Netscout Systems Inc (NTCT) 2025 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by and welcome to NetScout's 4th quarter and fiscal year 2025 financial results conference call. (Operator Instructions)

女士們，先生們，感謝你們的支持，歡迎參加 NetScout 第四季和 2025 財年財務業績電話會議。（操作員指示）

Anthony Piazza, deputy CFO, and his colleagues at NetScout are on the line with us today. If you require operator assistance at any time, please press 0. I would now like to turn the call over to Anthony Piazza to begin the company's prepared remarks.

NetScout 副財務長 Anthony Piazza 和他的同事今天與我們進行了線上交流。若您隨時需要接線生協助，請按 0。現在我想將電話轉給安東尼·皮亞扎，讓他開始公司準備好的演講。

Thank you, operator, and good morning, everyone. Welcome to NetScout's 4th quarter and full fiscal year 2025 conference call for the period ended March 30, 2025. Joining me today are Anil Singhal, Net Scouts President and Chief Executive Officer, Michael Szabados, Net Scouts Chief Operating Officer, and Jean Bua, NetScout's executive Vice President and Chief Financial Officer.

謝謝接線員，大家早安。歡迎參加 NetScout 截至 2025 年 3 月 30 日的 2025 財年第四季和全年電話會議。今天與我一起出席的還有 Net Scouts 總裁兼執行長 Anil Singhal、Net Scouts 營運長 Michael Szabados 和 NetScout 執行副總裁兼財務長 Jean Bua。

There's a slide presentation that accompanies our prepared remarks. You can advance the slides in the webcast viewer to follow our commentary. Both the slides and the prepared remarks can be accessed in multiple areas within the investor relations section of our website at www.netscout.com, including the IR landing page under financial results, the webcast itself, and under financial information on the quarterly results page.

我們的準備好的發言稿附有幻燈片簡報。您可以在網路廣播檢視器中前進幻燈片來關注我們的評論。幻燈片和準備好的發言稿均可在我們網站 www.netscout.com 的投資者關係部分的多個區域訪問，包括財務結果下的 IR 登錄頁面、網絡廣播本身以及季度結果頁面上的財務信息。

Moving on to slide number 3, today's conference call will include forward-looking statements. Examples of forward-looking statements include statements regarding our future financial performance or position, results of operations, business strategy, plans and objectives of management for future operations, and other statements that are not historical facts.

繼續看投影片 3，今天的電話會議將包括前瞻性陳述。前瞻性陳述的例子包括有關我們未來財務表現或狀況、經營成果、業務策略、管理階層未來經營計畫和目標的陳述，以及其他非歷史事實的陳述。

Actual results could differ materially from any forward-looking statements.

實際結果可能與任何前瞻性陳述有重大差異。

These statements speak only as of today's date and involve risks and uncertainties, including but not limited to those described on this slide and in today's financial results press release, which are available on the investor relation section of our website, as well as in the company's most recent annual report on Form 10k and subsequent filings with the Securities and Exchange Commission.

這些聲明僅代表截至今日的觀點，並涉及風險和不確定性，包括但不限於本投影片和今天的財務業績新聞稿中所述的內容，這些內容可在我們網站的投資者關係部分查閱，也可在公司最新的 10k 表格年度報告和隨後向美國證券交易委員會提交的文件中查閱。

NetScout assumes no obligation to update any forward-looking information except as required by law.

除非法律要求，否則 NetScout 不承擔更新任何前瞻性資訊的義務。

Let's now turn to slide number 4, which involves non-gap metrics. While this slide presentation includes both GAAP and non-GAAP results, unless otherwise stated, financial information discussed on today's conference call will be on a non-gap basis only. The rationale for providing non-GAAP measures along with the limitations of relying solely on those measures is detailed on this slide and in today's financial results press release.

現在我們來看投影片 4，其中涉及非差距指標。雖然此幻燈片簡報包括 GAAP 和非 GAAP 結果，但除非另有說明，否則今天的電話會議上討論的財務資訊將僅基於非差距基礎。提供非公認會計準則衡量指標的理由以及僅依賴這些指標的局限性在本投影片和今天的財務業績新聞稿中有詳細說明。

These measures should not be considered in isolation from or as a substitute for financial information prepared in accordance with GAAP.

這些措施不應孤立地看待或取代根據 GAAP 編制的財務資訊。

Reconciliations of all non-gap metrics with the applicable GAAP measures are provided in the appendix of the slide presentation in today's financial results press release and on our website. I will now turn the call over to Anil for his prepared remarks. Anil.

在今天的財務表現新聞稿的幻燈片簡報附錄中以及我們的網站上提供了所有非差距指標與適用的 GAAP 指標的對帳。現在我將把電話轉給阿尼爾，請他發表準備好的發言。阿尼爾。

Thank you, Anthony, and good morning, everyone. Welcome and thank you all for joining us today. We closed fiscal year 2025 revenue on a strong note with fourth quarter revenue exceeding our expectations, driven by solid performance in our cybersecurity product line.

謝謝你，安東尼，大家早安。歡迎並感謝大家今天的參加。我們以強勁的業績結束了 2025 財年的收入，其中第四季度的收入超出了我們的預期，這得益於我們網路安全產品線的穩健表現。

We are pleased with our full year revenue performance, which was in line with the original guidance provided at the beginning of the fiscal year and consistent with the prior year's revenue after adjusting for the diverse share of the test optimization business.

