Net Revenue $202.2M, up 79%
Pro forma EPS $0.09
SUNNYVALE, Calif.--(BUSINESS WIRE)--July 12, 2001--Juniper Networks, Inc. (Nasdaq:JNPR - news), a
leading provider of next-generation IP infrastructure systems, today reported its second quarter results
for the period ending June 30, 2001.
Net revenues for the second quarter were $202.2 million, compared with $113.0 million for the same
period last year, an increase of 79%. Pro forma net income was $29.3 million or $0.09 per share,
compared with pro forma net income of $28.6 million or $0.08 per share for the second quarter of 2000.
Actual net loss for the second quarter, which includes amortization of goodwill and other purchased
intangibles of $12.3 million, amortization of deferred compensation of $18.8 million, a restructuring
charge of $12.3 million and write-downs in equity investments totaling $32.6 million, was $37.1 million
or $0.12 per share, compared with net income of $19.6 million or $0.06 per share in the second quarter
of 2000.
Net revenues for the first six months of 2001 were $534.3 million, compared with $176.9 million for the
same six month period in 2000. Pro forma net income for the first six months of 2001 was $121.5 million
or $0.35 per share, compared with pro forma net income of $39.1 million or $0.11 per share during the
same six month period in 2000. Actual net income for the first six months of 2001 was $21.4 million or
$0.06 per share, compared with actual net income of $27.7 million or $0.08 per share during the same
six month period in 2000.
``The second quarter represents an example of our priorities during these times -- customer growth,
financial discipline, and continued investment in innovation,'' said Scott Kriens, Chairman and CEO of
Juniper Networks. ``We will continue to use our proven abilities in focus and execution to protect
these principles,'' Kriens said.
About Juniper Networks
Juniper Networks, Inc. is a leading provider of purpose-built systems that meet the scalability,
performance, density, and compatibility requirements of rapidly evolving, optically enabled IP networks.
The company's systems provide new IP infrastructure solutions for the world's leading service providers.
Juniper Networks service, manufacturing teams, and IP engineers work closely with customers to build
and support customer networks. The company is headquartered in Sunnyvale, California. For more
information, please visit the Web site at juniper.net.
Juniper Networks is registered in the U.S. Patent and Trademark Office and in other countries as a
trademark of Juniper Networks, Inc. Internet Processor, Internet Processor II, JUNOS, JUNOScript, M5,
M10, M20, M40, and M160 are trademarks of Juniper Networks, Inc. All other trademarks, service
marks, registered trademarks, or registered service marks are the property of their respective owners.
Actual results could differ materially from those anticipated in forward-looking statements in this
release as a result of certain factors, including those set forth in the risk factors described in the
Company's SEC filings, including its recent Form 10K.
JUNIPER NETWORKS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
June 30, December 31,
2001 2000
Assets (unaudited) (1)
Current assets:
Cash and cash
equivalents $ 512,415 $ 563,005
Short-term investments 494,953 581,738
Accounts receivable, net 137,121 176,535
Prepaid expenses and
other current assets 31,486 27,269
---------- ----------
Total current assets 1,175,975 1,348,547
Property and equipment, net 252,215 36,440
Long-term investments 618,760 450,568
Other long-term assets 204,789 267,574
---------- ----------
Total Assets $2,251,739 $2,103,129
========== ==========
Liabilities and
Stockholders' Equity
Current liabilities:
Accounts payable $ 62,947 $ 72,347
Other accrued liabilities 166,966 109,436
Deferred revenue 29,830 34,625
---------- ----------
Total current liabilities 259,743 216,408
Convertible subordinated
notes and other long-term
liabilities 1,150,000 1,156,719
Common stock and additional
paid-in capital 777,531 735,103
Deferred stock compensation (68,773) (111,813)
Accumulated other
comprehensive income 16,054 10,963
Retained earnings 117,184 95,749
---------- ----------
Total Liabilities and
Stockholders' Equity $ 2,251,739 $2,103,129
=========== ==========
(1) Derived from audited financial statements
JUNIPER NETWORKS, INC.
PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (a)
(In thousands, except per share amounts)
Three Months Ended Six Months Ended
June 30, June 30,
2001 2000 2001 2000
(unaudited) (unaudited)
Net revenues $ 202,181 $ 113,028 $ 534,286 $ 176,914
Cost of
revenues 80,480 40,752 194,221 65,853
--------- --------- --------- ---------
Gross profit 121,701 72,276 340,065 111,061
Operating
expenses:
Research and
development 42,077 18,000 85,068 33,990
Sales and
marketing 35,963 17,247 77,285 28,752
General and
administrative 9,439 4,171 19,907 7,185
--------- --------- --------- ---------
Total operating
expenses 87,479 39,418 182,260 69,927
--------- --------- --------- ---------
Operating
income 34,222 32,858 157,805 41,134
Interest
income, net 9,916 9,876 21,908 16,512
Equity in
joint
venture (1,085) -- (1,085) --
Income before
income taxes 43,053 42,734 178,628 57,646
Provision for
income taxes 13,777 14,102 57,161 18,552
Net income $ 29,276 $ 28,632 $ 121,467 $ 39,094
========= ========= ========= =========
Basic net
income per
share $ 0.09 $ 0.09 $ 0.38 $ 0.13
========= ========= ========= =========
Shares used in
computing
basic
net income
per share 318,196 301,879 316,883 298,712
========= ========= ========= =========
Diluted net
income per
share $ 0.09 $ 0.08 $ 0.35 $ 0.11
========= ========= ========= =========
Shares used in
computing diluted
net income per
share 342,208 346,411 343,563 346,102
(a) The pro forma statements exclude the impact of the amortization
of goodwill, deferred stock compensation, restructuring costs,
minority investment write-downs and charitable contribution
charges in all periods.
JUNIPER NETWORKS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
Three Months Ended Six Months Ended
June 30, June 30,
2001 2000 2001 2000
(unaudited) (unaudited)
Net revenues $ 202,181 $ 113,028 $ 534,286 $ 176,914
Cost of
revenues 80,480 40,752 194,221 65,853
--------- --------- --------- ---------
Gross profit 121,701 72,276 340,065 111,061
Operating
expenses:
Research and
development 42,077 18,000 85,068 33,990
Sales and
marketing 35,963 17,247 77,285 28,752
General and
administrative 9,439 4,171 19,907 7,185
Goodwill and
deferred stock
compensation 31,117 2,315 67,700 4,706
Restructuring
costs 12,340 -- 12,340 --
Charitable
contribution -- 10,000 -- 10,000
--------- --------- --------- ---------
Total operating
expenses 130,936 51,733 262,300 84,633
--------- --------- --------- ---------
Operating
income/(loss) (9,235) 20,543 77,765 26,428
Interest
income, net 9,916 9,876 21,908 16,512
Losses realized
on minority
investments (32,620) -- (42,620) --
Equity in
joint venture (1,085) -- (1,085) --
--------- --------- --------- ---------
Income/(loss)
before income
taxes (33,024) 30,419 55,968 42,940
Provision for
income taxes 4,107 10,802 34,533 15,252
--------- --------- --------- ---------
Net income/
(loss) $ (37,131) $ 19,617 $ 21,435 $ 27,688
========= ========= ========= =========
Basic net
income/(loss)
per share $ (0.12) $ 0.06 $ 0.07 $ 0.09
========= ========= ========= =========
Shares used in
computing
basic
net income/
(loss)
per share 318,196 301,879 316,883 298,712
========= ========= ========= =========
Diluted net
income/(loss)
per share $ (0.12) $ 0.06 $ 0.06 $ 0.08
========= ========= ========= =========
Shares used in
computing
diluted net
income/(loss)
per share 318,196 346,411 343,563 346,102
========= ========= ========= ========= |
