Juniper Networks (NYSE: JNPR) reported Q4 EPS of $0.55, $0.02 better than the analyst estimate of $0.53. Revenue for the quarter came in at $1.22 billion versus the consensus estimate of $1.19 billion.

“We experienced better than expected Q4 demand and ended 2020 on a high note by delivering a second consecutive quarter of year-over-year revenue growth,” said Juniper’s CEO, Rami Rahim. “Despite the various challenges presented by the pandemic, we achieved many of the objectives we laid out earlier in the year, which included growing our enterprise business for a fourth consecutive year, growing our cloud business for a second consecutive year and stabilizing our service provider business. We believe these outcomes are a direct result of the strategic actions we have taken, which should position us for sustainable full-year revenue growth starting this year.”

“We executed well in the December quarter and were able to exceed our revenue and non-GAAP EPS targets,” said Juniper’s CFO, Ken Miller. “We are entering the new year with strong backlog and healthy momentum across each of our core industry verticals. We believe the investments we have made in 2020 to strengthen our technology portfolio and go-to-market organization will not only position us to deliver long-term growth, but also improved profitability over time.”

GUIDANCE:

Juniper Networks sees Q1 2021 EPS of $0.20-$0.30, versus the consensus of $0.25. Juniper Networks sees Q1 2021 revenue of $1.005-1.105 billion, versus the consensus of $1.03 billion.

These metrics are provided on a non-GAAP basis, except for revenue and share count. Non-GAAP earnings per share is on a fully diluted basis. The outlook assumes that the exchange rate of the U.S. dollar to other currencies will remain relatively stable at current levels.

At the mid-point of guidance, expected revenue is up 6% year-over-year which we anticipate will include less than $10 million of revenue from the recent acquisitions of Apstra, 128 Technology and Netrounds.

We expect non-GAAP gross margin to experience normal seasonal patterns in the first quarter. Excluding the anticipated impact of increased COVID-related costs, non-GAAP gross margin would be approximately flat versus Q1 2020.

We expect first quarter non-GAAP operating expense to increase sequentially, primarily due to the inclusion of approximately $20 million of operating expenses related to recent acquisitions.

Our first quarter non-GAAP EPS guidance includes the dilutive impact of the recent acquisitions.

Our Board of Directors has declared a quarterly cash dividend of $0.20 per share to be paid on March 22, 2021 to stockholders of record as of the close of business on March 1, 2021.

Our guidance for the quarter ending March 31, 2021 is as follows:

• Revenue will be approximately $1,055 million, plus or minus $50 million.
• Non-GAAP gross margin will be approximately 59.0%, plus or minus 1%.
• Non-GAAP operating expenses will be approximately $510 million, plus or minus $5 million.
• Non-GAAP operating margin will be approximately 10.6% at the mid-point of revenue guidance.
• Non-GAAP tax rate will be approximately 19.5%.
• Non-GAAP other income and expense will be an expense of approximately $12 million.
• Non-GAAP net income per share will be approximately $0.25, plus or minus $0.05. This assumes a share count of approximately 333 million

For earnings history and earnings-related data on Juniper Networks (JNPR) click here.