睿科網路 (ATEN) 2025 Q2 法說會逐字稿

Good day everyone, and welcome to the A10 Network second-quarter 2025 financial results. (Operator Instructions) It is now my pleasure to turn the floor over to your host Tom Baumann of FNK IR. Sir, the floor is yours.

大家好，歡迎關注 A10 Network 2025 年第二季財務業績。（操作員指示）現在我很高興將發言權交給主持人 FNK IR 的 Tom Baumann。先生，請您發言。

Thank you. And thank you all for joining us today. This call is being recorded and webcast live and may be accessed for at least 90 days via the A10 Networks' website, a10networks.com. Hosting the call today are Dhrupad Trivedi, A10's President and CEO; and CFO, Brian Becker.

謝謝。感謝大家今天的到來。本次電話會議將進行錄音和網路直播，您可以透過 A10 Networks 網站 a10networks.com 觀看至少 90 天。今天主持電話會議的是 A10 總裁兼執行長 Dhrupad Trivedi 和財務長 Brian Becker。

Before we begin, I would like to remind you that shortly after the market closed today, A10 Networks issued a press release announcing its second-quarter 2025 financial results. Additionally, A10 published a presentation and supplemental trended financial statements. You may access the press release, presentation and trended financial statements on the Investor Relations section of the company's website.

在我們開始之前，我想提醒大家，今天收盤後不久，A10 Networks 發布了一份新聞稿，宣布了 2025 年第二季財務業績。此外，A10 還發布了一份簡報和補充趨勢財務報表。您可以在公司網站的投資者關係部分存取新聞稿、簡報和趨勢財務報表。

During the course of today's call, management will make forward-looking statements, including statements regarding projections for future operating results, demand, industry and customer trends, macroeconomic factors, strategy, potential new products and solutions, our capital allocation strategy, profitability, expenses and investments, positioning and our dividend program. These statements are based on current expectations and beliefs as of today, August 5, 2025.

在今天的電話會議中，管理層將做出前瞻性陳述，包括有關未來營運績效預測、需求、行業和客戶趨勢、宏觀經濟因素、策略、潛在的新產品和解決方案、我們的資本配置策略、盈利能力、費用和投資、定位和我們的股息計劃的陳述。這些聲明是基於截至 2025 年 8 月 5 日的當前預期和信念。

These forward-looking statements involve a number of risks and uncertainties, some of which are beyond our control, that could cause actual results to differ materially, and you should not rely on them as predictions of future events. A10 does not intend to update information contained in these forward-looking statements, whether as a result of new information, future events or otherwise, unless required by law.

這些前瞻性陳述涉及許多風險和不確定性，其中一些是我們無法控制的，可能會導致實際結果大不相同，您不應將其作為對未來事件的預測。除非法律要求，A10 不打算更新這些前瞻性聲明中包含的信息，無論由於新信息、未來事件還是其他原因。

For a more detailed description of these risks and uncertainties, please refer to our most recent 10-K and quarterly report on Form 10-Q. Please note with the exception of revenue, financial measures discussed today are on a non-GAAP basis and have been adjusted to exclude certain charges.

有關這些風險和不確定性的更詳細描述，請參閱我們最新的 10-K 表和 10-Q 表季度報告。請注意，除收入外，今天討論的財務指標均基於非 GAAP，並且已進行調整以排除某些費用。

The non-GAAP financial measures are not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP and may be different from non-GAAP financial measures presented by other companies.

非公認會計準則財務指標並非旨在單獨考慮或取代根據公認會計準則編制的結果，並且可能與其他公司提供的非公認會計準則財務指標不同。

A reconciliation between GAAP and non-GAAP measures can be found in the press release issued today and on the trended quarterly financial statements posted on the company's website at www.a10networks.com.

在今天發布的新聞稿中以及在公司網站 www.a10networks.com 上發布的季度財務趨勢報表中可以找到 GAAP 和非 GAAP 指標之間的對帳表。

Now, I'd like to turn the call over to Dhrupad Trivedi, President and CEO of A10 Networks.

現在，我想將電話轉給 A10 Networks 總裁兼執行長 Dhrupad Trivedi。

Thank you, Tom, and thank you all for joining us today. A10 continued to deliver growth and profitability in the second quarter. This performance demonstrates the continued validation of our strategy. We have strategically aligned our technology road map and go-to-market focus with the evolving cybersecurity landscape where our customers are facing increasingly complex challenges.

謝謝你，湯姆，也謝謝大家今天加入我們。A10 在第二季度持續成長和獲利。這一業績證明我們的策略持續得到驗證。我們已經策略性地調整了我們的技術路線圖和市場重點，以適應不斷發展的網路安全形勢，我們的客戶面臨著日益複雜的挑戰。

Our solutions emphasize high performance and advanced security, two areas that are increasingly central to both the Service Provider and Enterprise customers. The strategic focus and delivery of innovation is resonating in the market.

我們的解決方案強調高效能和先進的安全性，這兩個領域對於服務提供者和企業客戶都越來越重要。創新的策略重點和交付在市場上引起了共鳴。

This concentration was further validated by our recent selection by a global cloud leader to help build their future AI infrastructure, indicating that A10's offering is well positioned at the intersection of today's most urgent priorities for the world's most demanding customers.