我們對全年營收表現感到滿意，這與財年初提供的原始指引一致，並且在調整了測試優化業務的多元化份額後與上一年的收入一致。

More importantly, we are able to generate approximately $50 million in additional revenue this year and ultimately overcome the challenge of backlog usage from the prior fiscal year.

更重要的是，我們今年能夠創造約 5,000 萬美元的額外收入，並最終克服上一財年積壓訂單的挑戰。

We delivered non-GAAP EPS growth for fiscal year 2025, driven by our continued focus on prudent cost management initiatives.

由於我們持續關注審慎的成本管理舉措，我們在 2025 財年實現了非 GAAP 每股盈餘成長。

With a strong financial foundation and a clear strategic direction entering fiscal year 2026, we believe NATO is well positioned to navigate the current macroeconomic uncertainty and deliver sustainable long-term growth.

憑藉強大的財政基礎和進入2026財年的明確戰略方向，我們相信北約完全有能力應對當前的宏觀經濟不確定性並實現可持續的長期成長。

With that as the backdrop, let's now turn to slide number 6 for a brief high-level recap of our non-GAAP financial results for the 4th quarter and full fiscal year 2025.

在此背景下，現在讓我們翻到第 6 張投影片，簡要回顧一下我們 2025 年第四季和全年非 GAAP 財務業績。

Jane will provide more detail on the results later in the car.

Jane 稍後將在車上提供有關結果的更多詳細資訊。

For the 4th quarter, revenue increased 1% to approximately $205 million and non-GAAP diluted earnings per share was $0.52, down approximately 5% on a year over year basis. For the full fiscal year 2025, we delivered revenue of approximately $823 million essentially flat year over year, down less than 1%.

第四季度，營收成長 1% 至約 2.05 億美元，非 GAAP 稀釋每股收益為 0.52 美元，年減約 5%。2025 財年全年，我們的營收約為 8.23 億美元，與去年同期基本持平，下降不到 1%。

As I mentioned earlier, we are happy with this performance given the diversity of the test optimization business and the previously mentioned prior year backlog driven revenue gains.

正如我之前提到的，考慮到測試優化業務的多樣性以及前面提到的去年積壓訂單推動的收入成長，我們對這一表現感到滿意。

When adjusting for the sale of the test optimization business, revenue was consistent year over year and adjusting for the price backlog benefit would have resulted in mid-single digit revenue growth year over year.

當調整測試優化業務的銷售時，收入與去年同期持平，而調整價格積壓收益將導致收入年增中個位數。

From a non-GAAP EPS perspective for the full fiscal year 2025, we delivered $2.22 per diluted share, at $0.02 or approximately $0.11 improvement, 1% improvement over fiscal year 2024.

從 2025 財年全年的非 GAAP EPS 角度來看，我們的每股攤薄收益為 2.22 美元，比 2024 財年提高 0.02 美元或約 0.11 美元，提高 1%。

We achieved this performance due to our ongoing focus on efficiency, which has contributed to an improved cost structure. We plan to carry those cost management priorities into fiscal year 2026.

我們之所以能取得這樣的業績，是因為我們持續注重效率，有助於改善成本結構。我們計劃將這些成本管理重點延續到 2026 財年。

Now let's turn to slide number 7, where we'll dive deeper into our key business drivers and share some additional market insights.

現在讓我們翻到第 7 張投影片，我們將深入探討我們的關鍵業務驅動因素並分享一些額外的市場見解。

Starting with our service assurance offerings in fiscal year 2025, service assurance revenue declined approximately 4% year over year. This was this was partially attributable to the vesture of the test optimizing business in fiscal year 2024 and the lower level of radio frequency propagation and modeling project revenue compared to last fiscal year.

從 2025 財年的服務保證產品開始，服務保證收入較去年同期下降約 4%。部分原因是2024財年測試優化業務的剝離以及射頻傳播和建模專案收入與上一財年相比有所下降。

As we consider the demand dynamics for the service assurance offering moving forward, we continue to see service provider customers invest in 5G initiatives at a major space.

當我們考慮未來服務保證產品的需求動態時，我們繼續看到服務提供者客戶在主要領域投資 5G 計劃。

Customers are also making investment in network performance and new services such as fixed wireless access. We believe we remain well positioned to support both domestic and international carriers as customer demand evolve and innovative network technology trend materialize.

客戶也正在網路效能和固定無線存取等新服務方面進行投資。我們相信，隨著客戶需求的發展和創新網路技術趨勢的實現，我們仍然能夠為國內和國際營運商提供支援。

We are in active discussion with our service fighter customers to demonstrate the critical value of an enhanced smart data generated from the packet inspection or DPI to accelerate service fighter efforts in 5G NetOps, AIOps, and mobile network security.

我們正在與我們的戰鬥機客戶積極討論，以證明資料包檢查或 DPI 產生的增強智慧資料的關鍵價值，以加速戰鬥機在 5G NetOps、AIOps 和行動網路安全方面的努力。

In the enterprise vertical, we are cautiously optimistic that the growth we experience in the second half of fiscal year 2025 will continue into fiscal year 2026 as customers evolve their digital transformation and enhance monitoring the monitoring at the edges of their networks.

在企業垂直領域，隨著客戶不斷推動數位轉型並加強對網路邊緣的監控，我們謹慎樂觀地認為，2025 財年下半年經歷的成長將持續到 2026 財年。

However, we recognize that ongoing economic uncertainty may influence customer behavior and we are actively monitoring these trends.

