LONDON, September 4, 2014 /PRNewswire/ --
Investor-Edge.com has issued free post-earnings review on Aruba Networks Inc. (NASDAQ: ARUN). The company featured in the headlines on Tuesday, August 26, 2014, after reporting its fourth quarter and full-year results for the period ended July 31, 2014. During Q4 FY14, Aruba Networks Inc. reported record revenue growth of 33% on a Y-o-Y basis, while its GAAP net loss narrowed by $0.10 per share from Q4 FY13. Our free coverage report can be accessed at:
www.investor-edge.com/register
Earnings Overview
Aruba Networks Inc.'s revenue for Q4 FY14 stood at $202.86 million, compared with $153.06 million in the year ago period. The company's GAAP net loss during the reported quarter narrowed to $4.09 million, or $0.04 per share, compared with a GAAP net loss of $15.58 million, or $0.14 per share, in Q4 FY13. Analysts from Bloomberg were expecting GAAP net loss of $3.12 million, or a loss of $0.02 per share, in the reported quarter. During Q4 FY14, Aruba's non-GAAP net income increased to $27.58 million, or $0.24 per diluted share, from $15.77 million, or $0.13 per diluted share, in the preceding year quarter. Further, the company achieved non-GAAP operating margin of 20.0% in Q4 FY14, compared to 14.7% in Q4 FY13. The free research on ARUN can be downloaded as in PDF format at:
www.Investor-Edge.com/ARUNFreeReport
For FY 2014, the company's revenue increased to $728.93 million, from $600.04 million in FY13. Analysts from Bloomberg anticipated revenue of $720.96 million for FY14. Aruba's GAAP net loss for FY14 stood at $28.97 million, or $0.27 per share, compared with a net loss of $31.61 million, or $0.28 per share, in FY13. The company's non-GAAP net income for FY14 increased to $90.6 million, or $0.77 per diluted share, compared with $79.2 million, or $0.64 per diluted share, in the preceding year.
Dominic Orr, Aruba's President and CEO, stated that the company has capped a year of significant progress across its key strategic and operational initiatives, and achieved significant market share gains, supported by the continued ramp up of its full line of 802.11ac access points as well as strong Instant and Clear Pass sales. Additionally, Mr. Orr stated that investments made in enhancing sales and channel capacities are driving additional operating leverage and providing a strong platform for future growth. Sign up and read the free analyst's notes on ARUN at:
www.Investor-Edge.com/ARUN-04092014
Further, Michael Galvin, Chief Financial Officer of Aruba Networks Inc. said that the company delivered record revenues both in Q4 2014 and FY14 and improved its non-GAAP operating margin by 530 basis points over the last four quarters. Based on the company's future strategic plans and its expectations of continued growth, Aruba Network has raised its FY15 non-GAAP operating margin target to 21% to 22%. It has also announced a strategic agreement with Juniper Networks Inc. to deliver open, converged wired and wireless network solutions based on best-of-breed technologies.
Stock Performance
On Wednesday, August 27, 2014, a day after the earnings release, on back of record revenue growth during the reported quarter, Aruba Networks Inc.'s stock surged 5.04%, to end the session at $21.26. The stock has remained fairly flat since then and on the last close, Wednesday, September 03, 2014, the stock finished at $21.12. The stock vacillated between $21.11 and $21.44 during the trading session. A total of 1.92 million shares were traded, which was above its three months average volume of 1.86 million shares. Over the last one month and from the beginning of 2014, the company's shares have gained 19.46% and 17.99%, respectively. However, the stock has declined 0.28% over the previous three trading sessions. Aruba Networks Inc.'s shares are trading above their 50-day and 200-day moving averages of $18.35 and $18.89, respectively. Furthermore, the stock has a Relative Strength Index (RSI) of 78.62.
Sneak Peek to Corporate Insider Trading
In the last one month, there were fifteen insider transactions made by four insiders. Between August 05 and August 12, 2014, Domonic Orr, President and CEO of Aruba Networks, bought a total of 200,000 shares, worth $450,000 at an average price of $2.25 per share, while he sold 205,000 shares worth $3,612,202.50, at an average price of $17.62 per share. Between August 19 and August 20, 2014, Mr. Keerti Malkote, Aruba's Founder and CTO, bought a total of 54,000 shares of Aruba worth $409,320, at an average price of $7.58 per share, while he sold the same number of shares for $10,83,300 at an average price of $20.06 per share. On August 28, Mr. Daniel J. Warmenhoven, Aruba's Lead Independent Director bought 5000 shares for $45,500 at 9.10 per share, while on the same day he sold 5000 shares for $105,457.00, at a price of $21.09 per share. In addition, on August 28, 2014 Mr. Micheal R. Kourey, Independent Director at Aruba, bought 3,125 shares for a total of $37,550, at an average price of $12.01, while he sold same number of shares for $65,950.90, at an average price of $21.10 per share. Complimentary in-depth research on ARUN is available at:
www.Investor-Edge.com/ARUNInsiderTrading
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