Akamai Reports First Quarter 2018 Financial Results
01/05/2018
Cambridge, MA | April 30, 2018
Akamai Technologies, Inc. (NASDAQ: AKAM), the worlds largest and most trusted cloud delivery platform, today reported financial results for the first quarter ended March 31, 2018.
We are very pleased with the results of our first quarter performance, which featured continued outstanding growth in our security business, substantial improvement in our media business, margin expansion and accelerated revenue growth overall. said Dr. Tom Leighton, Chief Executive Officer.
Akamai delivered the following financial results for the first quarter ended March 31, 2018.
Revenue: Revenue was $669 million, an 11% increase over first quarter 2017 revenue of $600 million and a 9% increase when adjusted for foreign exchange.*
Revenue by Division(1):
Web Division revenue was $353 million, up 16% year-over-year and up 13% when adjusted for foreign exchange*
Media and Carrier Division revenue was $316 million, up 6% year-over-year and up 4% when adjusted for foreign exchange*
Revenue from Cloud Security Solutions(2):
Cloud Security Solutions revenue was $149 million, up 36% year-over-year and up 32% when adjusted for foreign exchange*
Revenue from Internet Platform Customers(3):
Revenue from Internet Platform Customers was $44 million, down 14% year-over-year and when adjusted for foreign exchange*
Revenue excluding Internet Platform Customers was $624 million, up 14% year-over-year and up 11% when adjusted for foreign exchange*
Revenue by Geography:
U.S. revenue was $423 million, up 6% year-over-year
International revenue was $245 million, up 22% year-over-year and up 14% when adjusted for foreign exchange*
Income from operations: GAAP income from operations was $69 million, a 35% decrease from first quarter 2017. GAAP operating margin for the first quarter was 10%, down 8 percentage points from the same period last year. The first quarter of 2018 was impacted by a $15 million restructuring charge and $23 million for legal settlements and non-recurring professional advisory fees associated with a non-routine stockholder matter.
Non-GAAP income from operations* was $167 million, a 5% increase from fourth quarter 2017 and a 7% increase from first quarter 2017. Non-GAAP operating margin* for the first quarter was 25%, up 1 percentage point from the fourth quarter of 2017 due to operational efficiency improvements, but down 1 percentage point from the same period last year due to two acquisitions that were completed subsequent to the first quarter of 2017.
Net income: GAAP net income was $54 million, a 28% decrease from first quarter 2017. Non-GAAP net income* was $136 million, a 19% increase from first quarter 2017.
EPS: GAAP EPS was $0.31 per diluted share, a 28% decrease from first quarter 2017 and a 33% decrease when adjusted for foreign exchange.* Non-GAAP EPS was $0.79 per diluted share, a 22% increase from first quarter 2017 and a 17% increase when adjusted for foreign exchange.*
Adjusted EBITDA*: Adjusted EBITDA was $256 million, an 11% increase from first quarter 2017. Adjusted EBITDA margin* was 38%, flat compared to the first quarter of 2017.
Other first quarter 2018 results:
Cash from operations was $192 million, or 29% of revenue
Cash, cash equivalents and marketable securities was $1.3 billion as of March 31, 2018
The Company spent $20 million to repurchase 0.3 million shares of its common stock at an average price of $67.38 per share
The Company had approximately 171 million shares of common stock outstanding as of March 31, 2018
Adoption of new revenue recognition standard: Prior period results have been revised for the adoption of the new revenue recognition standard. Under this standard, the way revenue is recognized changed for some of Akamais customers and primarily impacts the revenue timing of a small number of licensed software customers. The way Akamai recognizes revenue for its core Web and Media products is substantially unchanged. Akamai will also begin capitalizing certain commission and incentive payments. The revisions as a result of the new standard did not have a material impact on Akamais annual revenue or results of operations, but did cause quarter-to-quarter fluctuations. For more information, see the posted revisions to the consolidated statements of income and other key disaggregated revenue amounts in the Investor Relations section of Akamais website at www.akamai.com.