然而，我們認識到持續的經濟不確定性可能會影響客戶行為，我們正在積極監測這些趨勢。

Ship shifting to our cybersecurity optics in fiscal year 2025, our cybersecurity offerings delivered nearly 7% year over year revenue growth driven by strong momentum within our enterprise customer vertical.

2025 財年，隨著業務轉向網路安全光學領域，在企業客戶垂直領域強勁發展的推動下，我們的網路安全產品營收年增近 7%。

As I highlighted in our recent released DDoS threat intelligence report, he geopolitical tensions continue to drive up the number of DDoS attacks.

正如我在我們最近發布的 DDoS 威脅情報報告中所強調的那樣，地緣政治緊張局勢持續推高 DDoS 攻擊的數量。

At this time, AIML automation and abuse of enterprise grade infrastructure is enabling more sophisticated and agile attacks. This increases the need for proactive and adaptive defense measures to effectively mitigate evolving threats.

目前，AIML 自動化和企業級基礎設施的濫用使得更複雜、更靈活的攻擊成為可能。這增加了採取主動和適應性防禦措施以有效緩解不斷演變的威脅的需求。

Attacks have been powered by the Mirai malware created botnets which caused service provider attacks to search. With this high activity trend land landscape, companies are increasingly depending on NetScout’s scalable and real-time adaptable solutions for the cybersecurity protection matters.

攻擊是由 Mirai 惡意軟體創建的殭屍網路發起的，這導致服務提供者受到攻擊。在這種高活動趨勢的土地格局下，公司越來越依賴 NetScout 的可擴展和即時適應解決方案來處理網路安全保護問題。

As we look to fiscal year 2026, we believe the value proposition of our solutions should continue to resonate with customers. Customers and expect our core portfolio as well as our newer offerings such as adapted DDoS, mobile security, and distributed threat mitigation system solutions to fuel continued momentum in this space.

展望 2026 財年，我們相信我們的解決方案的價值主張將繼續引起客戶的共鳴。客戶期望我們的核心產品組合以及我們的新產品（例如適應性的 DDoS、行動安全和分散式威脅緩解系統解決方案）能夠推動該領域的持續發展。

Michael will provide more insight regarding customer bills during his remarks. Now let's move to slide number 8 regarding our outlook and.

邁克爾將在演講中提供更多有關客戶帳單的見解。現在讓我們看幻燈片 8，討論我們的展望。

As we look ahead to fiscal year 2026, we remain encouraged by the momentum in our cybersecurity offerings. While we remain cautious given the broader economic uncertainty, we are committed to continuing our investments in product related AI and cybersecurity solutions.

展望 2026 財年，我們仍對網路安全產品的強勁發展動能感到鼓舞。儘管考慮到更廣泛的經濟不確定性，我們仍保持謹慎，但我們致力於繼續投資與產品相關的人工智慧和網路安全解決方案。

We also plan to maintain our disciplined approach to cost management and preserve a strong financial position. Based on our current view in fi fiscal year 2026, we expect to achieve year over revenue growth, improve our operating margin, and diluted EPS performance, and continue to generate solid free cash flow.

我們還計劃繼續保持嚴謹的成本管理方法並保持強勁的財務狀況。根據我們目前對 2026 財年的展望，我們預計實現同比增長，提高營業利潤率和稀釋每股收益表現，並繼續產生穩健的自由現金流。

Jean will provide more specifics on the outlook in her remarks.

Jean 將在她的演講中提供更多關於前景的具體資訊。

Our long term strategy remains unchanged. We will continue to invest in innovation, deepen relationship with our customers, and leverage our mission critical solution to support the evolving performance, availability, and security needs of today's complex digital environments.

我們的長期策略保持不變。我們將繼續投資創新，深化與客戶的關係，並利用我們的關鍵任務解決方案來支援當今複雜的數位環境不斷變化的效能、可用性和安全需求。

With a strong foundation and clear strategic direction, we believe NetScout is well positioned for sustainable long-term success.

憑藉強大的基礎和明確的策略方向，我們相信 NetScout 已做好準備，以實現可持續的長期成功。

We look forward to keeping you updated on our progress as we move through the new fiscal year. Now let's move to slide number 9 regarding our leadership transition.

我們期待在新的財政年度向您通報我們的進展。現在讓我們看投影片 9，介紹我們的領導轉型。

Before I turn the call over to CEO Michael Szabados, I want to take a moment to address the announcement we made earlier today.

在我將電話轉給執行長 Michael Szabados 之前，我想花點時間談談我們今天早些時候宣布的消息。

As shared, both Michael and our CEO CFO Jean Bua will be retiring and stepping down from their roles effective May 31, 2025. We appreciate their continued commitment to the company as they transition into advisory roles through June 2026, ensuring a smooth leadership transition.

如同所分享的，Michael 和我們的執行長兼財務長 Jean Bua 都將於 2025 年 5 月 31 日起退休並卸任。我們感謝他們對公司的持續承諾，他們將在 2026 年 6 月之前轉任顧問職位，確保領導層的順利過渡。

As part of our succession plan, Sanjay Munshi, the company's deputy CEO, and Anthony Piazza next deputy CFO, will become COO and CFO respectively, and will join the executive team effective June 1, 2025.

