Continued revenue growth and signing of new security deals
Hod Hasharon, Israel – August 10, 2021 – Allot Ltd. (NASDAQ: ALLT, TASE: ALLT), a leading global provider of innovative network intelligence and security solutions for service providers and enterprises worldwide, today announced its unaudited results for the second quarter of 2021, ended June 30, 2021.
Second Quarter 2021 Highlights
- Revenue growth of 8% YoY to $35.3 million
- Operating loss and net loss reduced by almost 40% YoY
- Cash and equivalents increased to $6 million
- 5G NetProtect product gaining momentum with another win with a Tier-1 in APAC
- Signed additional SECaaS contracts with multiple operators in APAC, EMEA and Latam
- Signed a SECaaS deal with a Tier-1 Communications Group with operating units in the EU and North America
- Management continues to expect:
- 2021 revenues to grow to between $145-150 million;
- Recurring security deals to be closed in 2021 with an MAR* of at least $180 million;
- Recurring security revenues in 2021 of around $5 million and approximately $25 million in 2022;
Erez Antebi, President & CEO of Allot, commented: “We are very pleased with our performance in the second quarter and are confident we are on our way to achieve the goals we set for 2021. The revolution of shifting cybersecurity responsibility from the individual to the CSP is growing worldwide and gaining momentum. This is evidenced by growth in several directions: In the number of CSPs that are engaging with us; in the number of operators that contract with us; and in the number of consumers signing up for cybersecurity protection once the operator launches the service. I am very proud that Allot is the technology company leading this revolution.”
Q2 2021 Financial Results Summary
Total revenues for the second quarter of 2021 were $35.3 million, an increase of 8% compared to $32.8 million in the second quarter of 2020.
Gross profit on a GAAP basis for the second quarter of 2021 was $24.5 million (gross margin of 69%), compared with $23.0 million (gross margin of 70%) in the second quarter of 2020.
Gross profit on a non-GAAP basis for the second quarter of 2021 was $24.8 million (gross margin of 70.2%), compared with $23.2 million (gross margin of 70.7%) in the second quarter of 2020.
Net loss on a GAAP basis for the second quarter of 2021 was $4.0 million, or $0.11 loss per basic share, compared with a net loss of $3.6 million, or $0.10 loss per basic share, in the second quarter of 2020.
Net loss on a non-GAAP basis for the second quarter of 2021 was $1.5 million, or $0.04 loss per basic share compared with a non-GAAP net loss of $2.4 million, or $0.07 loss per basic share, in the second quarter of 2020.
Cash and investments as of June 30, 2021 totaled $105.6 million, compared with $99.4 million, as of December 31, 2020.
Conference Call & Webcast
The Allot management team will host a conference call to discuss the second quarter results today, August 10, 2021 at 8:30 am ET, 3:30 pm Israel time.
To access the conference call, please dial one of the following numbers:
US: 1-888-668-5032, Israel: +972-3-918-0609, UK: 0 800 917 5108
A live webcast and, following the end of the call, an archive of the conference call, will be accessible on the Allot website at: http://investors.allot.com/index.cfm
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*MAR (maximum annual revenue potential of concluded transactions) was estimated by Allot upon transaction signature and constitutes an approximation of the theoretical annual revenues Allot would receive if 100% of the customer’s subscribers, as estimated by Allot, signed up for the service.