我們最近被一家全球雲端運算領導者選中，幫助其建立未來的人工智慧基礎設施，這進一步證實了這種專注，表明 A10 的產品處於有利地位，能夠滿足當今全球最苛刻的客戶最緊迫的優先事項。

Increasingly, that alignment with the key drivers of technology investment is the most important point I want to share with investors today. A10 is exceedingly well aligned with these two primary catalysts; influencing IT and infrastructure spending; artificial intelligence and cybersecurity.

日益增長的與科技投資關鍵驅動因素的一致性是我今天想要與投資者分享的最重要的一點。A10 與這兩個主要催化劑高度一致；影響 IT 和基礎設施支出；人工智慧和網路安全。

We believe we have the right technology, the right product road map and increasingly, the right go-to-market execution to fully capitalize on these trends. Our intentional diversification enhances our resilience. In the second quarter, we saw an improvement in parts of Global Service Provider spending, driven by the factors I mentioned earlier.

我們相信，我們擁有正確的技術、正確的產品路線圖以及正確的市場執行策略，可以充分利用這些趨勢。我們有意的多樣化增強了我們的韌性。在第二季度，我們看到全球服務提供者的部分支出有所改善，這得益於我之前提到的因素。

Our balanced exposure across verticals and geographies is a core strength of our business model, and it allows us to maintain momentum while we capitalize on secular tailwinds in AI and cybersecurity.

我們在垂直產業和地理的均衡佈局是我們商業模式的核心優勢，它使我們能夠保持發展勢頭，同時利用人工智慧和網路安全領域的長期順風。

Looking at performance on a trailing 12-month basis, provides a view of our underlying momentum. Total revenue grew 11% year over year with Enterprise up 8% and Service Provider revenue increasing 14%. Even after adjusting for the favorable year-over-year comparison, we believe this reflects a sustainable growth trend aligned with our strategy and we remain comfortable in our ability to deliver annual revenue growth in the high single-digit range.

回顧過去 12 個月的表現，可以了解我們的潛在動力。總收入年增 11%，其中企業收入成長 8%，服務提供者收入成長 14%。即使在調整了同比有利數據後，我們相信這反映了與我們的策略一致的可持續成長趨勢，我們仍然有信心實現高個位數的年收入成長。

Our first half results are consistent with these expectations. We will continue to navigate choppy market conditions, while focusing on execution and aligning investments with long-term growth expectations and business model goals. Our Service Provider revenue during the period benefited from improved demand from data center expansions and AI infrastructure investments.

我們的上半年業績與這些預期一致。我們將繼續應對動盪的市場環境，同時專注於執行並使投資與長期成長預期和商業模式目標保持一致。本期間，我們的服務供應商收入受惠於資料中心擴建和人工智慧基礎設施投資所帶來的需求成長。

As I mentioned in the past, AI applications are power hungry, making our solutions, which provide industry-leading efficiency in terms of throughput, low latency and best-in-class security, more attractive as customers can achieve better ROI on those investments.

正如我過去提到的，人工智慧應用程式非常耗電，這使得我們的解決方案更具吸引力，因為客戶可以從這些投資中獲得更好的投資回報率，我們的解決方案在吞吐量、低延遲和一流的安全性方面提供了業界領先的效率。

We are actively leveraging this competitive advantage, along with our networking expertise, in opportunities for large data center projects around the world. Our EBITDA as a percent of revenue grew year-over-year even as we aggressively invest in new areas. As an indicator, we had two AI products win the top awards at the prestigious Interop Event in Japan, competing against much larger players as well as start-ups.

我們正在積極利用這一競爭優勢以及我們的網路專業知識，爭取全球大型資料中心專案的機會。儘管我們積極投資新領域，但我們的 EBITDA 佔收入的百分比仍同比增長。值得一提的是，我們有兩款 AI 產品在日本著名的 Interop 活動上贏得了最高獎項，與規模更大的公司以及新創公司展開了競爭。

Our comprehensive A10 Defend portfolio of solutions provide hybrid DDoS protection, threat intelligence, web application and bot protection and now adds a fully featured WAP solution, all integrated into a single solution with end-to-end delivery and stronger security for mission-critical applications.

我們全面的 A10 Defend 解決方案組合提供混合 DDoS 保護、威脅情報、Web 應用程式和機器人保護，現在又增加了功能齊全的 WAP 解決方案，所有這些都整合到一個解決方案中，具有端到端交付和更強的關鍵任務應用程式安全性。

Stepping back, I am increasingly confident in our strategic positioning. Our deliberate focus on aligning A10's growth and investment strategy with structural tailwinds of AI and cybersecurity continues to pay dividends.

回顧過去，我對我們的策略定位越來越有信心。我們刻意將 A10 的成長和投資策略與人工智慧和網路安全的結構性順風相結合，並繼續帶來回報。

Our focus on systematically growing Enterprise market adds another growth vector. We believe A10 is well positioned to serve both Enterprise and Service Provider customers, employing an intentional diversification strategy that delivers resiliency in our results.

我們專注於有系統地發展企業市場，這又增加了一個成長方向。我們相信，A10 能夠很好地服務企業和服務提供者客戶，採用有意的多元化策略可以為我們的業績帶來彈性。

We are also well diversified across regions. The business continues to effectively navigate short-term market volatility, delivering consistent profitability and returning capital to shareholders. As markets evolve, we are well positioned to outpace the market in terms of revenue growth while increasing our profitability in line with our business model.

