EXTR - Earnings call transcript Q4 2019

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Operator

Good day, ladies and gentlemen and welcome to the Extreme Networks Q4 FY '19 Financial Results Call. At this time, all participants are in a listen-only mode. Later, we will conduct a question-and-answer session and instructions will be given at that time. [Operator Instructions] As a reminder, this call is being recorded.

I would now like to turn the call over to Stan Kovler, Head of Investor Relations.

begin. may You

Stan Kovler

are Welcome XXXX Operator. Director Extreme fourth Rémi me Networks Investor Ed and Thank and Meyercord; conference to call. fiscal CFO, today With Development. earnings and Executive Networks' I'm quarter President Relations CEO, you, Thomas. Strategic the Extreme Stan of Kovler,

and We XXXX financial release X-K Extreme filed distributed just press Networks' detailing results. an a fourth fiscal quarter

QX includes a our our our of Relations release, results 'XX GAAP fiscal non-GAAP convenience, the Investor copy your both which For Web are and to reconciliations year the extremenetworks.com. available financial presentation press site in at of section

and as operations, risk from we our those forward-looking on to reflect they involve these like SEC. materially changes to reports chain, required with supply in impact Extreme would you discussion future by transformation no described to may of during duty forward-looking analysis the acquisition law. and put the this by uncertainties results update actual of caution risks or them made forward-looking filed as our to Any We tariffs, remind digital statements I in not products, statements today's anticipated of reliance and Networks' call, differ to our results, our Aerohive undue pricing, factors today, statements cause you can as have call that that plans these initiatives. except operational Networks, business, as our about statements financial, pending include technologies, on acquired

CEO, to Networks and Meyercord. the Ed over call Now, turn Extreme I will President

Ed Meyercord

high-end high-end and $XXX ahead above history, the of to million We're announced goal Today, per our over inching joining for non-GAAP at gross closer guidance XX% our margin our share and guidance us revenue earnings at of $X.XX of QX of range. closer to of $XXX XX% our million. you morning. million you, Thank thank expectations, Stan, results the at our and we range $XXX of all this

year 'XX, in headwinds heading revenue, improved gross our fiscal improve by margin action tariffs, fiscal into achieved our structure For we to $X our billion taking from despite off 'XX. finished and cost

cash August team year team We're also a 'XX, $XX the acquisition million software $XX in sight the our flow cash with ended after million shortly approvals, of in ground currently already from We our track down line management antitrust $XXX is debt of clear which leadership transaction see of on tender to million DevOps towards with our and and under received balance. generated Cloud X. Aerohive and hit paid with having on combine Aerohive reorganized U.S. pending engineering German free closing set to to the offer, new We expire fiscal running.

bring to velocity. management network to Our pitcher intent cloud is our accelerate and portfolio Enterprise of to switching, software Wi-Fi, entire

We this trend of QX We're are confidence our see products opportunities had XXX with the large based software-driven exiting are larger more up XX our solutions continuing, Extreme marketplace. services. fiscal million of customers winning that from and the more, closed XX in year, the in than we over deals knowledge million 'XX QX. these deals worth $X alone, we In and on winning of investing Last $X growth and pipeline. or in

to performance drove ramp to Smart product In the months. continue and success over QX, our OmniEdge cycle XX our will Solutions nine that early of highlighted next

X% quarter-over-quarter. Our and year-over-year, bookings XX% grew product total Smart OmniEdge

Extended new education, XXXX success along and Switch with hospitality government, in Edge the our we Cloud wins Wi-Fi Specifically, saw appliance and in Extreme software. Switching leading X associated retail, with way healthcare,

as year-over-year solutions XX/XXX the the products that Campus We our also released double-digit XX/XX drove Americas. several Automated new in such in growth and portfolio,

from and customers the to SLX BDX XXXX SLX Our MLX platform border and and momentum, continue to strong from Agile solution benefit platforms. our business routing Data the Center migrating

our difficult but rate segments, at outside we high-end was finished this the business. QX of to of service a year a OEM the of our and federal run million revenue for previously-guided quarter provider $XXX million in comparison $XXX

software grew up a XX% and in business X% million a row, quarter-over-quarter. $X.XX year-over-year, for Our

