A10 Networks stock is up 30% on Friday: what happened?

Shares of A10 Networks Inc (NYSE: ATEN) were up 30% on Friday after reporting market-beating results for its fiscal third quarter. The stock got a further push up as the Board authorised a $100 million share repurchase programme.

Q3 financial performance

A10 Networks said its per-share earnings adjusted for one-time items printed at 17 cents in Q3 that handily beat estimates of 14 cents a share. The California-based firm generated $65.36 million in revenue, also ahead of analysts’ expectations.

On a year-over-year basis, A10’s earnings and revenue were up 31% and 15%, respectively.

In its earnings press release, A10 said sales of its security products in the recent quarter jumped 18%. Its business in the Americas was up 47%, thanks to favourable market conditions and improved commercial execution.

Cash stature, dividend, and future outlook

A10 valued its cash and equivalents as of the end of the third quarter at $20.6 million – a 12.4% increase from last year. The NYSE-listed firm declared a quarterly dividend of 5 cents a share on Friday.

For the fiscal fourth quarter, A10 forecasts a 10% annualised growth in revenue. Commenting on the financial results, CEO Dhrupad Trivedi said: