Benzinga | Jul 28, 2021 07:19AM EDT

Radware Beats On Q2 Earnings, Posts Resilient Margins

* Radware Ltd (NASDAQ:RDWR) reported second-quarter FY21 revenue growth of 19% year-on-year to $69.7 million, surpassing the analyst consensus of $66.1 million.

* Application security and cloud solutions drove the numbers, CEO Roy Zisapel stated. The company delivered record revenue and double-digit growth in revenue and EPS and tripled new customer bookings.

* Revenue in the Americas region rose 2% Y/Y to $28.1 million, Europe, Middle East, and Africa (EMEA) region increased 36% Y/Y to $24 million, and Asia-Pacific (APAC) region grew 32% Y/Y to $17.6 million.

* The gross margin contracted 36 basis points to 81.6% but recorded a positive operating margin of 7% compared to a negative margin a year ago.

* Non-GAAP EPS of $0.19 beat the analyst consensus of $0.15.

* Radware generated $8.8 million in operating cash flow and held $440.2 million in cash and equivalents.

* The momentum continues to be strong across business lines and geographies. The market provides many opportunities as enterprises are accelerating their digital transformation and experiencing more cyberattacks than ever, Zisapel added.

* Price action: RDWR shares closed lower by 1.58% at $30.54 on Tuesday.