Press release
Extreme Networks Reports Third Quarter Fiscal Year 2023 Financial Results
Delivers Record Revenue, Operating Margin, and EPS and Raises FY23 Outlook MORRISVILLE, N.C.--(BUSINESS WIRE)-- Extreme Networks, Inc. (“Extreme”) (Nasdaq:
About this update from Extreme Networks, Inc.
[{"type":"text","content":"\nDelivers Record Revenue, Operating Margin, and EPS and Raises FY23 Outlook\n\n\n MORRISVILLE, N.C.--(BUSINESS WIRE)--\nExtreme Networks, Inc. (“Extreme”) (Nasdaq: EXTR) today released financial results for its third fiscal quarter ended March 31, 2023.\n\n\nFiscal Third Quarter Results:\n\n\n\nRevenue $332.5 million, up 16% year-over-year, and up 4% quarter-over-quarter\n\n\n\nSaaS ARR* $117 million, up 22% year-over-year, and up 2% quarter-over-quarter\n\n\n\nGAAP diluted EPS $0.17, compared to $0.10 in Q3 last year and $0.13 last quarter\n\n\n\nNon-GAAP diluted EPS $0.29, compared to $0.21 in Q3 last year and $0.27 last quarter\n\n\n\nGAAP gross margin 57.7%, compared to 56.5% in Q3 last year\n\n\n\nNon-GAAP gross margin 59.1%, compared to 58.0% in Q3 last year\n\n\n\nGAAP operating margin 8.9%, compared to 6.1% in Q3 last year\n\n\n\nNon-GAAP operating margin 15.6%, compared to 12.5% in Q3 last year\n\n\n\nNet cash provided by operating activities of $48.2 million\n\n\n\nFree cash flow of $45.8 million\n\n\n\nRepurchased 1.35 million shares for $25.0 million\n\n\n\nPresident and CEO Ed Meyercord stated: \"Extreme delivered another quarter of record results punctuated by improving supply chain conditions, the strengthening of our competitive position, and solid execution. Market share gains were highlighted by 20% growth in bookings from new customers during the quarter, which drove sequential product bookings growth of 6%. The combination of our enterprise cloud and fabric networking solutions delivers a simplified experience for customers and provides our team a competitive advantage in the field. Our funnel of opportunities is up double-digits and we expect higher sequential bookings growth as we head into Q4.\"\n\n\n\"We believe the improving supply chain and cloud software subscription growth will support an over 20% year-over-year revenue increase in Q4. We also expect earnings to more than double year-over-year, on both a GAAP and Non-GAAP basis, driven by gross margin expansion and operating leverage,\" continued Meyercord.\n\n\nInterim CFO Cristina Tate noted: \"Extreme's record quarterly revenue and operating profit resulted in another quarter of strong cash flow, which allowed us to repurchase $25 million of stock and reduce our debt by $25 million, lowering our net debt to $34 million. We've raised our full year ...