Shares of Juniper Networks Inc. were being off 6% in soon after-hours buying and selling Tuesday following the networking enterprise observed that it anticipates “elevated costs” during the calendar year as it functions by way of offer-chain disruptions.
The organization created net cash flow of $55.7 million, or 17 cents a share, versus a loss of $31.1 million, or 10 cents a share, in. the 12 months-before quarter. On an adjusted foundation, Juniper attained 31 cents a share, whereas the FactSet consensus was for 32 cents a share.
profits rose to $1.17 billion from $1.07 billion a yr prior, when analysts tracked by FactSet had been modeling $1.16 billion.
Juniper Chief Executive Rami Rahim said in a release that the business observed double-digit purchase development in all of its buyer verticals and client remedies all through the hottest quarter.
“While some of this toughness speaks to the health of our marketplaces, much of this demand can be attributed to solid execution throughout our product-management, engineering and go-to-current market businesses,” he extra.
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However, Juniper famous that it carries on to see offer-chain impacts, and it expects that it will come across “extended lead times and elevated costs” at minimum through the close of the yr.
“Similar to other people, we are experiencing ongoing offer-chain issues, which have resulted in extended lead moments, as nicely as elevated logistics and part prices,” the organization shared. “We go on to get the job done to solve source-chain challenges and have amplified inventory ranges and invest in commitments.”
For the June quarter, Juniper types $1.205 billion to $1.305 billion in profits, as effectively as 40 cents to 50 cents in altered earnings for each share. The FactSet consensus was for $1.26 billion in profits and 46 cents in adjusted earnings for each share.