* See Use of Non-GAAP Financial Measures below for definitions
(1) Revenue by Division - A customer-focused reporting view that reflects revenue from customers that are managed by the division. As of January 1, 2018, Akamai now reports its revenue in two divisions compared to the three divisions reported in 2017; the Media Division and Enterprise and Carrier Division were combined to form the new Media and Carrier Division. In addition, as the purchasing patterns and required account expertise of customers changes over time, Akamai may reassign a customers division from one to another. In 2018 Akamai reassigned some of its customers from the Media and Carrier Division to the Web Division and revised historical results in order to reflect the most recent categorization and to provide a comparable view for all periods presented.
(2) Revenue from Cloud Security Solutions - A product-focused reporting view that illustrates revenue from Cloud Security Solutions separately from all other solution categories. During 2018, Akamai updated its methodology for allocating revenue to specific solutions when solutions are sold as a bundle. During 2018, Akamai reassigned amounts from CDN a
LINK: | https://www.akamai.com/uk/en/about/news/press/2018-press/akamai-report... |
See more stories from akami |
Most recent headlines
04/08/2024
Dalet Appoints Santiago Solanas as CEO to Lead Next Era of Growth and Innovation
Dalet, a leading technology and service provider for media-rich organizations, is excited to announce Santiago Solanas as its new Chief Executive Officer (CEO)....
03/06/2024
Dalet and Veritone Reach Agreement to Distribute, Transact and Monetize Media Archives
Dalet, a leading technology and service provider for media-rich organizations, a...
08/05/2024
Actus Digital Set to Shine at CABSAT and Broadcast Asia
Following a successful NAB Las Vegas 2024 and winning a Best of Show Award, Actus Digital, a leading provider of Intelligent Monitoring Platforms, will bring it...
08/05/2024
TAG Revolutionizes Closed Captions and Subtitles Quality...
TAG Video Systems, a leading force in video monitoring solutions, has developed a new Language Detection feature set to transform how operators ensure quality a...
08/05/2024
Pliant Technologies Unveils New SmartBoom LITE Headset at...
Pliant Technologies, a leading provider of professional wireless intercom solutions,presents its new SmartBoom LITE Headset at InfoComm 2024 (Booth C5116). The ...
08/05/2024
Prism Sound Showcases High-Quality Audio Conversion at MP...
At the Media Production & Technology Show 2024, Prism Sound will showcase high-quality audio conversion products designed to suit the demands of professional us...
08/05/2024
Julian Day Joins FooEngine
Soho stalwart Julian Day has joined FooEngine as Business Development Director after 13 years at ZOO Digital. Julian has been at the heart of the London post pr...
08/05/2024
Cleanfeed Cinema Redefines Audio Post Production Workflow...
Following its successful launch at NAB 2024, Cleanfeed Cinema - the latest remote recording innovation from Emmy Award-winning Cleanfeed - is already helping au...
08/05/2024
DHD to Showcase New Product Line-up at MPTS 2024
DHD's range of digital broadcast equipment, systems and related software will be promoted on stand D22 at the Media Production & Technology Show by UK-regio...
08/05/2024
MSP CloudReso selects Cubbit hyper-resilient DS3 distribu...
Cubbit, the innovator behind Europe's first distributed cloud storage enabler, today announced that CloudReso, a France-based distributor of MSP security so...
08/05/2024
MwareTV boosts Americas presence with Daniel Conde Coto
MwareTV, a prominent cloud-based multi-tenant platform provider, has attracted Daniel Conde Coto to join the company as director, sales operations. This is a si...
08/05/2024
LiveU Demonstrates its Efficient IP-Video Workflows for L...
In a year set to see record-breaking IP-video adoption, with over 70 elections and global sports events, LiveU heads to Broadcast Asia 2024 with a focus on its ...
08/05/2024
nxtedition Showcases a Fully Automated AR Studio Gallery...
Pioneers in microservices-based production environments, nxtedition, will demonstrate the latest advances in storytelling technology at the Media Production & T...
08/05/2024
MPTS 2024 - Leader and PHABRIX to showcase multiple new T...
