucrative than it actually was, as it involved old products that constituted a "small percentage" of the company's business [1]. - The complaint states that Fortinet did not have a clear understanding of the actual number of FortiGate firewalls eligible for upgrades and misled investors about the momentum of the refresh cycle, which was pushed through aggressively in a short time frame [1]. Group 2: Next Steps for Shareholders - Shareholders who purchased shares during the specified class period are encouraged to register for the class action by November 21, 2025, to potentially become lead plaintiffs [2]. - Upon registration, shareholders will be enrolled in a portfolio monitoring system to receive updates on the case's progress [2]. Group 3: Law Firm's Mission - The Gross Law Firm aims to protect investors' rights against deceit, fraud, and illegal business practices, emphasizing the importance of responsible corporate behavior [3].

Core Points - A network product with interactive information release functionality was found to have security vulnerabilities, which were disclosed before the provider issued a patch, leading to administrative penalties against the platform operator by law enforcement [1] - The Cybersecurity Law mandates that organizations or individuals must adhere to specific regulations when publishing information about network product vulnerabilities [2][3][4][5][6][7] Group 1 - The platform operator was penalized for publicly disclosing vulnerability details and tools for exploiting these vulnerabilities before the provider could issue a fix [1] - The Cybersecurity Law outlines that vulnerability information must not be released before the provider has issued a patch, and any early disclosure requires coordination with the provider and reporting to relevant authorities [2][4] - Organizations must ensure that published vulnerability information is necessary, truthful, objective, and beneficial for preventing cybersecurity risks [2][3] Group 2 - It is prohibited to publish details of vulnerabilities in operational networks or systems, and exaggeration of risks associated with vulnerabilities is not allowed [2][3] - The release of tools specifically designed to exploit vulnerabilities is also forbidden [3] - During major national events, publishing vulnerability information without approval from the Ministry of Public Security is prohibited [5]

Financial Data and Key Metrics Changes - Revenue grew nearly 12% year-over-year, reaching $74.7 million in Q3 2025 [5][11] - EBITDA margins expanded from 26.7% to 29.3% year-over-year, while non-GAAP operating margin improved from 22.6% to 24.7% [6][13] - Non-GAAP net income for Q3 was $16.7 million, or $0.23 per diluted share, reflecting 7.4% EPS growth from the previous year [13] Business Line Data and Key Metrics Changes - Product revenue grew 17% year-over-year to $43.1 million, while service revenue increased 6% to $31.6 million [11][12] - Security-led revenue exceeded the long-term target of generating 65% of total revenue, reflecting strong customer demand [12][20] Market Data and Key Metrics Changes - Revenue from the Americas increased 25% on a trailing 12-month basis, driven primarily by investments in AI infrastructure [5][12] - The Americas region represented 65% of global revenue, highlighting the strength of A10's investments in the enterprise segment [12][13] Company Strategy and Development Direction - A10 Networks is aligning its solutions with customer needs in trusted infrastructure, cybersecurity, and AI capabilities, which are seen as essential for growth [5][8] - The company is focused on disciplined execution and capital deployment to drive growth while maintaining profitability [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in sustaining a full-year growth rate of 10% based on momentum in strategic initiatives [8][36] - The company is navigating macro uncertainties but remains optimistic about its positioning in the market, particularly with the acceleration of AI infrastructure build-out [16][36] Other Important Information - A10 Networks generated $22.8 million in cash flow from operations in Q3, with cash and investments totaling $371 million at the end of the quarter [15] - The board approved a quarterly cash dividend of $0.06 per share to be paid on December 1, 2025 [15] Q&A Session Summary Question: How is security-led revenue tracking this year? - Management indicated that security-led revenue is currently higher than 65%, and they aim to maintain this goal while not sacrificing infrastructure revenue [20] Question: Will F5's data breach impact customer discussions? - Management noted an increased level of interest from customers wanting to understand market alternatives, but no negative impact on spending was observed [23][29] Question: What specific factors contributed to the strength in North American AI infrastructure investments? - The growth was driven by a few large customers investing aggressively in AI infrastructure, with ongoing engagement with a multitude of players for future opportunities [27] Question: What is the outlook for 2026? - Management expects to sustain growth in the high single-digit range, focusing on maintaining EBITDA margins of 26%-28% and EPS growth faster than the top line [36] Question: What progress has been made in expanding the service provider customer base? - Management highlighted efforts to improve share of wallet with tier-one providers while gaining traction with tier-two service providers [41] Question: What drove the outperformance in the EMEA region? - A significant project contributed to the revenue increase in EMEA, but it is not expected to set a new baseline for future performance [46]

