Q1 2025 Extreme Networks Inc Earnings Call Transcript
Key Points
- Extreme Networks Inc (EXTR) reported first-quarter results that exceeded expectations, indicating early signs of a broad networking market recovery.
- The company achieved a 23% year-over-year growth in SaaS, highlighting the value and stickiness of its cloud offerings.
- EXTR's enterprise campus solution, combining cloud management with AI and security capabilities, is driving new logo expansion.
- The company is the first to ship enterprise-grade Wi-Fi 7 access points, offering significant performance improvements.
- EXTR's managed services platform is gaining traction, with a 32% increase in MSP partners and doubled consumption billings sequentially.
- The recovery in the EMEA region is protracted, with government spending delays impacting project timelines.
- EXTR faces macroeconomic challenges in Europe, particularly in Germany and the UK, causing project delays.
- Despite improvements, the company is still not operating at full IT spending levels, affecting growth potential.
- The competitive environment remains challenging, with larger competitors potentially behaving irrationally due to inventory issues.
- EXTR's operating expenses are expected to increase, potentially impacting profitability despite revenue growth.
Ladies and gentlemen, thank you for standing by. Welcome to the Extreme Networks first quarter, fiscal year '25 financial results. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session to ask a question. During that session, you will need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised to withdraw your question. Simply press star 11 again. Please be advised that today's conference is being recorded. I would now like to turn the conference over to the Vice President of Corporate Development and Investor relations, Stan Kobler.
Thank you, Carmen. Good morning and welcome to Extreme Networks first quarter, fiscal year 2025 earnings conference call with me today are Extreme networks' President and CEO Ed Meyer Cord and EVP and CFO Kevin Rhodes. We just distributed a press release and filed an eight K detailing extreme financial results
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