作為我們繼任計畫的一部分，公司副執行長 Sanjay Munshi 和下一任副財務長 Anthony Piazza 將分別擔任營運長和財務官，並將於 2025 年 6 月 1 日加入執行團隊。

On behalf of our board and executive team, I want to thank Jean and Michael for the many contribution contributions in support of NetScout over the years and wish them well in their retirement.

我謹代表董事會和執行團隊感謝 Jean 和 Michael 多年來對 NetScout 的支持，並祝福他們退休後一切順利。

We are fortunate to have capable and experienced leaders like Sanjay and Anthony ready to take on the roles of COO and CFO, and look, I look forward to working closely with each of them. With that, I turned the call over to Michael.

我們很幸運能有像桑杰和安東尼這樣有能力和經驗豐富的領導者擔任首席營運官和首席財務官的職務，我期待與他們每個人密切合作。說完，我把電話轉給了麥可。

Good morning, everyone, and thank you for the kind words.

大家早安，謝謝大家的善意話語。

It has been a true pleasure working with you and the outstanding team over these many years. I'm confident that the organization is in great hands with Sanjay stepping in as our new CEO. Moving on to our porter slight la and outlines the areas that I will be covering starting the Q4 customer win highlights.

多年來，與您和優秀的團隊合作真的很愉快。我相信，在桑傑擔任新任執行長後，公司將會得到很好的管理。繼續討論我們的 porter slightly la 並概述我將從第四季度客戶獲勝亮點開始涵蓋的領域。

Starting with our services offering, one notable win this quarter was a competitive low 7 figure deal with a new customer, which is a leading financial services company. They were utilizing a competitive solution that was not satisfying their requirements.

從我們提供的服務開始，本季度一個顯著的勝利是與一家新客戶達成了具有競爭力的 7 位數低價交易，該客戶是一家領先的金融服務公司。他們所使用的競爭解決方案無法滿足他們的要求。

During our proof of concept, we demonstrated our solution delivers end to end network visibility from the customer's core network to their external trading partners. This significantly reduced issue resolution times from days to mere minutes, highlighting our clear operational advantage over their existing solution.

在概念驗證過程中，我們證明了我們的解決方案能夠提供從客戶核心網路到其外部貿易夥伴的端到端網路視覺。這大大縮短了問題解決時間，從幾天縮短到幾分鐘，凸顯了我們相對於現有解決方案的明顯營運優勢。

The part of our service assurance offerings to address issues quickly and accurately at scale was the clear catalyst to this event.

我們的服務保證產品能夠大規模、快速、準確地解決問題，這顯然是這次事件的催化劑。

In our cybersecurity offering, we extended our relationship with a leading cloud service provider with a mid-7 figure deal that included our pipeline detection and TMS mitigation solutions to enhance their security posture at their network edge as well as inside their data centers.

在我們的網路安全產品中，我們與一家領先的雲端服務供應商達成了一項價值 7 位數的協議，擴展了我們的合作關係，其中包括我們的管道檢測和 TMS 緩解解決方案，以增強其網路邊緣和資料中心內部的安全態勢。

The customer recognizes the value of our industry leading scalability, advanced detection, and surgical mitigation, and it is critical to supporting.

客戶認可我們行業領先的可擴展性、先進的檢測和手術緩解的價值，這對於支援至關重要。

The growth of their cloud and AI services businesses, I mean increasingly larger and sophisticated the TOS attacks. Turning briefly to our go to market activities, we continue to actively promote our offerings to both existing and prospective customers.

他們的雲端和人工智慧服務業務的成長，我的意思是 TOS 攻擊越來越大、越來越複雜。簡要介紹我們的市場活動，我們繼續積極向現有和潛在客戶推廣我們的產品。

For example, in March, we participated in the Mobile World Congress in Barcelona, where we held a series of productive meetings with both existing and prospective customers.

例如，三月份，我們參加了在巴塞隆納舉行的世界行動通訊大會，並與現有客戶和潛在客戶舉行了一系列富有成效的會議。

Discussion cantered around our latest innovations for enhancing our smart data. To accelerate service private efforts in 5G, NetOps, AIOps, and mobile network security.

討論主要圍繞我們增強智能數據的最新創新。加速推進5G、NetOps、AIOps、行動網路安全等領域的服務私有化工作。

More recently, in May, he participated in the RSA Security conference and in San Francisco where we demonstrated our visibility without border solutions the next generation performance management, network security, and data protection to ensure security, performance, and availability for the most complex and mission critical network.

最近，在五月，他參加了在舊金山舉行的 RSA 安全會議，我們在會議上展示了我們的無邊界可視性解決方案、下一代效能管理、網路安全和資料保護，以確保最複雜和關鍵任務網路的安全性、效能和可用性。

In June we will head to San Diego for Cisco, where we will showcase our visibility and security solutions which are designed to ensure organizations are operationally resilient by ensuring every interaction is safer, faster, and flawless from the edge to the cloud.

6 月份，我們將前往聖地牙哥參加思科展會，展示我們的視覺性和安全性解決方案，這些解決方案旨在確保從邊緣到雲端的每次互動都更安全、更快速、更完美，從而確保組織的營運彈性。

In early August we will be in Las Vegas participating in the Black Hat USA conference where we will demonstrate our leader's protection and on this network security solutions to ensure performance, security, and availability for the world's most powerful digital ecosystems.

8 月初，我們將前往拉斯維加斯參加美國黑帽大會，在那裡我們將展示我們領先的保護技術和網路安全解決方案，以確保世界上最強大的數位生態系統的效能、安全性和可用性。

That concludes my final update. Thank you for your support over the years.