We all doubled received pillars XX%, by Last participated sessions technical Connect their overwhelmingly Nashville, increased in spending who in their in customers for investments XX% with Extreme who in conference year-over-year. year, our positive the Conference solutions, where those over feedback by at our May attendance User year-over-year. and increased attended Extreme

vertical validating of In lots 'XX experienced verticals. retail, going and seeing a education on acquisitions. acquisition picked strategic and of lots we ago of fiscal Zebra now strong vertical standpoint, are years large rebound opportunities embracing in we government in switching up switching, a our close three to healthcare into from biggest are now From success and we've the wireless-only the rationale portfolio. the The our focused were the that customers are

based into expect wins on strong 'XX. in in e-rate our vertical fiscal through continue coming ed and Heading growth we 'XX, higher education fiscal to to see

XX% offset logo additions comparison quarter of revenue deals. Germany year-over-year year-over-year grew lumpy Our of on strong new while approximately In as stability times grew and e-rate in higher three XX% Southern EMEA, e-rate by bookings XX% in drove strongly. APJC growth average wireless. and of such growth were service and also while margins, business ed quarter-over-quarter, a revenue outside above Europe corporate challenges fell in tough

enterprise diversifying such our made regions in Japan, business our expanding we as outside However, of traditional datacenter customer in base. by progress customers

the of U.S. are to XX% and U.S. for manufacturing track. mitigation countries on in move plans tariff Our other bound Today, compliant TAA we Taiwan our product the products for

XX% percentage tariffs higher to greater that gross are the X% than estimate to X costs quarter. than point the following in Our margin from in increase Taiwan XX% a a headwind at China. We X% to standard

in next to TAA We expect point our compliant owing a XX decrease our basis to move countries. quarter impact tariff

a I'd like wins few in on press highlighted release. we customer our to elaborate

refreshes deals won of two SLED educations on $XX team these won SLED solutions and business government our We QX across and State, technology Local in million U.S. the data with drove way with wireless head-to-head end-to-end top solutions competition campus Our and We in HPE. with the and campus these led both core in top. pillars vertical with in Cisco is XMC and center which switching integrated Education riding alone.

Beckett campus University, configuration run extreme pane over XX Smart across sports network and automatic center The of university our where Fabric X network enabled with top points. single automated Leeds management the access UK XX,XXX Extreme new our upgrading buildings across the is featuring will solutions Extreme's Wi-Fi and networks. campus application provide management glass new a staff its Connect two serving the of OmniEdge in students X,XXX facilities

media Houston stadium. National the and experiences Soccer Software. will and and X an ticketing fans Houston fans to professional Wi-Fi League Soccer closer and solution ExtremeAnalytics be Dash, social will ExtremeMobility featuring provide their League that fans Extreme connectivity even improved connectivity Center by density selected also new Wi-Fi and Dynamo home were today access order the points, includes BBVA for field. mobile The to enable grade engage virtual Major able concessions in will and field Women's We to wirelessly high soon augmented Management bring reality network This food from the

board. automation our digital transformation we and as the initiatives own operations increasing across far productivity are concerned, and our As are

online our full coding tools, new for channel May came solutions by self-serviced and catalog Our like partners. in configuration

our the selling we're business the more half two our the next up now auto-approved approvals of two QX, driving have and our remaining in we of form putting times cut transactions. down time QX. XX% within drive frictionless three they from of transactions to on over processing This time in were our of quarters quarters. Nearly Net-net are discount and the nearly expect so into transactions XX% means field touchless focus productivity. in can We back

our will learning in we to partners accelerates million customers. capabilities. enterprise. of restructuring produce of The largely fiscal in advanced technology $XX cloud applications customers, Extreme has the QX more Aerohive acquisition. to end strategy aligning cost the are This platforms in accommodate with artificial Wi-Fi serve The interested intelligence IT our of a micro our cloud-managed our to that with in cost program teams field OpEx. built services make machine We and and expect and merger annualized who cloud-managed significant adding leader $XX million our initiated the and acquisition a structure We're enthusiasm Aerohive savings of at to upgrading

