[ACCESSWIRE]
Upcoming AWS Coverage on Qualcomm Post-Earnings Results
LONDON, UK / ACCESSWIRE / April 19, 2017 / Active Wall St. announces its post-earnings coverage on Barracuda Networks, Inc. (NYSE: CUDA). The Company released its Fourth Quarter Fiscal 2017 and Fiscal 2017 financial results on April 17, 2017. The security and storage Company posted better-than-expected revenue and earnings results. Register with us now for your free membership at: http://www.activewallst.com/register/.
One of Barracuda Networks' competitors within the Communication Equipment space, Qualcomm Inc. (NASDAQ: QCOM), will publish its financial results for its Q2 FY17 on Wednesday, April 19, 2017, after the close of the market. AWS will be initiating a research report on Qualcomm in the coming days.
Today, AWS is promoting its earnings coverage on CUDA; touching on QCOM. Get our free coverage by signing up to: http://www.activewallst.com/register/.
Earnings Reviewed
For the three months ended February 28, 2017, Barracuda's total revenue increased 7% to $89.3 million compared with $83.7 million in Q4 FY16. The Company's revenue numbers surpassed analysts' consensus of $88.4 million. Barracuda's subscription revenue grew to $69.4 million in the reported quarter, up 12% from $62.1 million in the year earlier same quarter, representing 78% of total revenue. Appliance revenue was $19.9 million in Q4 FY17 compared with $21.7 million in Q4 FY16. On a geographical basis, the Company derived 76% of total fourth quarter revenue from the Americas, 18% from EMEA, and 6% from Asia/Pacific.
For Q4 FY17, Barracuda's gross billings totaled $103.2 million compared with $95.8 million in Q4 FY16. Billings for core products increased 21% to $63.8 million in the reported quarter compared with $52.6 million in the prior year's same period. The number of active subscribers grew approximately 15% y-o-y to reach 321,000 as of February 28, 2017. The Company's dollar-based renewal rate was 89%, or 90% on a constant currency basis, and 93% on an annualized basis.
Barracuda ended Q4 FY17 with headcount of 1,512, and this is up from 1,508 employees in Q3 FY17. In the reported quarter, the Company's non-GAAP operating income grew 27% y-o-y to $14.4 million. Barracuda generated $16.6 million of adjusted EBITDA, or 19% of revenue, in Q4 FY17 compared with $13.6 million, or 16% of revenue, in Q4 FY16.
For Q4 FY17, Barracuda's GAAP net income was $3.2 million, or $0.06 per share, based on a diluted share count of 54.1 million compared to a GAAP net income of $3.2 million, or $0.06 per share, in Q4 FY16. The Company's non-GAAP net income was $10.0 million, or $0.19 per share. Non-GAAP net income was favorable impacted by the exclusion of $7.7 million in stock-based compensation expense, $1.8 million in amortization of intangibles, and $0.2 million in other expense, partially offset by the exclusion of an income tax effect of $2.4 million and $0.4 million in acquisition and other benefits. Barracuda's earnings result surpassed market estimates of $0.15 per share.
Fiscal Year 2017 Financial Summary
For FY17, Barracuda's total revenue increased 10% to $352.6 million, compared with $320.2 million in FY16. The Company's subscription revenue, which represented 77% of total revenue, grew to $269.9 million, up 17% from $230.9 million in FY16. For FY17, Barracuda's Appliance revenue totaled $82.7 million compared with $89.3 million in FY16.
During FY17, Barracuda's gross billings increased 7% to $402.1 million compared with $377.5 million in the year ago same period. Billings for the Company's core products increased 23% to $239.5 million compared with $194.4 million in FY16.
For FY17, Barracuda's GAAP net income was $10.2 million, or $0.19 per share, based on a diluted share count of 53.6 million compared to a GAAP net loss of $4.4 million, or $0.08 per share, on a basic share count of 53.1 in FY16. The Company's non-GAAP net income was $43.8 million, or $0.82 per share. Non-GAAP net income was favorably impacted by the exclusion of $32.7 million in stock-based compensation expense, $7.2 million in amortization of intangibles, $0.6 million in acquisition and other charges, and $0.1 million in other expense, partially offset by the exclusion of an income tax effect of $7.0 million.
Outlook
For Q1 FY18, Barracuda is forecasting billings to be in the range of $103 million to $105 million. The Company expects revenue to be in the range of $90 million to $92 million. Barracuda is projecting non-GAAP operating income for Q1 FY18 to be between $13 million and $15 million, while non-GAAP earnings per share for the upcoming quarter is expected to be between $0.17 and $0.19 per share with an assumed share count range of 54 million to 55 million shares.
For FY18, Barracuda expects revenue to be in the range of $370 million to $380 million. Guidance for non-GAAP operating income for the year is between $58 million and $63 million. Non-GAAP earnings per share for the fiscal year are expected to be approximately $0.73 to $0.78 of earnings per share.
Stock Performance
At the close of trading session on Tuesday, April 18, 2017, Barracuda Networks' stock price tumbled 15.81% to end the day at $19.71. A total volume of 7.88 million shares were exchanged during the session, which was above the 3-month average volume of 509.20 thousand shares. The Company's share price has surged 23.81% in the past twelve months. The stock currently has a market cap of $1.04 billion.
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