我們在各地區的業務也十分多元化。該業務繼續有效應對短期市場波動，提供持續獲利並向股東返還資本。隨著市場的發展，我們有能力在收入成長方面超越市場，同時以我們的商業模式提高獲利能力。

With that, I'd like to turn the call over to Brian for a detailed review of the quarter. Brian?

說到這裡，我想把電話轉給布萊恩，讓他對本季進行詳細回顧。布賴恩？

Thank you, Dhrupad. Second-quarter revenue was $69.4 million, an increase of 15% year over year. The results benefited from a more normalized Service Provider quarter compared to last year and the strategic investments we've made in Enterprise and AI infrastructure.

謝謝你，Dhrupad。第二季營收為 6,940 萬美元，年增 15%。與去年相比，這項業績得益於服務供應商季度更加正常化，以及我們在企業和人工智慧基礎設施所做的策略性投資。

The overall trends are positive, and we continue to maintain our focus on global diversification. Product revenue for the quarter was $39.2 million, representing 56% of total revenue. Services revenue was $30.2 million or 44% of total revenue. Total deferred revenue increased to $144.4 million.

整體趨勢是正面的，我們繼續關注全球多元化。本季產品營收為 3,920 萬美元，佔總營收的 56%。服務收入為 3,020 萬美元，佔總收入的 44%。遞延收入總額增至 1.444 億美元。

As expected, we see strong uptake of our cutting-edge portfolio, evidenced by continued product revenue growth and renewal rates on eligible contracts remain above 90%. The high renewal rates are an indicator that we are not losing any customers or market share.

正如預期的那樣，我們的尖端產品組合獲得了強勁增長，產品收入持續增長，合格合約的續約率保持在 90% 以上。高續約率表示我們沒有失去任何客戶或市場份額。

With the exception of revenue, all of the metrics discussed on this call are on a non-GAAP basis, unless otherwise stated. A full reconciliation of GAAP to non-GAAP results are provided in our press release and on our website.

除收入外，本次電話會議討論的所有指標均基於非 GAAP 基礎，除非另有說明。我們的新聞稿和網站上提供了 GAAP 與非 GAAP 結果的完整對帳。

Gross margin in the second quarter was 80%, in line with our stated goals of 80% to 82%. Adjusted EBITDA was $19.7 million for the quarter, reflecting 28.3% of revenue, in line with our stated long-term goals. Non-GAAP net income for the quarter was $15.5 million or $0.21 per diluted share compared to $13.2 million or $0.18 per diluted share in the year ago quarter.

第二季的毛利率為 80%，符合我們設定的 80% 至 82% 的目標。本季調整後的 EBITDA 為 1,970 萬美元，佔營收的 28.3%，符合我們所述的長期目標。本季非公認會計準則淨收入為 1,550 萬美元或每股攤薄收益 0.21 美元，去年同期為 1,320 萬美元或每股攤薄收益 0.18 美元。

Diluted weighted shares used for computing non-GAAP EPS for the second quarter were approximately 73.1 million shares, down 2.4 million shares year over year due to our continued share buyback. On a GAAP basis, net income for the quarter was $10.5 million or $0.14 per diluted share compared to net income of $9.5 million or $0.13 per diluted share in the year ago quarter. During the quarter, we generated $22.2 million in cash from operations.

用於計算第二季非公認會計準則每股收益的稀釋加權股數約為 7,310 萬股，由於我們持續回購股票，較去年同期減少 240 萬股。根據 GAAP 計算，本季淨收入為 1,050 萬美元，即每股攤薄收益 0.14 美元，而去年同期淨收入為 950 萬美元，即每股攤薄收益 0.13 美元。本季度，我們從營運中獲得了 2,220 萬美元的現金。

Turning to the year-to-date results. Revenue for the first 6 months of 2025 was $135.5 million compared to $120.8 million, an increase of 12%. Non-GAAP gross margin was 80.4% year-to-date. We continue to navigate macro uncertainties and are aggressively supporting our key AI customers. Adjusted EBITDA was $39.2 million year-to-date, reflecting 28.9% of revenue.

回顧年初至今的業績。2025 年前 6 個月的營收為 1.355 億美元，而去年同期為 1.208 億美元，成長 12%。今年迄今，非公認會計準則毛利率為 80.4%。我們持續應對宏觀不確定性，並積極支持我們的關鍵人工智慧客戶。年初至今調整後的 EBITDA 為 3,920 萬美元，佔營收的 28.9%。

Non-GAAP net income on a year-to-date basis was $30.5 million or $0.41 per diluted share compared to $26 million or $0.35 per diluted share last year. On a GAAP basis, net income for the first six months was $20.1 million or $0.27 per diluted share compared to net income of $19.2 million or $0.26 per diluted share in the first six months of last year.

年初至今的非公認會計準則淨收入為 3,050 萬美元或每股攤薄收益 0.41 美元，而去年同期的非公認會計準則淨收入為 2,600 萬美元或每股攤薄收益 0.35 美元。根據 GAAP 計算，上半年淨收入為 2,010 萬美元，即每股攤薄收益 0.27 美元，而去年同期淨收入為 1,920 萬美元，即每股攤薄收益 0.26 美元。

Turning to the balance sheet. As of June 30, 2025, we had $367.4 million in cash, cash equivalents and marketable securities compared to $195.6 million in the end of 2024. We ended the quarter with convertible debt of $218.1 million as a result of our convertible debt offering completed in Q1.