ML technology today. We this AI who platform to across and also honed leverage Aerohive's a use XX,XXX customers aim of user base

and that to EMEA the fiscal fiscal low in grow continue adding ahead, our forecast $X and billion in Looking conservatism target we're QX to customers revenue OmniEdge our is Smart challenging the we single-digits see in over to trends outlook and core new typical both to macroeconomic account continue results. margin. in to and to overlapping of from in gross for seasonality XX% we Extreme 'XX With Also for our partner Aerohive. portfolio products cloud-managed Wi-Fi in Wi-Fi evaluation

productivity And given pave margin for operating their the acquisition run combination in we margins growth revenue low mid transformation and gross a investments exiting the will made will gains gross believe XX% target growth, our the operating and 'XX. have and us rate. the Aerohive efficiencies allows The margins of operating way accelerate increased digital We XX% efficiency. to to fiscal boost teens

our debt next move to ability $X that I'm as to $XXX efficiency forward, in team we I enter gross Aerohive. we $XXX net just in with improve pending corporate the our cash, sheet operational million with debt in of chapter million. a want our and balance also of strong acquisition remains Extreme confident note the and execution the of from million transformation in especially as

our call CFO, With that, the Thomas. to I will over turn Rémi

Rémi Thomas

Thanks, Ed.

declined earnings Ed expenses. our benefited expected at range grew end of X% towards our high and the XX.X% share of million, the high-end the quarter-over-quarter our $X.XX was the of $XXX.X high-end came than and by revenues above operating higher non-GAAP guidance As our X% EPS offset and range. from noted, year-over-year of of margin per gross in

X% Our XX% $XXX.X and was quarter-over-quarter. down just year-over-year product revenue million of declined

quarter-over-quarter ratio Our flat and with X.X, XX% to up product year-over-year. was book-to-bill close bookings

but comparisons year-over-year Smart deferred difficult in year-over-year certain growth and verticals, from revenue and year-over-year revenue XX% add-backs recovered acquisitions. Our the logistics. by was largely still driven as prior $X.X while year-over-year business OmniEdge business wireless quarter-over-quarter. quarter-over-quarter face million transportation, grew Services sequentially, our retail, The X% such switching of grew

over basis, impact in several positive quarters. like-for-like continued year-over-year, multi-year X.X% revenue reflecting grew the services a seen past of On bookings we've the growth

and new year-over-year and X% bookings with attached. strength renewals grew in service quarter-over-quarter XX% services Our

During the X%. to APAC EMEA the XX% revenue, contributed total XX% closed and quarter, the Americas remaining out

and was sub-segments. in at year-over-year a the across and top with K-XX the U.S. state, performing add E-rates government healthy a strength including bookings strong our was second higher Government local education Globally, and a close XX% year-over-year internationally. both XXX% quarter-over-quarter grew and on XX% federal vertical of and each

followed manufacturing by in the The the next XXX sequential XX.X% to largest to XX.X% XXX strong was product to and year grew gross verticals The compared is margin round were XX.X%. healthcare, and quarter-over-quarter to out point ago services retail QX. basis point improvement gross recovering in XX.X% also quarter extent Non-GAAP XX.X% a quarter-to-quarter margin and XXX-basis a which five. to year-over-year top gross increasing to lesser the margin attributable

We to consistent the with and our estimate XXX tariffs. can points total that XXX-basis impact impact and gross mix improvements offset lower of product the pricing of better QX due in to refresh product sequential margin shift and basis positive U.S. estimate the margin savings, be impact a of adverse entering procurement an to The standard had margin point gross attributed product quarter. on in to tariffs by our our cost the company gross

quarters higher million new expense was ago The to sales our was QX non-GAAP A to expect Higher kept of the quarter next operating G&A marketing million planned $XXX.X expenses $XXX.X mainly and and million non-GAAP expenses operating at R&D $XXX.X work increase commissions with up in in sales we were QX. and the the in to from quarter. from U.S. one two check. sequential We higher to release product in expenses restructuring in on in due introductions expense ahead mainly due of year

in X.X% result, year of X.X% a margin the to As in ago quarter operating compares QX. and our X.X%

the OpEx we quarter in of cost through course that savings restructuring of a the will step P&L for XXXX our up most reminder, announced margin fiscal year. the operating As second-half to with to the over run flow related of a a

and from $X.X ago in from quarter. Free cash million QX grew million just $XX.X the in of flow year million $XX.X