Financial Performance - Q3 2025 revenue increased by 11.9% year-over-year[12] - Year-to-date revenue is up 12.1%[12] - Non-GAAP gross margins reached 80.7% in Q3 2025[12] - GAAP EPS stands at $0.17, while Non-GAAP EPS is $0.23[12] - Adjusted EBITDA for Q3 2025 is $21.9 million[18] Revenue Breakdown - Service Provider revenue year-to-date is $128.4 million[22] - Enterprise revenue year-to-date is $81.8 million[22] - Americas accounted for 65% of Q3 2025 revenue, totaling $74.7 million[25] Balance Sheet - The company holds $86.6 million in cash and cash equivalents as of September 30, 2025[37] - Marketable securities amounted to $284.3 million[37] - Long-term debt stands at $218.5 million[37]

Core Insights - Quantum technology is recognized as a cornerstone of next-generation information technology and a strategic focal point in global technological competition [1] - China is leading in quantum communication, with the 2025 plan highlighting quantum technology as a new economic growth point alongside biomanufacturing and 6G mobile communication [1] - Huawei's integration of computing power with quantum technology is propelling China from a technological power to a technological stronghold [1] Policy and Market Dynamics - National strategic support for quantum technology is evident, with it being included in the "14th Five-Year Plan" as a key area alongside AI and biotechnology, with increasing policy support [8] - The global quantum computing market is projected to exceed $5 billion in 2024 and reach $219.9 billion by 2030, with an average annual growth rate of 87.64% [8] - Quantum computing is at a critical stage of transitioning from laboratory research to engineering applications, with parallel developments in superconducting and photonic quantum technologies [8] Company-Specific Developments 1. ShenZhou Information - Positioned as a leader in the quantum technology sector, with a business focus on technology services, software development, fintech solutions, and agricultural information [4] - Achieved three consecutive trading limit increases within six days in October 2025, becoming a leader in the A-share quantum technology concept sector [5] - Revenue for the first half of 2025 was 4.423 billion yuan, a year-on-year increase of 7.98%, but reported a net loss of 96 million yuan due to overdue receivables [9] 2. iFlytek - Focuses on smart voice, AI models, and industry solutions, with significant advancements in quantum computing [11] - Collaborated with Huawei to achieve breakthroughs in domestic computing clusters, enhancing efficiency by 75% and increasing throughput by 3.2 times [13] - Expected to see a 200% improvement in training inference efficiency by 2025, benefiting from the urgent demand for domestic computing power [14] 3. Electric Security Network - Engaged in password technology, network security, and data security, with a focus on integrating quantum communication with classical encryption [15] - Developed a quantum communication terminal in collaboration with China Mobile, enhancing competitive differentiation [17] - Has commercialized quantum communication products for government and enterprise users, capitalizing on the fast-growing quantum security market [19] 4. Oriental Communication - A pioneer in quantum communication chips, collaborating with Huawei and GuoDun Quantum to develop significant technologies in QKD communication [20] - Participates in the research and development of quantum key distribution technology as a Huawei partner [22] - Increased market attention is reflected in a growing number of shareholders, although specific revenue figures for quantum business remain undisclosed [23] 5. TianRongXin - Focuses on network security, data security, and quantum computing applications, with a strategic partnership with Wentian Quantum [25] - Launched quantum security gateways and solutions for critical national networks, aligning with national security requirements [26] - Revenue specifics for quantum business are not disclosed, but products have been implemented in various sectors including government and finance [26] 6. Deep Technology - Specializes in network security devices and solutions, with potential integration of quantum encryption technology [27] - Collaborates with Huawei in the data security domain, although specific quantum business revenues are not disclosed [27] - The network security market continues to grow, positioning the company favorably [28] 7. Dahua Intelligent - Engaged in IoT, satellite communication, and industry solutions, with potential applications of quantum communication technology [29] - Partners with Huawei in satellite communication, although specific quantum business revenues are not disclosed [29] - The IoT market is on the rise, providing opportunities for growth through technology integration [30]