A10 Networks beats Q4 revenue expectations on strong demand for AI infrastructure and integrated security

A10 Networks

04/02/2026 21:18

Overview

Secure application services provider's Q4 revenue beat analyst expectations

Adjusted EPS for Q4 was $0.26, with non-GAAP net income of $19.1 mln

Company returned $11.2 mln to investors via share repurchases and dividends

Outlook

A10 Networks expects 2026 revenue growth of 10-12% over 2025

Company projects 2026 non-GAAP gross margin of 80-82%

A10 Networks anticipates 2026 EPS growth of 12-14% year-over-year

Result Drivers

AI AND SECURITY DEMAND - Strong demand for AI infrastructure and integrated security solutions drove Q4 revenue growth, per CEO Dhrupad Trivedi

NEXT-GEN NETWORKING - Expansion driven by next-gen networking and cybersecurity solutions while maintaining legacy customer alignment

OPERATIONAL DISCIPLINE - Operational discipline supported cash flow and shareholder returns, enabling continued investment in business

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$80.36 mln
$78.09 mln (7 Analysts)
Q4 Net Income
$9.87 mln
Q4 EBIT
$15.06 mln
Q4 Gross Profit
$63.26 mln
Q4 Operating Expenses
$48.20 mln
Q4 Pretax Profit
$16.02 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the software peer group is "buy"

Wall Street's median 12-month price target for A10 Networks Inc is $23.00, about 33.2% above its February 3 closing price of $17.27

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 19 three months ago

Press Release: ID:nBw9zcGyXa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)