million in XXXX, fiscal cash outflow in flow free generated of For million the versus $XX.X XXXX. $XX we of total fiscal

basis, X the cash QX the days total of On the sequential quarter-over-quarter. $XXX.X balance was lower. grew Our QX. of fell X days strong a from million, XX up at million end end and DSO DSO $XXX.X days, of collections year-over-year at drove

marginally at QX. ago, but to only cash days from days stood Our year compared a up cycle conversion XX XX days in XX

we're gross mainly margin fiscal in the will of basis to manufacturing points margin Taiwan. QX, OmniEdge overall and to continued extreme typical $XXX range that adding Ed With GAAP our $XXX to of guidance, XX.X%. XX for mentioned, account in to revenue to to to trends XX.X% we our QX. overlapping range as in of forecast turning to to on XX.X% for gross QX Wi-Fi margin million. expect transition EMEA Smart in estimate be about and Now, portfolio, our macroeconomic range standalone fiscal conservatism million in our mind QX that the total the is seasonality non-GAAP in be anticipated impact tariffs the products of of We to have an related in XX.X% challenging gross

refine QX expected $XXX.X million position QX. basis. loss the the million million acquisition be be We're the a to million integration on OpEx our QX and result evaluating earnings to the in $XX.X a basis or Aerohive actions we'll decrease following restructuring The the better expected OpEx net to sales still $XX.X commission are of sequential share. to of a of costs of $XXX in end post-closing. to million of to $X.XX GAAP a estimates primarily per $X.XX of of range and million are expenses GAAP at impact savings operating related taken the of lower a a be in to loss as those pending in to on and $XXX.X range $XXX.X non-GAAP is

to share. income per in is Non-GAAP net the to $X.XX $X expected range to $X.XX million million be of diluted or $X.X

both close Aerohive with the basis GAAP Networks' operating revenue million and resulting mid-quarter on a assume non-GAAP and in from operating a margin million We loss GAAP will XX.X% non-GAAP the non-GAAP a be gross operating Assuming margin XX.X% a a Aerohive expenses GAAP operating contribution acquisition we to million Aerohive. expense for $XX.X XX.X% assume $XX be and will $XX margin. loss

With $X Extreme contribution for share this a basis, incremental any earnings. shares repurchase. per non-GAAP expense of loss $X.XX a the results $XXX.X to the In basis average we $XXX.X impact of excluding may per and on and million to approximately of a past a interest GAAP in million expect loss share QX, year, we of GAAP outstanding be contribution on shares non-GAAP million $X.XX

I will to that, over to now question-and-answer session. turn the Operator With the it begin

Operator

[Operator Instructions] Our first question comes from Eric Martinuzzi of Lake Street.

open. Your line is

Eric Martinuzzi

was close? what taken but are I and curious the post or thus know to as you're get if here far addition any Yes. obviously have to got of disruption you Aerohive plans the locked what some at your with loaded as plan the product, looking that are educating you've far channel, steps

Ed Meyercord

job So, work pretty roadmap what nice our as we're of a the that. now with is teams doing product there's are a far as right -- going and lot I think going forward doing on

things As is done reorganized. we've I mentioned, we've that one of the

So, the some the normally and same process product this we're then expect a Aerohive under then situation, bit we clear to in new do leadership we're roadmap. team quarter, business very then, from group DevOps to we'll forward, -- will would under and in a evaluate Cloud of engineering And go in your we say, we put sort mapping but that to going team as and providing pause particularly new usual, of be as people let's guidance. this moving technologies. that out is the What software

as field on We Aerohive partners the are enabling both as well our our platform.

we switching the enabling portfolio. initiative, field educating and and Aerohive the So, same our and that be there on will partners time, at is

natural cloud-managed lot there's the their partners a heard there's channel, our channel are concerns Aerohive some a demand our is the had with what of Interestingly, and fit platform, about and we've of So, within viability. lot familiar in for platform. a very

that. So, now really they're to sell that they're with to able be Extreme, excited

with obviously portfolio then our of in limited overlap Aerohive a have to the opportunity some both, switching who is one clear selling add and that's there's for a are very strength. very side, switching, channel our There they the on partners and us