我的最後一次更新到此結束。感謝您多年來的支持。

I will now turn the call over to Jean.

現在我將電話轉給 Jean。

Thank you, Michael, and good morning, everyone. I will review key metrics for our 4th quarter and the full fiscal year 2025 and provide some additional commentary on our fiscal year 2026 outlook.

謝謝你，邁克爾，大家早安。我將回顧我們第四季和 2025 財年全年的關鍵指標，並對我們 2026 財年的展望提供一些額外的評論。

As a reminder, this review focuses on our non-gap results unless otherwise stated, and all reconciliations with our GAAP results appear in the presentation appendix. Regardless, I will note the nature of any such comparisons. Additionally, all comparisons are on a year over year basis unless otherwise noted.

提醒一下，除非另有說明，本次審查重點關注我們的非差距結果，並且與我們的 GAAP 結果的所有調節都出現在演示附錄中。無論如何，我都會注意任何此類比較的性質。此外，除非另有說明，所有比較均以同比計算。

Slide number 13 details the results for the 4th quarter and full fiscal year 2025, focussing on our quarterly performance first, total revenue for the 4th quarter of fiscal year 2025 was $205 million Up 0.8% product revenue was $89.5 million an increase of 0.1%, and service revenue was $115.5 million an increase of 1.3%.

投影片 13 詳細介紹了 2025 財年第四季和全年的業績，首先關注我們的季度業績，2025 財年第四季度總收入為 2.05 億美元，增長 0.8%，產品收入為 8,950 萬美元，增長 0.1%，服務收入為 1.155 億美元，增長 1.3%。

At the end of the fourth quarter, our total combined product backlog was $33.1 million consisting of fulfillable backlog of $25.1 million 0.9 million dollars of radio frequency propagation modelling projects, and $7.1 million related to one multi-year customer enterprise license commitment.

截至第四季末，我們的產品積壓訂單總額為 3,310 萬美元，其中包括 2,510 萬美元的可履行積壓訂單、90 萬美元的射頻傳播建模項目，以及與一項多年期客戶企業許可承諾相關的 710 萬美元。

Additionally, at the end of the fourth quarter, there was $8.3 million of radio frequency modelling projects and deferred revenue.

此外，第四季末還有830萬美元的射頻建模專案和遞延收入。

Gross profit margin was 79.2% in the fourth quarter, up 2% points. Quarterly operating expenses decreased 2.5%, primarily due to the previous previously announced cost reduction actions and lower variable compensation expenses.

第四季毛利率為79.2%，上升2個百分點。季度營運費用下降 2.5%，主要由於先前宣布的成本削減措施和較低的浮動薪酬費用。

Accordingly, we reported an operating profit margin of 23.1% compared with 19.2% in the same quarter last year. Diluted earnings per share was $0.52, which included an unrealized loss on a foreign investment of approximately $0.03. This was down 5.5% from $0.55 in the same quarter last year.

因此，我們報告的營業利潤率為 23.1%，而去年同期為 19.2%。稀釋每股收益為0.52美元，其中包括約0.03美元的海外投資未實現損失。較去年同期的0.55美元下降5.5%。

For the full fiscal year 2025, revenue was $822.7 million which was a decrease of 0.8% points year over year. Normalizing for the test optimization business that we disposed of in fiscal year 24, total revenue would have been consistent year over year. Product revenue was $359.9 million a decline of 0.2%, and service revenue was $462.8 million a decline of 1.3%.

2025財年全年營收為8.227億美元，年減0.8%。對於我們在第 24 財年處置的測試優化業務進行規範，總收入將與去年同期保持一致。產品收入為 3.599 億美元，下降 0.2%，服務收入為 4.628 億美元，下降 1.3%。

Our gross profit margin was 80%, an increase of 0.6% points. Annual operating expenses decreased 1.9% from the prior year, primarily due to previously announced cost reduction actions. We reported an operating profit margin of 23.7%, up 1.1% points compared to the prior year. Diluted earnings per share was $2.22 a 0.9% increase. Our annual tax rate was 19% compared to 17.2% in the prior year.

我們的毛利率為80%，增加了0.6個百分點。年度營運費用較前一年下降 1.9%，主要原因是先前宣布的成本削減措施。我們報告的營業利潤率為 23.7%，比上年增長 1.1 個百分點。每股攤薄收益為 2.22 美元，成長 0.9%。我們的年稅率為 19%，而前一年為 17.2%。

As a reminder, the prior year tax rate was impacted by a valuation gain in a bond investment with favourable tax treatment. Turning to slide 14, I will review key revenue trends by product lines and customer verticals. Please note that all comparisons here are on a year over year basis consistent with our other remarks.

提醒一下，上一年的稅率受到優惠稅待遇的債券投資估價收益的影響。翻到第 14 張投影片，我將回顧按產品線和客戶垂直劃分的主要收入趨勢。請注意，這裡的所有比較都是按年進行的，與我們的其他評論一致。

For the fiscal year 2025, our service assurance revenue decreased by 4.4%, while our cybersecurity revenues grew by 6.6%. During the same period, our service assurance product line accounted for approximately 65% of our total revenue, while our cybersecurity product line accounted for the remaining 35%.

