GEC NEWS WIREFortinet revealed their financial results for the third quarter ended September 30, 2016.
“While our third quarter results were impacted by a moderated spending environment, extended sales cycles and sales execution challenges, we continued to outgrow the market, as well as add 9,000 new customers,” stated Ken Xie, founder, chairman and chief executive officer. “Fortinet remains in a position to benefit from key secular trends such as security vendor consolidation and next generation cloud architectures. We have a strong technology advantage and visionary roadmap in place to help us continue to grow our market position, address our large opportunity, and make progress towards achieving our long term margin targets.”
Total revenue was $316.6 million for the third quarter of 2016, an increase of 22% compared to $260.1 million in the same quarter of 2015. Within total revenue, product revenue was $128.0 million, an increase of 7% compared to $119.7 million in the same quarter of 2015. Service revenue was $188.7 million, an increase of 34% compared to $140.3 million in the same quarter of 2015.
Total deferred revenue increased by $30.8 million compared to $904.0 million as of June 30, 2016.
As of September 30, 2016, cash, cash equivalents and investments were $1.27 billion, compared to $1.22 billion as of June 30, 2016. In the third quarter of 2016, cash flow from operations was $76.1 million compared to $65.1 million in the same quarter of 2015.