So time, At clarifying right the channel are field and future technologies. little bit That'll on both roadmap. us take we the on same working teams time. now, the have to teams initiatives our the a get the for of educated

Eric Martinuzzi

Okay.

to full-year for Does single-digits. of Second your in question a on talking recovery you're XXXX has do the about outlook. anticipate fiscal Obviously that year-on-year, the is guidance QX legacy yet for business here European business? flat your low and relatively

Ed Meyercord

our and call been is does. issues pushing It happened have macro what Region," in we with what's what specifically A the out. Europe, "Dark of and Germany, in opportunity lot

we we clearly because in to come the We see growth them fully away. going there networking and solutions in is clearly back expect there's that demand and don't opportunities delayed, networking see being selling market. So with more for that we're that

Eric Martinuzzi

for last then your fiscal Aerohive from QX. anticipated question in revenue And on Okay. contribution me, the

I - business quarter think you said their I'm quarter explain your just I contribution looks if year-on-year million. it ago between of year-on-year be delta a because would full million down look flat If $XX contribution. September at their a it like yet quarter June that seem kind in and September. year based quarter there was could did you would they like on half basically implied their $XX in wondering, they they're

Ed Meyercord

one? Why that let not up Rémi pick

Rémi Thomas

Yes.

account acquired at but factoring that's company factor So of revenue and deferred a account been of take transition always deferred million pro outlook, million. the so days to of a number bit into has is the which obviously a we need we're $XX rata into north this and there's One haircut we necessarily then that looking the be quarter the basically, is And don't you $XX haircut in the exact have detail will factored quarter, their around happening. roughly there actually obviously business. for you in when revenue take take the when know then in

Eric Martinuzzi

Understand. taking thanks my Thanks for the for and explanation questions.

Ed Meyercord

Eric. Thanks,

Rémi Thomas

Thanks, Eric.

Operator

Our Cowen. next question of Paul comes from Silverstein

Your line open. is

Paul Silverstein

Guys, me? you hear can

Ed Meyercord

can you Yes. How Paul? hear are you. We doing,

Paul Silverstein

I the to I'm comments take you discrepancy that particular in and question, quarter account the any yourself? other the good, first the to just there could taking guidance entirely organic growth due at If is for and back your macro into to or looking issues? previous the Europe year so

Ed Meyercord

consolidation for we because but bit be of you sort don't When overlap conservative will EMEA are business little for the digit also Core. Wi-Fi do huge product typically customer our there's low we're into a you year overlap QX factors a single we'll together account and a although of would not improvement in We're the of organic for a Extreme see amount revenue portfolio. bit growth revenues; in this in see expect two see the expect companies that includes portfolio, a of on experience the and in bit together least there And second-half. to and we QX dis-synergies outlook the Wi-Fi base Wi-Fi the being Wi-Fi recovery the and around two the expectation an dis-synergies that the then combine in those guide take companies the so to revenue Wi-Fi for of two at putting we

Paul Silverstein

it But trust a to next coming comments and is the also XX quarter just I the X rising Rémi, I deal. at recognize just Wi-Fi micro to appreciate a and entirely should LAN over about you the LAN. on for rising make that between outlook Because due products that's also versus on side, tide. revenues out others. think should to different different growth the I synergy than for I you But wireless organically want be But I -- be the I other the that year, if that's just the from any first from would I sure no quarter the think benefit that trust organic wireless discrepancy or the look your your competitors. months tide the, your than the no

Rémi Thomas

Wi-Fi QX would revenue. from although X percentage a contribution be correct, That's low Wi-Fi in still of the total

Paul Silverstein

Right.

is we between versus that's LAN, XXX QX your That's macro the for there? XXX, again, growth discrepancy the this just wireless guidance So year. focusing the on all the synergies the flat -- in organically, or there other XXX midpoint or to commentary relatively stuff about also

Rémi Thomas

cycle. That's that's the macro, that's Wi-Fi and product the

in Center which already switching momentum are growth SLX, next and see expect in of we So QX OmniEdge good stronger drive Data that a that QX. hit drove in in revenue should the We platform the we a compared QX. releases, good there's to and a specific do to generation momentum business Data we Campus as Automated QX Smart which specifically Center in is number performance what seeing see really and in

Paul Silverstein

at given to them stating counting in you're in those the pushed But deals, counting without throughout Does Europe, on you're guidance. being the out macro the recognize hit that right. go on obvious, All situation saying? coming able rest and those -- to the year the

Ed Meyercord

Yes.

