* Q1 revenue $85.9 mln versus Street view of $83.7 mln
* Q1 EPS of 4 cents versus estimates of 3 cents
* Shares down 2.5 pct in after-hours trading
Dec 6 Security software maker Palo Alto Networks
, which went public in July, reported a 50 percent rise
in first-quarter revenue, beating Wall Street expectations, on
the back of continued demand for security software.
Palo Alto Networks, which sells firewalls that prevent data
breaches and block malware and viruses, said on Thursday that
revenue was $85.9 million in the quarter, which ended Oct 31.
It said net income was $2.6 million, or 4 cents per share.
Analysts, on average, had expected the company to report
earnings per share of 3 cents on revenue of $83.7 million.
Shares of Palo Alto Networks nevertheless fell 2.5 percent
in after-hours trading to $50, following its $51.30 close in
regular trading on Thursday.
Technology analyst Dan Ives of FBR Capital Markets said that
the company showed strong growth amid a tough macro and
competitive environment even if growth was slower than some may
have hoped for.
"At the end of the day it was a good quarter relative to a
tough macro environment," Ives said, adding that "even though
they beat expectations" growth was slower due to increased
"Investors may be a little spoiled due to growth in the
past, Ives added.
Revenue in the previous quarter jumped 88 percent and in the
entire fiscal year 2012, Palo Alto's revenue grew more than 115
percent to $225.1 million.