Test & measurement innovator, Leader Electronics of Europe, has announced that it will again exhibit at The Media Production & Technology Show (MPTS), which tak...
08/05/2024
Livepeer Studio cuts the cost of live streaming and trans...
Livepeer Studio unveils a revolutionary video streaming platform offering an unprecedented combination of quality and cost-efficiency to content creators, media...
08/05/2024
Ikegami to Demonstrate Complete Broadcast Media Productio...
Ikegami Electronics (Europe) will demonstrate a complete broadcast media production system on stand S1-A15 at CABSAT 2024 in Dubai, Tuesday May 21 through Thurs...
08/05/2024
Experience Commerce Bags Digital Agency Mandate for SAVSO...
Experience Commerce (EC), a leading digital agency within the Cheil Network, is pleased to announce that it has won the digital mandate for SAVSOL, the flagship...
08/05/2024
Global Telecom & Pay TV Services Market to Slowdown in 2024
NEEDHAM, Mass. The International Data Corporation is predicting that worldwide spending on telecom services and pay TV services will increase by 1.4% in 2024 to...
08/05/2024
Apple Unveils New iPad Live Multicam Production Studio
CUPERTINO, Calif. In a notable development for news and live video production, Apple has unveiled a number of significant upgrades to its Final Cut Pro software...
08/05/2024
Pliant Technologies to Showcase New Smartboom Lite Headset at InfoComm 2024
Pliant Technologies has announced that it will be presenting its new SmartBoom LITE Headset at InfoComm 2024 (Booth C5116). The latest updates include enhanceme...
08/05/2024
Tubi Launches 'Stubios' to Encourage Aspiring Filmmakers
SAN FRANCISCO Fox's ad-supported streaming service Tubi has launched Stubios, a fan-fueled studio for aspiring filmmakers and their fans that the company sa...
08/05/2024
Five More Stations Launch NextGen TV In San Antonio
SAN ANTONIO, Texas Five more stations have launched NextGen TV service, bringing to nine the number of local TV services on-air with ATSC 3.0....
08/05/2024
Tegna Names Greg Retsinas President & GM of KGW in Portland
TYSONS, Va. Tegna Inc. has announced that Greg Retsinas has been named president and general manager at KGW, Tegna's NBC affiliate serving the Portland area...
08/05/2024
Olivia Colman and John Lithgow Star in Sophie Hyde's New Project JIMPA
08 05 2024 - Media release Olivia Colman and John Lithgow Star in Sophie Hyde's New Project JIMPA Olivia Coleman and John Lithgow in JIMPA. Photo credit: ...
08/05/2024
OpenDrives Joins AWS Partner Network
OpenDrives Joins AWS Partner Network Brie Clayton May 7, 2024 0 Comments Atlas software-defined platform now available via AWS trusted partner network...
08/05/2024
Animate AI Matte Paintings in After Effects
Animate AI Matte Paintings in After Effects Graham Quince May 7, 2024 0 Comments Arguably the best video use for AI generated images is Matte Painting...
08/05/2024
Throw Expression in Adobe After Effects
Throw Expression in Adobe After Effects Andy Ford May 7, 2024 0 Comments The Throw expression is a time-saver in After Effects. It allows you to mov...
08/05/2024
Join FilmLight in Toronto: Baselight 6.1, Nara and more
Join FilmLight in Toronto: Baselight 6.1, Nara and more Brie Clayton May 7, 2024 0 Comments Thursday 30th May, from 2:30PM, Hosted by Alter Ego 488 ...
08/05/2024
Gray TV Reports $75 Million in Net Income for Second Quarter
Gray Television reported a first-quarter profit as advertising revenues rebounded to above pre-COVID-19 levels....
08/05/2024
Meghan Trainor, Bleachers, Chance the Rapper Lined Up for Today' Summer Concert Series
The Today show shared the performers on its summer concert series, which feature...
08/05/2024
Lewis Dodley, Spectrum News NY1 Anchor Since Its Launch, Sets Retirement
Lewis Dodley, longtime anchor for Spectrum News NY1, will retire at the end of May. He's been on the air at the Charter Communications-owned local news chan...
