(Reuters) – Juniper Networks topped analysts’ estimates for preliminary fourth-quarter revenue and profit on Tuesday, helped by steady demand for its networking gear amid the artificial intelligence boom.
The Sunnyvale, California-based company provides technology that is used to optimize data traffic across large-scale networks such as those used by cloud and internet service providers.
Cloud computing firms have been investing billions to optimize their data center infrastructure, aiding demand for networking solutions offered by companies such as Juniper.
For the fourth quarter, the company expects to report revenue of $1.4 billion, compared with the average analyst estimate of $1.39 billion, according to data compiled by LSEG.
On an adjusted basis, it expects to earn 64 cents per share, compared with 61 cents a year earlier and estimates of 58 cents.
Last week, the U.S. Department of Justice sued to block Hewlett Packard Enterprise’s $14 billion deal to acquire Juniper, arguing that it would stifle competition.
The server maker said last year it would buy Juniper in an all-cash deal as it looks to spruce up its AI offerings.
(Reporting by Priyanka.G and Akash Sriram in Bengaluru; Editing by Shilpi Majumdar and Shounak Dasgupta)
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