A10 Networks (NYSE: ATEN) reported Q1 EPS of $0.05, $0.03 better than the analyst estimate of $0.02. Revenue for the quarter came in at $53.8 million versus the consensus estimate of $51.47 million.

“The strong first quarter, with revenue and profitability that exceeded our guidance, demonstrates that we are firmly on the right path, with an increasingly efficient organization, products that are increasingly in demand and a globally diversified presence,” said Dhrupad Trivedi, president and chief executive officer of A10 Networks. “To be sure, the Covid-19 pandemic is impacting our customers and A10, but in the first quarter we were able to adapt as the situation unfolded to mitigate most of the negative impact and deliver results that exceeded guidance. Moving into the second quarter, accurately forecasting the timing of regional and customer order patterns within a 90-day window has become challenging. With approximately $143 million in cash on our balance sheet, including an increase of $13 million in cash, cash equivalents and marketable securities at the end of the first quarter, and a stable base of recurring revenues, we remain well-positioned to weather the current environment from a position of strength, as we advance efforts to drive profitability. Our diversified product suite remains in strong demand, as our service provider customers need to reinforce their critical communications infrastructure for unprecedented usage and security as a result of the work-from-home movement. I remain optimistic and confident about the long-term prospects for A10 and believe we are well-positioned to navigate these challenging times.”

“The near-term uncertainty has caused us to temporarily halt our practice of providing quarterly guidance, but we remain committed to advancing our goals for growth and profitability,” continued Mr. Trivedi. “We believe we can achieve our stated goal of eliminating $10 million in operating expenses on an annual basis, and we expect second quarter operating expenses to decline sequentially from the first quarter. In addition, we expect to maintain non-GAAP profitability in the second quarter as we continue to make progress on our long-term operating model. As the situation abates and our visibility improves, we hope to return to providing estimates about our expected results.”

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