轉向資產負債表。截至 2025 年 6 月 30 日，我們擁有 3.674 億美元現金、現金等價物和有價證券，而 2024 年底為 1.956 億美元。由於我們在第一季完成了可轉換債務發行，因此本季末我們的可轉換債務為 2.181 億美元。

During the quarter, we paid $4.3 million in cash dividends and repurchased $3.9 million worth of shares. The Board has approved a quarterly cash dividend of $0.06 per share to be paid on September 2, 2025 for shareholders of record on August 15, 2025. The company has $71.1 million remaining of its $75 million share repurchase authorization.

本季度，我們支付了 430 萬美元的現金股息，並回購了價值 390 萬美元的股票。董事會已批准向 2025 年 8 月 15 日登記在冊的股東派發每股 0.06 美元的季度現金股息，派發日期為 2025 年 9 月 2 日。該公司授權的 7,500 萬美元股票回購額度中，目前還剩餘 7,110 萬美元。

I'll now call -- turn the call back over to Dhrupad for closing comments.

我現在將電話轉回 Dhrupad 進行最後發言。

Thank you, Brian. We are encouraged by the continued business execution and remain confident that A10 is strategically well positioned in the market. Technology spending is heavily influenced by increased demand for cybersecurity solutions and the accelerating adoption of AI-related spending. A10 is positioned squarely in front of these two durable secular catalysts.

謝謝你，布萊恩。我們對持續的業務執行感到鼓舞，並且仍然相信 A10 在市場上具有戰略優勢。技術支出受到網路安全解決方案需求成長和人工智慧相關支出加速採用的嚴重影響。A10 正好位於這兩種持久的長期催化劑的前面。

We are investing to enhance our position in the Enterprise space and remain aligned with key leaders in the Service Provider sector around the world. We believe our business model enables us to dynamically allocate resources to address changing market conditions while preserving profitability and shareholder returns.

我們正在投資以增強我們在企業領域的地位，並與全球服務提供者領域的主要領導者保持一致。我們相信，我們的商業模式使我們能夠動態分配資源以應對不斷變化的市場條件，同時保持獲利能力和股東回報。

Operator, you can now open the call for questions.

接線員，您現在可以開始提問了。

(Operator Instructions) Gray Powell, BTIG, LLC.

（操作員指示）Gray Powell，BTIG，LLC。

Okay. Great thanks for taking the question, and congratulations on the good results.

好的。非常感謝您回答這個問題，並祝賀您取得好成績。

Thank you, Gray.

謝謝你，格雷。

Yeah, absolutely. So yeah, you posted the best product revenue growth in Q2 that we've seen in over five years. I realize that comps get tougher next quarter, but just how should we think about the potential to sustain your recent momentum and just the sustainability of the Service Provider segment, do you think you'd like hit a turning point there?

是的，絕對是如此。是的，你們在第二季度實現了五年來最好的產品收入成長。我意識到下個季度的競爭會變得更加艱難，但我們應該如何看待維持近期發展勢頭的潛力以及服務提供者部門的可持續性，您認為您會在那裡達到一個轉折點嗎？

Yeah. No, great question. So I'll probably address them both separately. So you're right. I think, Gray, so obviously, we are pleased with the progress and results on the product side because ultimately, that builds a foundation for us with the customer base and results in more sustained growth long term.

是的。不，這個問題問得好。所以我可能會分別討論這兩個問題。所以你是對的。格雷，我認為，顯然我們對產品方面的進展和成果感到滿意，因為最終，這為我們建立了客戶群的基礎，並帶來了長期更持續的成長。

So that's one. The part of the driver for that, I would say, two things. One is on the Enterprise side, as we are able to penetrate larger Enterprise customers, that's part of how we are able to grow that revenue profile and ultimately resulting in a stronger customer base.

這就是其中之一。對於司機而言，我想說兩件事。一方面是企業方面，我們能夠滲透到更大的企業客戶，這是我們能夠增加收入並最終形成更強大的客戶群的一部分。

Second is related to your second point, I would say, when we look at our Service Provider performance, outside of North America, we continue to make good progress on Service Providers sustainability. Within North America, I think we saw a little bit mix where some of the customers are beginning to have a more normal spending pattern relative to last year. So that's a positive sign. And not all of them are there yet. We still see some of them sort of holding off on CapEx and decisions.

第二點與你的第二點相關，我想說，當我們審視我們的服務提供者的表現時，在北美以外，我們在服務提供者的可持續性方面繼續取得良好進展。在北美，我認為我們看到了一些混合情況，而一些客戶的消費模式相對於去年開始變得更加正常。這是一個正面的信號。但並非所有人都已經到達那裡。我們仍然看到他們中的一些人推遲資本支出和決策。

So it could get better. But fundamentally, the product revenue growth should be seen as an indicator of customers choosing us to either refresh existing installations or selecting us over competitors to go to new ones. And it's a lead indicator of growth now as well as in the future.

