Research Reports

Q1 FY2026 total revenue $822M, +7% YoY (prepared); product revenue $410M, +11% YoY (prepared); services revenue $412M, +4% YoY (prepared)
Systems revenue $218M, +37% YoY (prepared); software revenue $192M, -8% YoY (prepared); subscription software $164M, +1% YoY (prepared)
Recurring revenue = 69% of total Q1 revenue (prepared)
Americas revenue +2% YoY (53% of total); EMEA +24% YoY (31% of total); APAC -1% YoY (16% of total) (prepared)
Non-GAAP gross margin 83.8%; GAAP gross margin 81.5% (prepared)
Non-GAAP operating margin 38.2%, +80 bps YoY; GAAP operating margin 26% (prepared)
Non-GAAP net income $259M, $4.45 EPS (+16% YoY); GAAP net income $180M, $3.1 EPS (prepared)
Cash from operations $159M; CapEx $10M; deferred revenue $2.1B, +6% YoY (prepared)
Cash & investments $1.22B; DSO 54 days; employees ~6,400 (prepared)
Q1 share repurchase $300M at avg $249/share (prepared)
FY2026 guidance raised: revenue growth 5%–6% (prior 0%–4%); mid-single-digit software growth, double-digit systems growth, low single-digit services growth (prepared)
FY2026 non-GAAP gross margin 82.5%–83.5% (modest reduction from prior); non-GAAP operating margin 34%–35% (prior 33.5%–34.5%); non-GAAP EPS $15.65–$16.05 (prior $14.50–$15.50) (prepared)
FY2026 non-GAAP ETR 21%–22%; share repurchase at least 50% of FCF (prepared)
Q2 FY2026 guidance: revenue $770M–$790M (~7% growth at midpoint); non-GAAP gross margin 82.5%–83%; non-GAAP OpEx $390M–$408M; non-GAAP EPS $3.34–$3.46 (prepared)

"We are very pleased to report strong Q1 results with 7% revenue growth driven by 11% product revenue growth, our sixth consecutive quarter of double-digit product growth." (CEO)
"We are especially pleased with our Q1 results following the security incident at the start of the quarter. Our global sales and support teams mobilized rapidly, enabling customers to take action and get back to business quickly." (CEO)
"In Q1, we added nearly as many AI customers as we did in all of FY '25." (CEO)
"We delivered a strong Q1, growing revenue 7% to $822 million with a mix of 50% product revenue and 50% services revenue." (CFO)
"With strong close rates in Q1 and solid pipeline creation, we are raising our FY '26 outlook." (CFO)

Topic: AI采用趋势与持久性
Key points:
- 企业AI从训练转向推理阶段，需要高吞吐、低延迟的数据管道和运行时安全
- 本季度赢得的新AI客户数量等于FY25全年总数，且Q1 AI收入为双位数百万美元（此前各季度为个位数百万美元）
- 新客户案例：全球科技OEM将数据从云回迁至本地数据湖，以连接AI应用，签署了数百万美元交易
- AI guardrail解决方案获得大型金融、技术、咨询企业早期采用
Mgmt stance: bullish，认为AI趋势处于早期、持久性强，数据交付与安全需求均将增长

Topic: 软件增长节奏与硬件驱动因素
Key points:
- 软件收入去年同期受8位数大额续约和特定服务提供商交易影响基数较高，本季度实际略高于预期
- 展望未来，软件业务预计实现中个位数增长，客户续约率和利用率健康
- 硬件需求受益于两个新催化剂：法规（NIST 2、DORA等推动韧性与数字主权）和企业AI采用加速混合多云架构
- Q1欧洲硬件表现强劲
Mgmt stance: bullish，软件执行稳健且展望积极，硬件有结构性增长动力

Topic: 硬件升级周期与内存供应风险
Key points:
- 当前处于Viprion/I系列刷新周期，但更多是扩张而非简单替换，客户为AI基础设施做准备
- 除刷新外，现有客户持续进行容量扩张，受数据主权和法规驱动
- 内存价格已大幅上涨，公司已提前提高供应商需求预测、增加合格供应商、执行broker buys；短期供应无取消订单，但长期仍存风险
- 公司正在密切监控以确保持续供应
Mgmt stance: neutral，短期供应信心足，长期有风险，已采取类似2022年的行动应对

Topic: 安全事件影响与客户恢复情况
Key points:
- 未发现任何客户因F5安全事件遭到入侵
- 超过50%客户已升级至最新软件版本（一年前仅15%），升级速度远快于以往
- 销售管道生成和成交率在本季度保持正常，未观察到需求中断
- 无显著财务

Topic: Systems revenue shape and EPS upgrade flow-through
Key points:
- FY full-year system revenue growth guided to mid-teens; implied H2 growth ~4–5%, H1 ~7%, reflecting a deceleration.
- No specific visibility of a slowdown; management taking a "measured approach" early in the year.
- FY EPS midpoint beat by $0.85 (Dec quarter); full-year EPS raised by $0.85; gross margin guide lowered slightly due to pricing increases.
- Targeted investments in sales capacity, roadmap (e.g., XOps for analytics/telemetry) to drive FY'27+ growth, limiting near-term flow-through.
Mgmt stance: Neutral—cautious on H2 revenue shape (early year, pragmatic guidance), but bullish on long-term growth opportunity justifying investments.

Topic: EMEA strength driven by digital sovereignty requirements
Key points:
- EMEA strength accelerated in Q1, driven by incoming regulations (NIST2, DORA already in force; Cyber Resilience Act enforcement date 2027).
- Two components: new projects (hardware/software/SaaS) and deferred refreshes from customers upgrading quickly to avoid penalties.
- Customers facing regulatory uncertainty prefer F5 for flexibility to deploy licenses across any environment/form factor (hardware, software, SaaS).
Mgmt stance: Bullish—durable trend due to multiple regulations across countries and enterprises seeking flexible hybrid multi-cloud solutions.

Topic: H2 growth deceleration vs. refresh cadence and software renewal balance
Key points:
- H2 implied deceleration to 4–5% growth is not tied to the refresh cycle; refresh is still early, orderly, and driven by expansion, not decommissioning.
- Q2 guide reflects strong underlying pipeline; H2 pragmatism due to fluid macro and early calendar-year budget uncertainty.
- Software renewal cohort more balanced than prior years: strong Q2 growth expected, then healthy H2 growth.
Mgmt stance: Neutral—pragmatic on H2 due to macro uncertainty, but bullish on underlying pipeline and software renewal cadence.

Topic: Hybrid hardware/software mix, public sector strength, and platform convergence
Key points:
- Government sector very strong in Q1, driven by US Fed despite longest government shutdown (>40 days); new use cases in modern apps and first AI use cases in government.
- EMEA government also strong due to data sovereignty concerns.
- Hardware demand strong now due to AI data delivery (high throughput) and security use cases; software trend expected over longer term for flexibility.
- Customers consolidating spend on F5 (replacing multiple point products) and benefiting from single-console experience (e.g., API discovery on BIG-IP).
Mgmt stance: Bullish—strong US Fed execution, unique platform convergence (hardware/software/SaaS/on-prem/cloud) driving growth in hybrid multi-cloud.