Radware Ltd. Announces Second Quarter 2011 Results
TEL AVIV, Israel July 26, 2011
$41.1 Million
$0.32
Radware application delivery application security $41.1 million $35.2 million $38.6 million
$4.9 million $0.21 $1.4 million $0.07
$7.3 million $0.32 $4.3 million $0.21
$11 million $204 million
"Our competitive differentiation in ADC virtualization and attack mitigation solutions continue to fuel our growth," said Roy Zisapel, president and chief executive officer, Radware. "We believe we are very well positioned in the crossroad of the key IT trends such as data center consolidation, cloud networking, cyber security and carrier mobile data and traffic steering, and plan to continue to execute on these growth drivers."
June 30, 2011
- Radware Honored with a 2011 TMC Labs Innovation Award
- Radware’s Alteon VA Achieves VMware Ready Status
- Radware’s Alteon OS 27 Certified by SAP for Integration with SAP NetWeaver7.0 to Deliver Faster Response Time, High Availability and Improved Security
- Radware Wins Third Consecutive NGN Magazine Leadership Award
- Garanti Bank Purchases Radware’s ADC-VX Virtualization Solution for Intranet and TCP/IP-based Banking Applications
- Radware’s Application Delivery Controller Solutions Provide Maximum Availability, Scalability, Performance and Security to Microsoft Exchange Server 2010
- Fighting Back! Online Businesses Need to Adopt a More Offensive Line of Attack Against Cyber Crime
- Radware Talks Application Delivery in the Virtual Data Center at Interop Las Vegas
- Radware Raises the Bar for Virtual ADCs Introducing New Services to Its Virtual Application Delivery Infrastructure (VADI)
- Radware Earns Unified Communications 2010 Product of the Year Award
- Radware’s ADC Virtualization Solution Enables P&T Luxembourg to Expand into the Cloud
8:45am ET July 26, 2011 June 30, 2011
July 26, 2011 8:45am ET http://www.radware.com/Company/InvestorRelations/default.aspx
Please use the following dial-in numbers to participate in the Second Quarter 2011 call:
Participants in the US call :
International participants call:
About Radware
Radware application delivery application security http://www.radware.com
Use of Non-GAAP Financial Information
In addition to reporting financial results in accordance with generally accepted accounting principles (GAAP), Radware uses non-GAAP measures of net income and earnings per share, which are adjustments from results based on GAAP to exclude stock-based compensation expenses, in accordance with ASC No. 718, amortization of intangible assets, and exchange rate differences, net on balance sheet items included in finance income. Such exchange rate differences may vary from period to period due to changes in exchange rates driven by general market conditions or other circumstances outside of the normal course of Radware’s operations. Management believes that exclusion of these charges allows comparisons of operating results that are consistent across past, present and future periods. Radware’s management believes the non-GAAP financial information provided in this release is useful to investors for the purpose of understanding and assessing Radware’s ongoing operations. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of the non-GAAP financial measures discussed in this press release, to the most directly comparable GAAP financial measures, is included with the financial information contained in this press release. Management uses both GAAP and non-GAAP information in evaluating and operating business internally and, as such, has determined that it is important to provide this information to investors.
This press release may contain forward-looking statements that are subject to risks and uncertainties. Factors that could cause actual results to differ materially from these forward-looking statements include, but are not limited to, general business conditions in the Application Switching and Network Security industry, changes in demand for Application Switching and Network Security products, the timing and amount or cancellation of orders and other risks detailed from time to time in Radware’s filings with the Securities and Exchange Commission, including Radware’s Form 20-F.
Condensed Consolidated Balance Sheets (U.S. Dollars in thousands) December 31, June 30, 2010 2011 (Unaudited) Current assets Cash and cash equivalents 15,284 19,349 Available-for-sale marketable securities 24,200 11,327 Short term bank deposits 51,441 58,001 Trade receivables, net 16,543 16,050 Other receivables and prepaid expenses 3,402 3,982 Inventories 9,722 11,310 120,592 120,019 Long-term investments Available-for-sale marketable securities 82,864 109,927 Long-term bank deposits 5,000 5,000 Severance pay funds 3,342 3,493 91,206 118,420 Property and equipment, net 11,801 11,863 Other assets Intangible assets, net 12,011 10,090 Other long-term assets 560 642 Goodwill 24,465 24,465 Total assets 260,635 285,499 Current liabilities Trade payables 5,913 6,314 Deferred revenues, other payables and accrued expenses 47,223 52,765 53,136 59,079 Long-term liabilities 22,509 23,180 Shareholders' equity Share capital 506 521 Additional paid-in capital 218,593 227,137 Accumulated other comprehensive income 125 497 Treasury stock, at cost (18,036) (18,036) Accumulated deficit (16,198) (6,879) Total shareholders' equity 184,990 203,240 Total liabilities and shareholders' equity 260,635 285,499
Condensed Consolidated Statements of Income (U.S. Dollars in thousands, except share and per share data) For the Three months ended June 30, For the Six months ended June 30, 2010 2011 2010 2011 (Unaudited) (Unaudited) (Unaudited) (Unaudited) Revenues 35,206 41,115 68,302 79,734 Cost of revenues 7,090 8,318 13,788 16,197 Gross profit 28,116 32,797 54,514 63,537 Operating expenses: Research and development 7,753 9,092 15,140 17,796 Selling and marketing 16,027 17,339 31,728 33,745 General and administrative 2,560 2,436 5,130 4,785 Total operating expenses 26,340 28,867 51,998 56,326 Operating income 1,776 3,930 2,516 7,211 Financial income (loss), net (145) 1,298 (92) 2,637 Income before taxes on income 1,631 5,228 2,424 9,848 Taxes on income (228) (298) (432) (529) Net Income 1,403 4,930 1,992 9,319 Basic net earnings per share $ 0.07 $ 0.24 $ 0.10 $ 0.45 Weighted average number of shares used to compute basic net earnings per share 19,170,659 20,927,549 19,071,288 20,801,998 Diluted net earnings per share $ 0.07 $ 0.21 $ 0.10 $ 0.41 Weighted average number of shares used to compute diluted net earnings per share 21,001,863 22,976,000 20,624,283 23,001,985
Reconciliation of Supplemental Financial Information (U.S. Dollars in thousands, except share and per share data) For the Three months For the Six months ended ended June 30, June 30, 2010 2011 2010 2011 (Unaudited) (Unaudited) (Unaudited) (Unaudited) GAAP net Income 1,403 4,930 1,992 9,319 Stock-based compensation expenses, included in: Cost of revenues 14 16 29 31 Research and development 280 286 578 539 Selling and marketing 553 781 1,055 1,391 General and administrative 406 345 _ 910 _ 663 1,253 1,428 2,572 2,624 Amortization of intangible assets included in: Cost of revenues 399 541 778 1,082 Selling and marketing 592 421 1,222 842 991 962 2,000 1,924 Exchange rate differences, net on balance sheet items included in finance income 696 (67) 1,325 (496) Non-GAAP net income 4,343 7,253 7,889 13,371 Non-GAAP diluted net earnings per share $ 0.21 $ 0.32 $ 0.38 $ 0.58 Weighted average number of shares used to compute Non-GAAP diluted net earnings per share 21,001,863 22,976,000 20,624,283 23,001,985
C ontacts
Michael Lordi
SOURCE Radware Ltd
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