所以情況可能會變得更好。但從根本上來說，產品收入成長應該被視為客戶選擇我們來更新現有安裝或選擇我們而不是競爭對手來安裝新安裝的指標。它是當前以及未來成長的領先指標。

Really helpful. And then just some of the other vendors we covered, they've highlighted like a more back-end loaded June quarter as well as strength in July. Can you provide any commentary on how linearity played out this quarter? Or just any insights on what you saw like so far in July? Just any color at all?

真的很有幫助。然後，我們介紹的其他一些供應商也強調了這一點，例如 6 月季度的後端負載較多以及 7 月的強勁表現。您能否對本季的線性表現做出任何評論？或者您對七月迄今所見的情況有何見解？任何顏色都可以嗎？

Sure. Yeah. So I think I would say, we did not see linearity very different in Q2 than we would like to see and we drive towards. So we did not see sort of an unexpected burst of activity in month-three relative to month-one, and month two.

當然。是的。所以我想說，我們在第二季度看到的線性與我們希望看到的和我們努力的方向並沒有太大不同。因此，相對於第一個月和第二個月，我們並沒有看到第三個月出現意外的活動爆發。

I would say entering the third quarter, we see sort of phenomenon of customers on track versus what we expect to happen in Q3 and not a lot of noise between quarters around orders being pulled in or pushed out, right? So we don't see that as a major thing, but we certainly don't see any signs in July that make us think any better or worse on the outlook.

我想說，進入第三季度，我們會看到客戶的狀況與我們預期的第三季度的情況相反，而且在訂單被拉進或推出方面，季度之間並沒有出現太多噪音，對嗎？因此，我們並不認為這是什麼大事，但我們確實沒有看到 7 月有任何跡象讓我們對前景感到好轉或惡化。

Understood. Thank you very much.

明白了。非常感謝。

Thanks. Thank you.

謝謝。謝謝。

Simon Leopold, Raymond James.

西蒙李奧波德、雷蒙詹姆斯。

Hi, thank you. This is Victor Chiu in for Simon Leopold. Can you tell us how we should think about the potential materiality and contribution from the potential Microsoft award that you announced recently?

你好，謝謝。我是 Victor Chiu，取代 Simon Leopold。您能否告訴我們，我們應該如何看待您最近宣布的微軟獎項的潛在重要性和貢獻？

Yes. No, good question, Victor. So I think the -- I think, obviously, we don't disclose revenue by customer. And so I would say two things to probably reflect on. One is the objective was -- that's a very, very, very important customer for A10 for a long period of time with a deep relationship.

是的。不，維克多，你問得好。所以我認為——我認為，顯然我們不會透露按客戶劃分的收入。因此我想說兩件值得反思的事。其中一個目標是——這是 A10 長期以來非常非常重要且有著深厚關係的客戶。

And so the objective for us really was to highlight that we are partnering together long term and continue to be a part of their thinking around not just their current infrastructure on cloud, but also how they think about AI and connectivity.

因此，我們的目標實際上是強調我們正在進行長期合作，並繼續成為他們思考的一部分，不僅是他們當前的雲端基礎設施，還有他們對人工智慧和連接性的看法。

And obviously, we appreciate the continued partnership there, right? So it's not -- it's more reflective of the fact that our solution is highly relevant to a global leader in cloud networking who obviously expects and runs their network with very, very high expectations.

顯然，我們很感謝雙方繼續保持合作，對嗎？所以，這並非如此——這更反映了這樣一個事實：我們的解決方案與雲端網路領域的全球領導者高度相關，他們顯然對其網路抱有非常高的期望和運作期望。

So that's probably the right way to think of it. We did have other customers who are also buying our products that go into their AI infrastructure. The key point to note is maybe six to nine months ago, our customer interactions were around building data centers that now would support AI.

這可能是正確的思考方式。我們確實有其他客戶也在購買我們的產品並將其應用於他們的人工智慧基礎設施。需要注意的關鍵點是，大概六到九個月前，我們與客戶的互動是圍繞著建立現在支援人工智慧的資料中心。

What is evolving and changing is more and more customers in the US, but also outside the US are thinking of building AI data centers almost as a higher priority than just making sure that their current trajectory is relevant for AI, right? So that's the importance and relevance of why we announced that, and we appreciate that partnership for long term, so.

正在發展和變化的是，越來越多的美國客戶以及美國以外的客戶正在考慮建立人工智慧資料中心，這幾乎比僅僅確保他們目前的發展軌跡與人工智慧相關具有更高的優先級，對嗎？這就是我們宣布這項消息的重要性和相關性，我們很珍惜這種長期的合作關係。

Great. That's very helpful. And then just one follow-up. Telcos have kind of talked about raising CapEx somewhat following the Big Beautiful Bill passage and kind of the improved cash flow that they'll see from there. Does A10 kind of see this trend trickling down to them and kind of seeing tailwinds from this over the longer term?

偉大的。這非常有幫助。然後只需進行一次跟進。《大美麗法案》通過後，電信公司已經談到提高資本支出，並期待由此改善現金流。A10 是否看到這種趨勢對他們產生影響，並從中看到了長期的順風？

Yes. Good question, Victor. And I would say, you are correct. So I think there's two factors that go into it. So first, I would separate the notion of telcos in North America versus rest of world.

