Cybersecurity firm Netscout's Q1 revenue rises to $186.7 mln

NetScout Systems

07/08/2025 12:38

Overview

Netscout fiscal Q1 revenue rises to $186.7 mln from $174.6 mln yr/yr

Non-GAAP net income for fiscal Q1 increases to $24.7 mln, $0.34/share

Co repurchased 761,249 shares for $15 mln during fiscal Q1

Outlook

Netscout sees fiscal year 2026 revenue between $825 mln and $865 mln

Company expects GAAP EPS for fiscal year 2026 between $1.07 and $1.22

Netscout anticipates non-GAAP EPS for fiscal year 2026 between $2.25 and $2.40

Company remains cautiously optimistic amid macroeconomic uncertainty

Result Drivers

CYBERSECURITY & SERVICE ASSURANCE - Growth in these product lines supported Q1 results, per CEO Anil Singhal

PRODUCT REVENUE INCREASE - Product revenue rose to $73 mln, making up 39% of total revenue, compared to 35% in the prior year

BACKLOG GROWTH - Total product backlog increased to $30.9 mln, up from $15.3 mln year-ago

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Adjusted Net Income
$24.70 mln
Q1 Net Income
-$3.70 mln
Q1 Adjusted Operating Margin
14.2%
Q1 Operating Margin
-3.5%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the it services & consulting peer group is "buy."

Wall Street's median 12-month price target for Netscout Systems Inc is $23.45, about 7.4% above its August 6 closing price of $21.72

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nBw39Nrs7a

(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.)