I think that's fair, Paul.

The of other would made thing acquisitions. is I a we've mention lot

job as and done has team fabulous a learned we've lot. a far as Our integrating

people the the things we're Aerohive Aerohive delays some the that we at opportunities want and that is learned in have platform. so look that be to of looking there as platform the of is to some our One could some at evaluate there of will want customers we

that other It's XX, the opportunity what encouraged opportunity is we're seeing were integrate release that about logistics the of you today is of that companies, is The fact little so just might XX% thing that commented expect. retailers, that which transportation a this we retail cross-selling customers Zebra it takes we massive longer former the have the we lot than with and logos. a large in bit switching Fortune the in the

cross-sell pretty be that to there's do we believe significant conservative a opportunity. cross-sell want we but So on

Paul Silverstein

with mentioned or weakness. reference you UK hear -- not an someone the Europe not as Germany. primary drivers you've and reference UK. cited in UK drivers well resolve I'm UK among some as particular heard the last for didn't me quarter? else your confusing not think the of not One I Okay. last I I'm but that Did as I question relative Southern the Brexit I primary to Germany quarter hope you But any itself this surprisingly. to sure you would mentioned and being issue

Ed Meyercord

when UK. issue about not the there was market is an It export Germany talk Yes. we in their and -- Europe Brexit, largest

the slowdown And Germany region manufacturing the in business with a export for and sectors so, affects dark us.

So dark it's markets even though automated really in at a have the Brexit for affecting the the in then us The Edge us our our and it's in more healthcare verticals offerings. across particularly the strength UK. than and event education U.K.; campus resilient, Benelux very for UKI been and and

Paul Silverstein

it pass I'll Great. on. guys. Thanks

Ed Meyercord

Thank you, Okay. Paul.

Operator

Our question Christian next Schwab of comes from Craig-Hallum.

open. is line Your

Christian Schwab

for question. Yes, great. my Thanks taking

of like a minute earnings margins. growth. Rémi, any regardless in similar sets Aerohive's business which this all for really just now hope but think or top we the get we beyond past XXXX to We'll layer and have line $XXX and were I'd year done we're would will you've have roughly, to -- not let's then we're much synergies looking this in standalone look we growth Aerohive going if So, XXXX up operating and in some as [Technical in core million XX% cost margins to business, the it business to of for good mentioned I savings get the to. you did we actually so haircut to revenue to can to drive XXXX on for the of deferred year, Difficulty] our

business a really basis? The numerous as on about combined business What your at and series as guys growth have of a a far next through on that you multi-year line is look acquisitions as top though thinking objective question create scale. you a are I

Rémi Thomas

Yes.

not as digit growth. going see and switching marketplace cloud-managed LAN is us and And portfolio then are wireless else up at the shrink increase that wireless or networking is it's adoption the customer how in frankly the we low on LAN good across and single where think us would while cloud industry cloud matures. -- Christian, better we're just segment wireless we've at position question. to anyone term, across down than think We I I start application, to -- that with the a not to fastest Obviously we're their these as this. Longer I to growing think enterprise. for the take going going step deliver but a for it a gradually satisfied tool and managed management looking to well-positioned LAN it's to customers think we're portfolio

connect that we're we're to and services, else. better our features, to bringing anyone So we switching if over for the the third-generation how be the out, cloud you and to roll going are know, going -- a enterprise that we're there, the we going making depending more industry in the team experience to on micro be to in that out industry investments competitor think with that portfolio to able than else we strong and dev-ops trend have very everyone plays be provide that cloud management

It's catches you catalyst growth. this on growth. So, built-in depending out, depending as this for revenue perspective. And time. These from growth know, we things, how have and plays of higher also how across would and function cross-sell expect revenue trend a even on another a obviously which deferred we that do then just we coming platform how from is cross-selling take recurring the back

Christian Schwab

Right, remind XX% before roughly a us - -- revenue your talked combined think about Wi-Fi. XXXX, you what of on can I basis in you being

fair? to that we Aerohive just, add could a grow strongly. that revenue on percentage very So come up Is could of with