是的。問得好，維克多。我想說，你是對的。所以我認為這有兩個因素。因此，首先，我要區分北美電信公司和世界其他地區的電信公司。

So rest of world is kind of stable, not that different. North America, I think the two big factors that affected our, one, these investments are typically based on what is the interest rate, what is the ROI, and is the consumer sentiment that's positive?

因此，世界其他地區比較穩定，並沒有什麼不同。北美，我認為影響我們的兩個主要因素是，第一，這些投資通常基於利率是多少，投資報酬率是多少，以及消費者情緒是否正面？

And so based on that, I think if we see speculatively a little bit of movement on interest rates, certainly, it would probably encourage some of them to lean in a little harder. And so of course, for us, intrinsically, what that means is tailwind relative to them trying to make the business case work, right? So that would certainly be the case.

因此，基於此，我認為，如果我們推測利率會略有變動，那麼這肯定會鼓勵其中一些國家採取更嚴厲的措施。因此，當然，對我們來說，從本質上講，這意味著相對於他們試圖使商業案例發揮作用而言，這是一種順風，對嗎？事實確實如此。

The second element of it is, I would say, the telcos spending pattern, what we have done strategically is there is -- think of it as maintenance CapEx that they have to do and build new networks and maintain networks.

我想說的第二個要素是電信公司的支出模式，我們在策略上所做的就是——將其視為他們必須進行的維護資本支出，建立新網路並維護網路。

And we obviously participate and benefit when they increase that, but at the same time, what we are doing is continuing to work with them on other parts of their solutions, such as security, which are somewhat decouple from the CapEx to just build out a new network, right? So as they spend more money on CapEx and build networks or upgrade, that's good. But our strategy is also to continue to improve share of wallet, by selling them more security solutions.

當他們增加這個數字時，我們顯然會參與並從中受益，但與此同時，我們正在做的是繼續與他們合作，開發他們的解決方案的其他部分，例如安全性，這些部分與資本支出脫鉤，只是為了構建一個新的網絡，對嗎？因此，當他們在資本支出上投入更多資金並建立網路或升級時，這是一件好事。但我們的策略也是透過向他們銷售更多的安全解決方案來繼續提高錢包份額。

Great. Thank you.

偉大的。謝謝。

Hamed Khorsand, BWS Financial.

Hamed Khorsand，BWS Financial。

Hi, could you elaborate on the comment that was in your press release about the AI global leaders? Are these mainly North American companies, the international, I mean, you're using plural tense, so it sounds like you have multiple customers there?

您好，您能詳細說明一下新聞稿中有關人工智慧全球領導者的評論嗎？這些主要是北美公司，國際公司，我的意思是，你使用複數時態，所以聽起來你在那裡有多個客戶？

Yes. No, that's right. Good question, Hamed. Thank you. The -- so I would say two parts to it. I think certainly, some of them are North American players. And as -- obviously you can imagine they are not all in the same type of company, but a lot of them are in the forefront of building new AI infrastructure, right? So that is correct. It's more than one.

是的。不，沒錯。問得好，哈米德。謝謝。所以我想說它分為兩個部分。我認為他們中肯定有一些是北美玩家。而且——顯然你可以想像他們並不都來自同一類型的公司，但他們中的許多人處於建立新人工智慧基礎設施的前沿，對嗎？這是正確的。不只一個。

And the second part of it is, obviously, part of the reason and motivation for us to talk about some of the new AI products in like Interop event in Japan as well is we have traction in EMEA as well as Japan with large global players who are evolving their plans around how do they take advantage of AI and not all of them want to depend on three American companies for AI, right? So we have partnered with those customers long term in Asia as well as in Europe.

第二部分顯然也是我們在日本 Interop 活動上討論一些新 AI 產品的原因和動機，因為我們在歐洲、中東和非洲地區以及日本都受到大型全球參與者的關注，他們正在製定計劃，如何利用 AI，並不是所有參與者都想依賴三家美國公司來提供 AI，對嗎？因此，我們與亞洲和歐洲的客戶建立了長期合作夥伴關係。

Okay. And then how much of a benefit did you see from foreign exchange this quarter?

好的。那麼本季您從外匯中看到了多少收益？

So I think if you -- you know this, Hamed, but obviously, for us, the only foreign change exposure is with Japanese yen. Everything else is conducted in US dollars. And actually, I think this quarter, foreign exchange was a small -- very small advantage, like lot less than 100 basis points, a lot less.

所以我認為如果你——你知道這一點，哈米德，但顯然，對我們來說，唯一的外匯風險是日元。其餘一切都以美元進行。實際上，我認為本季外匯的優勢很小，非常小，遠低於 100 個基點，少得多。

Okay, great. Thank you.

好的，太好了。謝謝。

No problem. Thank you, Hamed.

沒問題。謝謝你，哈米德。

Thank you. Christian Schwab, Craig Hallum.

謝謝。克里斯蒂安·施瓦布，克雷格·哈勒姆。

Hey, can you, great quarter, by the way, but could you help us just, again, what percentage of revenue is AI driven? And I'm kind of thinking maybe some of your firewall products to secure AI and large language model inference environments. Given the growth that we're seeing there, how long before that kind of drives double-digit plus type of year-over-year growth for you?

