Benzinga | Jul 29, 2021 01:20PM EDT

NetScout Systems Misses On Q1 FY22 Earnings, Reaffirms FY21 Outlook

* NetScout Systems Inc (NASDAQ:NTCT) reported first-quarter FY22 revenue growth of 3.5% year-on-year to $190.3 million, missing the analyst consensus of $208.44 million.

* Product revenue rose 14.3% Y/Y to $81.95 million, and Service revenue declined 3.4% Y/Y to $108.3 million.

* Non-GAAP EBITDA margin remained consistent at 14.5%, while the Non-GAAP operating margin expanded 20 bps to 11.4%.

* Non-GAAP EPS of $0.20 missed the analyst consensus of $0.39.

* NetScout held $493.9 million in cash and equivalents.

* Robust Q1 product revenue growth in both the Service Assurance and Cybersecurity product lines drove the overall revenue increase and improved diluted EPS Y/Y, CEO Anil Singhal stated.

* Outlook: NetScout re-affirmed FY21 revenue guidance of $835 million - $865 million compared to the analyst consensus of $851.74 million. It sees non-GAAP EPSof $1.71 - $1.77 versus the analyst consensus of $1.74.

* Price action: NTCT shares traded higher by 1.35% at $29.37 on the last check Thursday.