2025財年，我們的服務保障收入下降了4.4%，而網路安全收入成長了6.6%。同期，我們的服務保障產品線約占我們總收入的 65%，而網路安全產品線佔剩餘的 35%。

Turning to our customer verticals for the first fiscal year 2025, our enterprise customer vertical grew 7.5% while our service provider customer vertical revenue decreased 10.1% during the same period, our enterprise customer vertical accounted for approximately 57% of our total revenue while our service provider Customer Vertical accounted for the remaining 43%.

談到 2025 財年的第一個財年，我們的企業客戶垂直業務成長了 7.5%，而我們的服務供應商客戶垂直業務收入同期下降了 10.1%，我們的企業客戶垂直業務約占我們總收入的 57%，而我們的服務供應商客戶垂直業務佔剩餘的 43%。

Turning to slide 15, this shows our geographic revenue mix for the fiscal year 2025, 57% of our revenue was derived from the United States, with the remaining 43% provided by international markets, which is consistent with the prior year. Also, no customer represented 10% or more of our total revenue in either the fourth quarter or full fiscal year 2025.

翻到第 15 張投影片，這顯示了我們 2025 財年的地理收入結構，其中 57% 的收入來自美國，其餘 43% 來自國際市場，這與前一年一致。此外，無論是在第四季還是 2025 財年全年，沒有一個客戶的收入占我們總收入的 10% 或以上。

Slide 16 details certain balance sheet and free cash flow items. We ended fiscal year 2025 with $492.5 million in cash equivalents, short and long-term marketable securities, and investments, representing an increase of $68.4 million since the end of fiscal year 2024.

投影片 16 詳細說明了某些資產負債表和自由現金流項目。截至 2025 財年末，我們的現金等價物、短期和長期有價證券及投資為 4.925 億美元，比 2024 財年末增加了 6,840 萬美元。

Free cash flow for the fourth quarter was $140 million and $211 million for the full fiscal year 2025. From a debt perspective during the 4th quarter, we repaid the $75 million that was outstanding on our $600 million revolving credit facility. We did not repurchase any of our common stock during the 4th quarter.

第四季的自由現金流為 1.4 億美元，2025 財年全年的自由現金流為 2.11 億美元。從第四季的債務角度來看，我們償還了 6 億美元循環信貸額度中未償還的 7,500 萬美元。我們在第四季沒有回購任何普通股。

We currently have capacity in our share repurchase authorization and subject to market conditions intend to be active in the market during fiscal year 2026.

我們目前擁有股票回購授權的能力，並根據市場狀況打算在 2026 財年積極參與市場活動。

To briefly recap other balance sheet items, accounts receivable net was $163.7 million representing a decrease of $28.4 million since March 31, 2024. The DSO metric at the end of the 4th quarter of fiscal year 2025 was 68 days versus 81 days at the end of fiscal year 2024. The lower DSO metric in the fourth quarter of this fiscal year was due to the timing and composition of bookings.

簡單回顧一下其他資產負債表項目，應收帳款淨額為 1.637 億美元，自 2024 年 3 月 31 日以來減少了 2,840 萬美元。2025 財年第 4 季末的 DSO 指標為 68 天，而 2024 財年末為 81 天。本財年第四季的 DSO 指標較低是由於預訂的時間和組成所致。

Let's move to slide 17 for commentary on our outlook. I will refocus my review on our non-gap target for fiscal year 2026.

讓我們轉到第 17 張幻燈片來查看對我們的展望的評論。我將重新關注我們 2026 財年的無差距目標。

I would like to first address the current macro environment and the impact of the proposed tariff policies. As it stands, current global tariff regulations and negotiations are not expected to have a material impact on our business from a direct force perspective.

我想先談談當前的宏觀環境和擬議關稅政策的影響。目前，從直接力量的角度來看，目前的全球關稅法規和談判預計不會對我們的業務產生重大影響。

More than 80% of our revenue comes from services and software which are largely unaffected. By these barracks on the hardware side, most components for our appliances are sourced either domestically from Canada or from Mexico and are currently ex exempt under the USMCA arrangements. As such, our direct cost exposure is currently minimal and could be addressed through pricing adjustments or efficiency initiatives if required.

我們 80% 以上的收入來自服務和軟體，這些收入基本上不受影響。在硬體方面，我們電器的大部分零件都是從加拿大或墨西哥國內採購的，目前根據 USMCA 安排是免稅的。因此，我們目前的直接成本風險很小，如果需要，可以透過價格調整或效率措施來解決。

That said, broader tariff related activity is contributing to some uncertainty in the global macroeconomic landscape. While we haven't seen a meaningful impact on customer demand or revenue so far, we are closely monitoring the situation for any potential shifts in customer behaviour or market dynamics that could influence our outlook.

儘管如此，更廣泛的關稅相關活動正在為全球宏觀經濟格局帶來一些不確定性。雖然到目前為止我們還沒有看到對客戶需求或收入產生重大影響，但我們正在密切關注可能影響我們前景的客戶行為或市場動態的任何潛在變化。

Moving on to our fiscal year 2026 outlook, we anticipate our fiscal year 2026 revenue to be in the range of approximately $825 million to $865 million. Additionally, we anticipate non-GAAP diluted earnings per share. Within the range of $2.25 to $2.40 the full year effective tax rate is expected to be approximately 20%. Our weighted average diluted shares outstanding is assumed to be approximately 74 to 75 million shares.

