A10 Networks, Inc. reported significant financial performance improvements for the three and nine months ended September 30, 2024, compared to the same periods in 2023. The company achieved net revenue of $66.7 million for the third quarter, marking a 15.5% increase from $57.8 million in the prior year. For the nine-month period, total revenue rose to $187.5 million, a 3.4% increase from $181.3 million.

The growth in revenue was driven by a 22% increase in product revenue, which reached $36.9 million, and a 9% rise in services revenue, totaling $29.9 million for the third quarter. Notably, revenue from service providers surged to $36.7 million, up from $28.7 million in the same quarter of 2023. The Americas region contributed significantly, accounting for 51% of total revenue, with a 33% increase compared to the previous year.

Gross profit for the third quarter was $53.7 million, reflecting a gross margin of 80.5%, slightly down from 80.9% in the prior year. The company reported a substantial increase in income from operations, which rose to $10.4 million from $2.2 million, representing a 372.7% increase. Net income for the third quarter was $12.6 million, nearly doubling from $6.5 million in the same period last year.

For the nine months ended September 30, 2024, net income reached $31.8 million, a 44.4% increase from $22.1 million in 2023. Basic net income per share for the third quarter was $0.17, up from $0.09, while diluted earnings per share also increased to $0.17 from $0.09.

On the balance sheet, total current assets increased to $283.8 million, up from $271.8 million at the end of 2023. Cash and cash equivalents decreased to $78.1 million, down from $97.2 million, while marketable securities rose significantly to $104.0 million from $62.1 million. Total assets increased to $407.7 million, and stockholders' equity grew to $217.3 million.

In terms of operational expenses, A10 Networks reported a decrease in sales and marketing expenses by 1.5% for the third quarter, attributed to reduced personnel costs. Research and development expenses decreased by 10.5% for the same period, while general and administrative expenses increased by 15.7%.

The company also announced a new stock repurchase program on November 7, 2024, authorizing the repurchase of up to $50 million of its common stock. This follows a previous program under which the company repurchased 1.8 million shares for $24.6 million during the nine months ended September 30, 2024.