嘿，順便說一下，這是一個很棒的季度，但是你能再幫我們問一下，有多少比例的收入是由人工智慧驅動的？我在想也許你們的一些防火牆產品可以保護人工智慧和大型語言模型推理環境。鑑於我們所看到的成長，多久之後才能推動兩位數以上的年成長？

No, good question. Thank you, Christian. So two -- maybe 2 points. One is the growth in our results that we are seeing because of AI relates more to our customers building new data centers that host and manage AI traffic more than anything else because that's today.

不，好問題。謝謝你，克里斯蒂安。所以是兩分——也許是兩分。一是我們看到的結果成長是因為人工智慧更多地與我們的客戶建立新的資料中心有關，這些資料中心承載和管理人工智慧流量，因為這是當今的趨勢。

Where we are engaged with customers on things like AI firewall and predictive analytics is in the early phase of where those customers are deciding how to take advantage of AI, what does this mean for them, et cetera. So that will translate into revenue probably in '26 and beyond, but it's really important to be engaged with them on their road map today.

我們與客戶就人工智慧防火牆和預測分析等方面的合作處於早期階段，這些客戶正在決定如何利用人工智慧，這對他們意味著什麼，等等。因此，這可能會轉化為 26 年及以後的收入，但今天與他們一起制定路線圖確實非常重要。

And the -- and it's a fair question, and we'll figure out how to maybe explicitly address that in the future. But the subtlety of that question is if a customer was planning to build four data centers, now they are saying we still are going to build four data centers, but change them to be able to accommodate more AI-type traffic and AI-related security than before.

這是一個公平的問題，我們將在未來找到如何明確解決這個問題。但這個問題的微妙之處在於，如果客戶計劃建造四個資料中心，現在他們說我們仍然要建造四個資料中心，但要改變它們，以便能夠容納比以前更多的人工智慧類型的流量和人工智慧相關的安全性。

So it's little bit subtle for us to try to judge what is the differential between if they build regular data centers versus AI data centers, right? But I understand your question, which is, how much of our growth is exposed and driven by AI and I think we'll figure out a way to quantitatively address that.

因此，對我們來說，嘗試判斷他們建立常規資料中心和人工智慧資料中心之間的差異有點微妙，對嗎？但我理解你的問題，我們的成長有多少是由人工智慧推動的，我認為我們會找到量化解決這個問題的方法。

Fantastic, no other questions. Thank you.

太棒了，沒有其他問題了。謝謝。

Thank you, Christian appreciates it.

謝謝，克里斯蒂安非常感激。

Michael Romanelli, Mizuho.

瑞穗的麥可‧羅曼內利 (Michael Romanelli)。

Yeah, hey guys, thanks for taking the questions and congrats on the strong results. Maybe just to start here. I believe on last quarter's earnings call, you guys had mentioned that A10 has sort of multiple customers that helped drive the good Enterprise revenue growth in Q1. So just looking within the Enterprise cohort, can you maybe double-click on what you saw this quarter, whether that be from a customer vertical and/or geo perspective?

是的，嘿夥計們，感謝你們回答問題，並祝賀你們取得的優異成績。也許只是從這裡開始。我相信在上個季度的財報電話會議上，你們提到 A10 擁有多個客戶，幫助推動了第一季企業營收的良好成長。因此，僅從企業群體來看，您是否可以雙擊本季所看到的內容，無論是從客戶垂直和/或地理角度來看？

Sure, yes. So I think if you look at our results by geography, first thing you'll notice is, right -- if you look at even our Enterprise growth on a TTM basis of 8%, right, which we think on a peer group basis is still stronger. Our growth in Enterprise in North America was significantly higher than 8%.

當然，是的。因此，我認為，如果您按地區查看我們的結果，您首先會注意到的是，如果您查看我們企業在 TTM 基礎上的 8% 增長率，我們認為在同行基礎上仍然更強勁。我們在北美企業業務的成長率明顯高於8%。

So our investments have been aligned with growing with large Enterprise segment, not small and medium, but large Enterprise segment in North America, and our growth reflects effectively that result, right, where even if the global number is eight, North America, particularly the US number is much higher. So that's one element of it.

因此，我們的投資與北美的大型企業部門（而不是中小型企業）的成長保持一致，我們的成長有效地反映了這一結果，對吧，即使全球數量是 8，北美，特別是美國的數量要高得多。這是其中的一個要素。

The second thing you asked around what types of customers. So we -- obviously, for a company of our size, we need to be a lot more focused versus going after every Enterprise customer. And as I think we have continued to say in the past, our focus is around large Enterprise customers who operate very complex networks and are highly concerned about security and what that means is segments like financials, gaming and technology companies, for example, where you have a lot of users, high-risk cost security and data breach and mission-critical things such as latency of your network which is very important, whether it's from a gaming experience perspective or from the perspective of being able to process trades on Wall Street. So that's our focus area. That's where we made investments around product, product road map as well as commercially, and that's where we expect and hope we continue to execute well to build that foundation.

第二件事你要問的是哪些類型的客戶。因此，顯然，對於我們這種規模的公司來說，我們需要更加專注，而不是追逐每個企業客戶。我認為我們過去一直在說，我們的重點是運營非常複雜網絡並高度關注安全性的大型企業客戶，這意味著金融、遊戲和科技公司等領域，例如，您擁有大量用戶，高風險成本安全和數據洩露以及關鍵任務事項（例如網絡延遲），這非常重要，無論是從遊戲體驗的角度還是從能夠處理華爾街交易的角度來看。這就是我們的重點領域。這就是我們在產品、產品路線圖以及商業方面進行投資的地方，也是我們期望並希望繼續良好執行以建立此基礎的地方。

Got it. Super helpful. And then I just wanted to touch on ThreatX. I appreciate it's still early days, but was wondering how those conversations are going with both existing prospective customers, how it's been integrated? And if it's -- if you guys think that it could help drive higher net new business for your cybersecurity portfolio, particularly within the larger enterprise? Any color here would be helpful.

