Fortinet (FTNT) 10-K Summary — Year Ended Dec 31, 2023
Fortinet reported higher revenue and positive operating income for the most recent fiscal year. The company's liquidity is supported by a growing deferred revenue balance, which reflects future revenue commitments.
Key takeaway
Year ended Dec 31, 2023 · FY2025 10-K
Fortinet reported higher revenue and positive operating income for the most recent fiscal year. The company's liquidity is supported by a growing deferred revenue balance, which reflects future revenue commitments.
Financial snapshot
Selected annual figures reported with the filing, shown separately from the narrative summary.
Annual revenue
$5.3B
Revenue reported for the fiscal year.
Operating income
$1.2B
Income from operations reported for the year.
Net income
$1.1B
Net income reported for the year.
Operating cash flow
$1.9B
Cash generated by operating activities.
Annual revenue trend
Reported annual revenue and its change from the preceding fiscal year.
| Period ended | Revenue | Year-over-year change |
|---|---|---|
| Dec 31, 2021 | $3.3B | n/a |
| Dec 31, 2022 | $4.4B | +32.2% |
| Dec 31, 2023 | $5.3B | +20.1% |
Business overview
Based on the supplied filing context, the company provides cybersecurity subscriptions under the FortiGuard brand and technical support services under the FortiCare brand. The business model relies on service contracts that are recognized as revenue over time.
Financial performance
Revenue increased compared to the prior year, and operating income as well as net income were positive. Operating cash flow remained strong, and the non-GAAP measure of free cash flow also showed a year-over-year improvement.
Material risks
The supplied filing context does not include detailed descriptions of risk factors. Only a reference to Item 1A. Risk Factors is provided, without the actual text.
Liquidity and capital
The company monitors deferred revenue, billings, and free cash flow as key liquidity indicators. Deferred revenue, which grew substantially, represents a significant portion of future revenue and cash flow.
What to watch
Monitor the change in deferred revenue, as it is a leading indicator of future revenue recognition and cash generation.