Arista Networks Inc. (NYSE: ANET) reported its fourth quarter and full year financial results. The company topped analysts’ estimates in both earnings and revenue, but despite the beat, the results weren’t enough for investors. Arista shares fell 18.3 percent on Friday after the opening bell.
For the fourth quarter, Arista reported revenue of $467.9 million, increasing 6.9 percent year over year, and beating analysts’ estimates of $457 million. The company reported an EPS of $1.71, increasing from $1.04 the same quarter last year, and beating analysts’ estimates of $1.42.
Arista continued expanding its cloud-grade routing with its Arista EOS (Extensible Operating System) and CloudVision software. Arista EOS version 4.20 delivers new routing and management software capabilities.
Arista benefited heavily from strong demand for 100-gigabit routing and switching products from cloud based companies.
"2017 represents a market tipping point with Arista’s disruptive software-driven architecture gaining mainstream acceptance as we surpassed 15 million cumulative ports of cloud networking,” stated Jayshree Ullal, Arista President and CEO.
For the full year, Arista reported revenue of $1.6 billion, increasing 45.8 percent year over year and an EPS of $5.61 per share compared to $3.30 the same quarter last year.
For the first quarter of fiscal year 2018, Arista forecasts revenue to be between $450 million and $468 million compared to analysts’ estimates of $457 million.