知道了。超有幫助。然後我只想談談 ThreatX。我知道現在還為時過早，但我想知道與現有潛在客戶的對話進展如何，如何整合？如果是的話——如果你們認為它可以幫助推動網路安全產品組合的更高淨新業務，特別是在大型企業中？這裡的任何顏色都會有幫助。

Yeah. No, Michael, thank you. Good question. So I think you're absolutely right. So I think for us, obviously, with ThreatX, we were able to integrate into our portfolio a very, very strong product, which is particularly recognized in the industry as something that's very easy to download, set up and run.

是的。不，邁克爾，謝謝你。好問題。所以我認為你完全正確。因此我認為，對我們來說，顯然，透過 ThreatX，我們能夠將一款非常強大的產品整合到我們的產品組合中，該產品在業界尤其被認可為非常易於下載、設定和運行的產品。

And in cybersecurity, that's a big premium because typically, people are just confused by 20 acronyms thrown at them. So I think the fact that they are easy to set up and run is actually a differentiator and one of the reasons we really like their solution.

在網路安全領域，這是一個很大的優勢，因為通常情況下，人們很容易被 20 個縮寫詞搞糊塗。因此，我認為它們易於設定和運行實際上是一個差異化因素，也是我們真正喜歡其解決方案的原因之一。

The second part is, as you said correctly, as we think of the evolution of network architecture and cybersecurity, what is important is when the world moves to more of a networking and AI and learning centers, all distributed, it becomes more of an API and WAP security story and with ThreatX now, we are able to integrate our strength in DDoS, bot, all those components already alongside with a contemporary API and WAP solution that helps us not just be aligned today on a product side, but actually we aligned from a road map perspective long term.

第二部分是，正如您所說，當我們思考網路架構和網路安全的發展時，重要的是，當世界轉向更多的網路、人工智慧和學習中心時，所有這些都是分散式的，它變得更像一個 API 和 WAP 安全故事，現在有了 ThreatX，我們能夠將我們在 DDoS、機器人方面的優勢與當代 API 和 WAP 解決方案不僅結合，這有助於我們在產品方面保持一致，機器人方面的優勢與當代 API 和 WAP 解決方案不僅在產品方面保持一致，這有助於我們實際保持一致的產品。

So in terms of scale, it's hard to say how important ThreatX is, but in terms of importance to our customers, it is a very, very important part of us being seen as the relevant solution for them who provides the right mix of networking expertise and security expertise while being contemporary with their road map on AI as well.

因此，就規模而言，很難說 ThreatX 有多重要，但就對我們的客戶的重要性而言，它是我們被視為相關解決方案的一個非常非常重要的部分，它提供了正確的網路專業知識和安全專業知識組合，同時也與他們的人工智慧路線圖保持同步。

Sorry, Michael, the second part you asked was, so you are correct, it's pretty early days to know one way or the other. But our goal is, of course, eventually as we continue to learn more about the customers, the buyer behavior and the market trend that we are able to start taking it to more and more of our customers. And it's a process we have started already, and we think it's promising relative to what we were expecting.

抱歉，邁克爾，你問的第二部分是，所以你是對的，現在還不知道答案。但我們的目標當然是，隨著我們不斷了解客戶、購買者行為和市場趨勢，我們最終能夠將其帶給越來越多的客戶。我們已經啟動了這一進程，我們認為它比我們預期的更有前景。

But obviously, those cycles typically take six to nine months. So it's hard to declare victory or not. But certainly, our early indicators are it has clearly helped us access different types of buyers and expand kind of the aperture of what we discuss with customers.

但顯然，這些週期通常需要六到九個月。因此很難宣布勝利與否。但可以肯定的是，我們的早期指標清楚地表明，它幫助我們接觸到不同類型的買家，並擴大了我們與客戶討論的範圍。

Perfect. Thanks for the call.

完美的。謝謝您的來電。

Yeah, thank you.

是的，謝謝。

Thank you. That concludes our Q&A session. I will now hand the conference back to Dhrupad Trivedi for closing remarks. Please go ahead.

謝謝。我們的問答環節到此結束。現在，我將會議交還給 Dhrupad Trivedi 並請他致閉幕詞。請繼續。

Thank you. Thank you to all of our shareholders for joining us today and for your continued support. We greatly appreciate the deep customer relationships along with our dedicated employee base around the world for working to deliver consistent results. Thank you.

謝謝。感謝所有股東今天的參與以及你們的持續支持。我們非常感謝深厚的客戶關係以及遍布全球的敬業員工的努力，他們共同努力，取得了一致的成果。謝謝。

Thank you, everyone. This concludes today's event. You may disconnect at this time, and have a wonderful day. Thank you for your participation.

謝謝大家。今天的活動到此結束。現在您可以斷開連接，並享受美好的一天。感謝您的參與。