Juniper Networks (NYSE:JNPR) shares fell more than 5% after-hours following the preliminary Q1 earnings announcement, with EPS of $0.48 and revenue of $1.37 billion (up 17% year-over-year) coming in above the consensus estimates of $0.43 and $1.34B, but the company mentioning that ongoing supply chain challenges push costs higher.
A global scarcity of specific components is affecting numerous industries. The company, similar to others, is facing persistent supply chain difficulties. Although there have been some improvements in the past quarter, management said that extended lead times and increased logistics and component costs persist.
The company expects Q2/23 EPS in the range of $0.49-$0.59, compared to the consensus of $0.53, and revenue in the range of $1.36-1.46B, compared to the consensus of $1.4B.
“Despite market uncertainties, I remain confident in our strategy and our ability to deliver another year of healthy revenue growth based on the momentum we are seeing with our customers, the continued strength of our backlog, and the improvements we are seeing with respect to supply,” said Juniper’s CEO, Rami Rahim.