F5 Networks (NASDAQ: FFIV) shares were trading around 11% lower after-hours following the company’s Q1 earnings announcement. While the quarterly EPS of $2.89 and revenue of $687 million (up 10% year-over-year led by strong Software demand) came in better than the consensus estimates of $2.78 and $676 million, respectively, the Q2 guidance was disappointing.

While demand for the company’s solutions remains robust, management expects that its ability to meet customers’ continued strong demand for systems will be restricted by supply chain issues for the remainder of 2022.

The company expects Q2 revenue in the range of $610-650 million, compared to the consensus estimate of $692.3 million, and full 2022-year revenue growth in a range of 4.5-8%, down from its prior estimate of 8-9%.