展望 2026 財年，我們預期 2026 財年營收將在約 8.25 億美元至 8.65 億美元之間。此外，我們預期非公認會計準則每股攤薄收益。在 2.25 美元至 2.40 美元的範圍內，預計全年有效稅率約為 20%。我們的加權平均稀釋流通股數預計約為 7,400 萬至 7,500 萬股。

Finally, I would like to provide some color for the first quarter of fiscal year 2026. In comparison to the first quarter of last year, we anticipate our first quarter fiscal year 2026 revenue to grow by approximately 3% to 5% with approximately the same growth rate for earnings per share.

最後，我想為2026財年第一季提供一些展望。與去年第一季相比，我們預計 2026 財年第一季的營收將成長約 3% 至 5%，每股盈餘的成長率大致相同。

That concludes my formal review of our financial results. I'd like to quickly note that our upcoming IR conference participation is listed on slide 18.

這就是我對我們的財務結果的正式審查。我想快速指出，我們即將參加的 IR 會議列在第 18 張投影片上。

As this is my final earnings call, I would like to know that the company is in a strong position thanks to the dedication of our team and the strategic vision that has been built over the years. I would also like to take a moment to express my gratitude to all of my financial team members and company colleagues. It has been an honour to serve alongside you.

由於這是我的最後一次財報電話會議，我希望知道，由於我們團隊的奉獻精神和多年來建立的戰略眼光，公司處於強勢地位。我還想花點時間向我所有的財務團隊成員和公司同事表示感謝。能夠與您並肩作戰是我的榮幸。

Thank you again for your trust and support. For that, I'll now turn the call over to the operator for questions.

再次感謝您的信任與支持。為此，我現在將電話轉給接線員以回答問題。

And at this time, if you would like to ask a question, (Operator Instructions)

如果你想問一個問題，（操作員指示）

We'll take our first question from Matthew Hedberg with RBC Capital Markets. Please go ahead.

我們將回答來自加拿大皇家銀行資本市場的馬修·赫德伯格提出的第一個問題。請繼續。

Hey guys, this is Michael Richards on from Matt. Thanks for taking the questions and congrats on the retirement and promotions.

大家好，我是馬特的麥可理查茲。感謝您回答問題，並祝賀您退休和晉升。

It's great to see the continuity in the in the team, thanks and on tariffs, it was great to hear that you guys haven't seen anything yet and you're relatively insulated from a cost perspective.

很高興看到團隊的連續性，謝謝，關於關稅，很高興聽到你們還沒有看到任何東西，而且從成本角度來看你們相對不受干擾。

Maybe you could just double click on what you're hearing from customers and does guidance assume any deterioration in the macro or provide any room for. Some uncertainty or deal pushes or things like that, just any color that would be great, thanks.

也許您可以雙擊您從客戶那裡聽到的內容，然後指導是否假設宏觀經濟出現任何惡化或提供任何空間。一些不確定性或交易推動或諸如此類的事情，任何顏色都很好，謝謝。

Well, at this point, Matt, so right now we see some delayed sales cycles and so it's maybe quarter to quarter there might be some issues we are having a broader conferences in Europe, one in Barcelona in June and then in Asia later in the year, and we'll hear directly sentiments from hundreds of customers. But that's where we see, and I think our, as Jean said our guidance range covers some of those uncertainties, but it, it's a little bit wait and see with some customers about timing of the orders.

嗯，馬特，目前我們看到一些銷售週期延遲，所以可能是每個季度都會出現一些問題，我們正在歐洲舉行更廣泛的會議，一次是六月份在巴塞羅那，然後今年晚些時候在亞洲，我們將直接聽取數百名客戶的意見。但這就是我們所看到的，我認為，正如 Jean 所說，我們的指導範圍涵蓋了其中的一些不確定性，但是，一些客戶對於訂單的時間還有點觀望。

Great, that's super helpful, and I guess just maybe my second one would be, the cyber momentum has been pretty strong, throughout this year.

太好了，這非常有幫助，我想也許我的第二個問題是，今年網路勢頭一直非常強勁。

So looking into next year as we say that momentum continue, are you expecting a step up in any of those newer products that you highlighted and what are customers most excited about beyond, core DDoS there? Thanks.

那麼展望明年，正如我們所說的，這種勢頭將繼續下去，您是否預計您強調的任何新產品都會有所提升，除了核心 DDoS 之外，客戶最興奮的是什麼？謝謝。

So I think I'd like to say maybe a little bit broader than that. I think you know our service assurance has been and business has been tough, but over time because of AI and other things, we are becoming that business is becoming a part of a broader observability market, and which is really allows us to shine our smart data to a larger set of customers, broader budgets and all those.

所以我想我可以講得更廣泛一些。我想你知道我們的服務保證和業務一直很艱難，但隨著時間的推移，由於人工智慧和其他因素，我們的業務正在成為更廣泛的可觀察性市場的一部分，這確實使我們能夠將我們的智慧數據傳遞給更大的客戶群、更廣泛的預算等等。

So, we announced a couple of products in that area also. The DOS area, we have more automation through our adaptive DDoS announcement, but also, we are becoming part of a broader cybersecurity market.

因此，我們也在該領域發布了幾款產品。在 DOS 領域，我們透過自適應 DDoS 公告實現了更多自動化，而且我們正在成為更廣泛的網路安全市場的一部分。

So, I look at for the next 2 or 3 years our market size in both the service assurance area becoming part of the observability and AI market. As well as DDoS expanding to broader cybersecurity market is a real opportunity. And I think we have a very solid and loyal customer base, and this will be relevant to the same set of people or other departments in the same accounts.

