Fortinet (FTNT) revenue in the third quarter of fiscal year 2026 was 2.08 billion USD (+20.5% y/y), and earnings per share (GAAP) increased to 0.86 USD (+38.7% y/y).

Quarterly results#

Operating income reached 704.30 million USD (+28.7% y/y), with net income amounting to 635.50 million USD (+34.1% y/y). Broken down by segments, Product segment revenue was 765.00 million USD (+36.8% y/y), while the Service segment generated 1.31 billion USD (+12.7% y/y). Earnings per share (GAAP, basic) was 0.87 USD (+38.1% y/y), while earnings per share (adjusted) fell to 0.05 USD (−58.3% y/y).

What management says#

Management emphasized that network security is a key element of AI protection, enabling better insight into traffic generated by these technologies. According to management, demand remains solid, and increasing threats are motivating customers to modernize security. Management indicated that the company does not see a slowdown in demand, although it notes lengthening delivery times. According to management, in the second half of the year, rising costs affected product margins, while service margins grew significantly. Management noted that customers deploying infrastructure do not always want to pay for services immediately, which represents only a shift in the timing of revenue recognition. According to management, more and more companies are launching their own open AI models, which increases the demand for their monitoring and securing.