Overview
- F5 reported second‑quarter revenue of $812 million, up 11% year over year, and raised its full‑year growth outlook to 7%–8%.
- Product sales rose 22% with systems up 26% and software up 17%, while services grew 2%, showing a product‑led rebound.
- Non‑GAAP EPS increased 14% to $3.90 and free cash flow reached a record $348 million, supporting a plan to repurchase at least 50% of free cash flow.
- Executives pointed to growing wins in application and API security tied to AI projects, and analysts asked about ongoing talks with Nvidia that management did not update.
- Leaders warned that higher component and memory costs will weigh on gross margins into the fourth quarter and could persist through much of fiscal 2027.