因此，我預計未來 2 到 3 年內，我們在服務保證領域的市場規模將逐漸成為可觀察性和人工智慧市場的一部分。DDoS 擴展到更廣泛的網路安全市場也是一個真正的機會。我認為我們擁有非常穩固和忠誠的客戶群，這與同一組人員或同一帳戶的其他部門有關。

Thanks for that and congrats again guys.

謝謝大家，再次恭喜你們。

Thank you.

謝謝。

Thank you, and your next question comes from the line of Kevin Liu with K. Liu & Company Please go ahead.

謝謝，您的下一個問題來自 K. Liu & Company 的 Kevin Liu，請繼續。

Hi, good morning, everyone. Gina Michael certainly wanted to wish you well in your retirement and also congrats in order for Tony and Sanjay, of course.

大家好，早安。吉娜·邁克爾當然希望您退休後一切順利，當然，我也祝賀托尼和桑傑。

On the topic of tariffs, I know you guys haven't seen much impact yet, but I was wondering if you thought there was any sort of pull forward, in terms of folks perhaps wanting to get ahead of any potential increases, and if that was reflected in in kind of the product backlog exiting the quarter.

關於關稅的話題，我知道你們還沒有看到太大的影響，但我想知道你們是否認為存在任何形式的提前效應，即人們可能想要領先於任何潛在的關稅上漲，以及這是否反映在本季度的產品積壓中。

Hi Kevin, thank you for the congratulations. I would say that we did not see any pull forward from the tariffs. If you think about what happened to us during post-COVID when the hardware components were hard to get and so people focus towards software, you have the potential through FY26 in the future years of the tariffs to have a similar effect where the software companies could be able to see some growth due to The componentry not being affected by the tariffs.

你好，凱文，謝謝你的祝賀。我想說的是，我們沒有看到關稅帶來任何提振。如果您想想我們在後疫情時代所經歷的情況，當時硬體組件很難獲得，因此人們將注意力集中在軟體上，那麼到未來幾年的 26 財年，關稅可能會產生類似的效果，軟體公司可能會因為組件不受關稅影響而實現一些增長。

It certainly makes sense and actually just along those lines, within your own pipelines, or maybe customer conversations, are you seeing even more interest from customers today to go to more kind of software only solutions, or is it still fairly consistent in terms of demand for, kind of the more traditional systems and appliance?

這當然是有道理的，實際上，沿著這個思路，在您自己的管道中，或者可能是客戶對話中，您是否看到當今客戶對更多類型的純軟體解決方案更感興趣，或者在對更傳統的系統和設備的需求方面是否仍然相當一致？

Yeah, so we have the, I mean, our solution does require hardware, but we have unbundled that, and we have been pushing the software solution, and that's one of the reasons we have been able to maintain high margins, during the, then we face growth challenges.

是的，我們的解決方案確實需要硬件，但我們已經將其分開開來，並且一直在推動軟體解決方案，這也是我們能夠保持高利潤率的原因之一，在此期間，我們面臨著成長挑戰。

So yeah, overall I think that I don't see any change, especially then no change because of tariffs, and most people buy our software version solution. We do offer a bundle solution. But very few customers are interested because they get us better and use the pricing and we can offer higher discounts on software.

所以，是的，總的來說，我認為我沒有看到任何變化，特別是由於關稅而沒有變化，而且大多數人購買我們的軟體版本解決方案。我們確實提供了捆綁解決方案。但很少有客戶感興趣，因為他們對我們更好，並使用定價，我們可以在軟體上提供更高的折扣。

Yeah, makes sense. And then if I could squeeze one more in just as it relates to your government and defense business, I'm wondering if there was any impact from all the doge related headlines on sale cycles within the quarter and just kind of how you're thinking about contribution from federal and in your fiscal '26 guidance.

是的，有道理。然後，如果我可以再插入一個與您的政府和國防業務相關的內容，我想知道所有與狗狗幣相關的頭條新聞是否對本季度的銷售週期產生了影響，以及您如何看待聯邦政府的貢獻以及您在 26 財年指導中的貢獻。

So that was a big there was some refresh cycle in our product line and it was contributed to some of the numbers last year and we are expecting some more, but so far we have not seen any effect, but we'll see as 6 months left in the federal quarter to close whether our pipeline really delivered.

因此，這是一個很大的進步，我們的產品線有一些更新周期，這對去年的一些數字有所貢獻，我們期待更多，但到目前為止我們還沒有看到任何效果，但我們將在聯邦季度還剩 6 個月的時候看到我們的管道是否真正交付。

So yeah, that's a big question mark, going forward, but so far we have not seen anything.

是的，這是一個很大的問號，但到目前為止我們還沒有看到任何東西。

Understood. Well, I appreciate you taking the questions and congrats on the strong outlook here for 26.

明白了。好吧，感謝您回答這些問題，並祝賀 26 日的強勁前景。

Okay, thank you.

好的，謝謝。

Thank you, and there are no further questions at this time. I will now turn the call back to Anthony for any additional or closing remarks.

謝謝，現在沒有其他問題了。現在我將把電話轉回給安東尼，請他發表任何補充或結束語。

Great, thank you, operator. That concludes our call for today.

太好了，謝謝你，接線生。今天的通話到此結束。

Thank you all for joining us and enjoy the rest of the day.

感謝大家的參與並祝福大家享受剩餘的一天。