Juniper CEO Johnson Out Amid Q2 Earnings

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Johnson's departure does fall at a time when Juniper seems to be regaining some ground financially. Juniper's second-quarter results beat analyst expectations, while results from Juniper's past two fiscal quarters also showed continued signs of stability.

In addition to revenue of $1.15 billion, Juniper in the second quarter saw a net income of $97.9 million, up from the $57.7 million it reported in the second quarter of 2012.

Revenue for Juniper's Platform Systems Division Segment, which houses its core switching and routing businesses, was also up year-over-year, pulling in $916 million compared to the $810.2 million in revenue it reported for the same period last year.

Juniper's Software Solutions Division, home to its SSD and security products, including its SRX line of services gateways, did, however, see a slip year-over-year. Revenue, Juniper said, was $243.7 million, down from $263.6 million last year.

Juniper's service provider business remained its sweet spot, accounting for $726 million of its total $1.15 billion in revenue. Second-quarter revenue for its enterprise business, Juniper said, was $424.7 million. Both service provider and enterprise were up compared to the second quarter of 2012, when they pulled in $681 million and $392.8 million in revenue, respectively.

Still, Juniper is catching its breath after a challenging couple of years. In October 2012, the company shed roughly 500 jobs as part of a broader restructuring initiative, adding to the several hundred jobs it already eliminated in 2011. Currently, the Sunnyvale-based company not only faces continued competition from Cisco, but from a growing sea of SDN-focused startups, including the likes of Big Switch Networks and Nicira, the SDN company VMware acquired for $1.2 billion last year.

During the earnings call, Johnson said Juniper saw "strong demand" for both its QFabric and EX9200 Ethernet Series switches. Looking ahead, Juniper said it expects its revenue next quarter to fall between $1.14 billion and $1.18 billion, driven by strong service provider demand and the continued stabilization of its security business.


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