Rémi Thomas

number. the is That correct

Christian Schwab

between Wi-Fi has customer you with theirs, platform last would X to in have question, of there thoughts meaningful when Wi-Fi any it cycle on begin adoption shrink Perfect. regarding to any you and understand cycle base and adoption but yours there? more a my update and then is the Do begin? of to do sales that anticipate sales X. customer pause the I And channel comparisons customer or to

Ed Meyercord

the we've a we've products one I inside Wi-Fi with that GX. pre-marketing us for of A lot the do building has and before the in changed how of probably that Yes, successful think to that was process -- most the X Extreme doing and pipeline of are our product company. we're introductions new

been leads pointing that a we're it's and its Houston. from that about product it's we're at highlights stadium very Houston Major League out, lot which we of and Titans talk So Dynamo, stadium launch X, Wi-Fi customer I successful seeing the the in Soccer The mentioned of momentum the some standpoint when BBVA a back release university, didn't gaining I in the mentioned

momentum seeing significantly. So around our as say we're within we're seeing guess gain and world I the markets would target pretty I adoption the X Wi-Fi of

Christian Schwab

guys. questions. other No Thanks, Great.

Ed Meyercord

Okay.

Rémi Thomas

Christian our you we get that it hard us, revenue please take million, to $XXX $X mentioned worked million, revenue. was from was really $XXX million don't

Christian Schwab

Sorry, just looking but my Rémi. thank last you, I was note, at

Operator

[Operator Our next comes question of from Cowen. Silverstein Instructions] Paul

Your line open. is

Paul Silverstein

the a looking EMEA a regions? can and sequential you Appreciate think Guys, I bookings the I about you're gave down basis. from I those previous see repeat issues And from the if year-over-year and you and perspective you also in seeing you meaningfully on addressed both follow-up. regionally. a numbers? What your already trends any? bookings what in it you just a are it think revenue comments, APAC forward EMEA but answering talk on can were

Rémi Thomas

Sure.

typically we our So don't disclose blocking.

on to comment and to trends, the not… I So of bill happy we're book was product but get one

Paul Silverstein

to exact bookings sequentially? Yes. look looking just going and the sequentially. what's down XX% be EMEA to opposed down you as XX% clear, Well on? XX% year-over-year XX% you so accounts what backwards, rate forward was was beyond aside and When putting look Rémi, year-over-year that numbers,

Rémi Thomas

to performance. and sequential was APAC and that increase round -- that number region XX%. XX% to with treat I single-digit that lumpiness drop you see you and a bookings going and more because America the close our that's driven we deal huge that's mid-to-high we in lumpy in mid-XX, job big EMEA recovery of a see very whether give XX% we business there mentioned but that in - service a provider by trends, the so did business which so -- some percentage was a the as in is get And we bookings that we was sequential at essentially And but a QX, not, in enjoys got don't a it's book-to-bill was strong bookings. was overall the we fourth our in a deal XX% to X.X%. recovery. down I'm

Paul Silverstein

take you Great. that color. I'll well, Thank the offline. All I it. rest appreciate for right,

Rémi Thomas

Paul. Thanks,

Ed Meyercord

Thanks, Paul.

Operator

call are any Ed turn There for remarks. like no closing over questions. back further to Meyercord to other the I'd

Ed Meyercord

Okay. if join on Well, everyone today. you you call the us thank

want to employees, it's always, As all I a thank Extreme. busy the us of Extreme at time very for

end cloud people Given acquiring conferences. the been quickly our we're as at and then Extreme. the of company fiscal inside the we're and software the all several that really investor path so taken products fact we've and of the sharing to restructure and have down platform you moves that working hard year, excited given for in Aerohive as moving platform the new about investments new what looking brings this updates the the new well our We're really upgrading to forward about our at

you Jefferies, Oppenheimer, there. have D.A. Global during coming hope We Davidson we and quarter to and Tech Citi up see the

day. great again and have a thanks So,

Operator

does you you thank and gentlemen, conclude great in This Everyone today's a and for disconnect. Ladies conference. day. have all may the program participating

Extreme Networks (EXTR) 31 Jul 192019 Q4 Earnings call transcript