08/05/2024
Scripps Sets Studio Shows for Ion's WNBA Friday Nights
Scripps Sports said it plans to air a new studio show when a new season of WNBA Friday Night Spotlight starts May 24....
08/05/2024
NBCUniversal Will Pitch a Combination of Content, Tech in Upfront
Advertisers are looking to reach the right audiences and tell their stories inside compelling content, Karen Kovacs, president of client partnerships at NBCUniv...
08/05/2024
Doireann Garrihy to leave RT 2FM
RT has today announced that Doireann Garrihy has decided to leave RT 2FM after five years. Doireann will present her final 2FM Breakfast with Doireann, Donncha...
08/05/2024
NVIDIA CEO Jensen Huang to Deliver Keynote Ahead of COMPUTEX 2024
Amid an AI revolution sweeping through trillion-dollar industries worldwide, NVIDIA founder and CEO Jensen Huang will deliver a keynote address ahead of COMPUTE...
08/05/2024
AI Decoded: New DaVinci Resolve Tools Bring RTX-Accelerated Renaissance to Editors
AI tools accelerated by NVIDIA RTX have made it easier than ever to edit and wor...
08/05/2024
May 07, 2024
Professor emeritus John (Jack) Johnson elected to the National Academy of Sciences Johnson's multi-disciplinary research has been instrumental in shaping ou...
08/05/2024
zweiB updates to latest version of R&SCLIPSTER
zweiB updates to latest version of R&S CLIPSTER Specialist in deliverables for cinema, events and trade shows Rohde & Schwarz, a global leader in broadcast...
07/05/2024
NAB Show 2024
NAB Show 2024 Utah Scientific rocked the 2024 NAB Show in Las Vegas, unveiling two new game-changers in video signal management. Our primary focus this yea...
07/05/2024
Paul Whitehouse takes viewers through The Sketch Show Years in new 4-part series on Gold
7th May 2024 The nations favourite comedy channel Gold has teamed up with the ma...
07/05/2024
Your Guide to Having a Jam-Packed Sundance Institute Summer
There's something special about summer. We're not sure whether it's the warmer weather, the longer days, or something else a bit more magical, but s...
07/05/2024
NITV appoints Michael Rennie as Presenter and Senior Producer for NITV News
NITV appoints Michael Rennie as Presenter and Senior Producer for NITV News Media releases NITV has announced the appointment of Michael Rennie as Presenter...
07/05/2024
Network flexibility: A Vital Consideration for SATCOM Resiliency
The ability for line-of-site tactical voice and data networks to seamlessly traverse over Satellite Communications is an emerging requirement to assure warfight...
07/05/2024
L3Harris Avionics Repair Station Becomes the First in U.S. to Be Awarded European Military Airworthiness Certification
On April 5, 2024, the L3Harris Avionics Products Repair Station (NN2R037L) in Gr...
07/05/2024
Clear-Com Celebrates Theatre Triumphs in Light of 2024 Tony Award Nominations
eds3_5_jq(document).ready(function($) { $(#eds_sliderM519).chameleonSlider_2_1({ content_source:......
07/05/2024
macOS Ventura Compatible
Share this article width=32 height=32 loading=lazy data-lazy-src=https://apogeedigital.com/app/themes/juniper-theme/src/img/icons/facebook-purple.svg /> wid...
07/05/2024
Disney Streaming DTC Operations Produce Their First Profits
BURBANK, Calif. The Walt Disney Company has finally delivered some from profits from its hefty streaming investments, with the second quarter of its fiscal year...
07/05/2024
Bonnie Hammer, Jen Psaki Share Books and Workplace Lessons at 92nd Street Y
Bonnie Hammer, vice chair of NBCUniversal, and Jen Psaki, MSNBC host, read from their new books at the 92nd Street Y in Manhattan Wednesday, May 8. Hammer's...
07/05/2024
Paramount Plus Orders Tracy Morgan Comedy Set in World of The Neighborhood'
Paramount Plus has ordered the series Crutch, a comedy that is a spinoff of CBS comedy The Neighborhood. Tracy Morgan stars....