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10-Q Filing

FORTINET, INC. CIK: 1262039 Q1 2018
Filing Information
Form Type 10-Q
Accession Number 0001262039-18-000019
Period End Date 20180331
Filing Date 20180508
Fiscal Year 2018
Fiscal Period Q1
XBRL Instance ftnt-20180331.xml
Filing Contents
Balance Sheet 72 line items
Line Item Tag Value Unit Period
Common Stock, par value (dollars per share) CommonStockParOrStatedValuePerShare $0.00 USD Point-in-time
Common Stock, par value (dollars per share) CommonStockParOrStatedValuePerShare $0.00 USD Point-in-time
Common Stock, shares authorized CommonStockSharesAuthorized 300.00M shares Point-in-time
Common Stock, shares authorized CommonStockSharesAuthorized 300.00M shares Point-in-time
Cash and cash equivalents CashAndCashEquivalentsAtCarryingValue $835.60M USD Point-in-time
Cash and cash equivalents CashAndCashEquivalentsAtCarryingValue $823.20M USD Point-in-time
Common Stock, shares issued CommonStockSharesIssued 167.90M shares Point-in-time
Cash and cash equivalents CashAndCashEquivalentsAtCarryingValue $709.00M USD Point-in-time
Cash and cash equivalents CashAndCashEquivalentsAtCarryingValue $811.00M USD Point-in-time
Common Stock, shares issued CommonStockSharesIssued 168.00M shares Point-in-time
Short-term investments ShortTermInvestments $440.30M USD Point-in-time
Common Stock, shares outstanding CommonStockSharesOutstanding 167.90M shares Point-in-time
Short-term investments ShortTermInvestments $468.30M USD Point-in-time
Common Stock, shares outstanding CommonStockSharesOutstanding 168.00M shares Point-in-time
Accounts receivableNet AccountsReceivableNetCurrent $313.10M USD Point-in-time
Accounts receivableNet AccountsReceivableNetCurrent $348.20M USD Point-in-time
Inventory InventoryNet $80.00M USD Point-in-time
Inventory InventoryNet $77.30M USD Point-in-time
Prepaid expenses and other current assets PrepaidExpenseAndOtherAssetsCurrent $40.00M USD Point-in-time
Prepaid expenses and other current assets PrepaidExpenseAndOtherAssetsCurrent $38.80M USD Point-in-time
Total current assets AssetsCurrent $1.72B USD Point-in-time
Total current assets AssetsCurrent $1.74B USD Point-in-time
LONG-TERM INVESTMENTS LongTermInvestments $82.50M USD Point-in-time
LONG-TERM INVESTMENTS LongTermInvestments $98.00M USD Point-in-time
PROPERTY AND EQUIPMENTNET PropertyPlantAndEquipmentNet $245.40M USD Point-in-time
PROPERTY AND EQUIPMENTNET PropertyPlantAndEquipmentNet $245.10M USD Point-in-time
Deferred contract costs CapitalizedContractCostNet - USD Point-in-time
Deferred contract costs CapitalizedContractCostNet $148.70M USD Point-in-time
DEFERRED TAX ASSETS DeferredTaxAssetsNetNoncurrent $146.90M USD Point-in-time
DEFERRED TAX ASSETS DeferredTaxAssetsNetNoncurrent $138.70M USD Point-in-time
OTHER INTANGIBLE ASSETSNET IntangibleAssetsNetExcludingGoodwill $16.30M USD Point-in-time
OTHER INTANGIBLE ASSETSNET IntangibleAssetsNetExcludingGoodwill $14.50M USD Point-in-time
GOODWILL Goodwill $14.60M USD Point-in-time
GOODWILL Goodwill $14.60M USD Point-in-time
OTHER ASSETS OtherAssetsNoncurrent $20.80M USD Point-in-time
OTHER ASSETS OtherAssetsNoncurrent $19.90M USD Point-in-time
TOTAL ASSETS Assets $2.26B USD Point-in-time
TOTAL ASSETS Assets $2.40B USD Point-in-time
Accounts payable AccountsPayableCurrent $55.70M USD Point-in-time
Accounts payable AccountsPayableCurrent $70.00M USD Point-in-time
Accrued liabilities AccruedLiabilitiesCurrent $50.00M USD Point-in-time
Accrued liabilities AccruedLiabilitiesCurrent $55.60M USD Point-in-time
Accrued payroll and compensation EmployeeRelatedLiabilitiesCurrent $92.00M USD Point-in-time
Accrued payroll and compensation EmployeeRelatedLiabilitiesCurrent $82.30M USD Point-in-time
Income taxes payable AccruedIncomeTaxesCurrent $19.00M USD Point-in-time
Income taxes payable AccruedIncomeTaxesCurrent $21.40M USD Point-in-time
Deferred revenue DeferredRevenueCurrent $817.10M USD Point-in-time
Deferred revenue DeferredRevenueCurrent $793.80M USD Point-in-time
Total current liabilities LiabilitiesCurrent $1.03B USD Point-in-time
Total current liabilities LiabilitiesCurrent $1.03B USD Point-in-time
DEFERRED REVENUE DeferredRevenueNoncurrent $542.50M USD Point-in-time
DEFERRED REVENUE DeferredRevenueNoncurrent $579.30M USD Point-in-time
INCOME TAX LIABILITIES AccruedIncomeTaxesNoncurrent $90.20M USD Point-in-time
INCOME TAX LIABILITIES AccruedIncomeTaxesNoncurrent $84.80M USD Point-in-time
OTHER LIABILITIES OtherLiabilitiesNoncurrent $8.60M USD Point-in-time
OTHER LIABILITIES OtherLiabilitiesNoncurrent $13.40M USD Point-in-time
Total liabilities Liabilities $1.71B USD Point-in-time
Total liabilities Liabilities $1.67B USD Point-in-time
COMMITMENTS AND CONTINGENCIES (Note 9) CommitmentsAndContingencies - USD Point-in-time
COMMITMENTS AND CONTINGENCIES (Note 9) CommitmentsAndContingencies - USD Point-in-time
Common stock, $0.001 par value300 shares authorized; 168.0 and 167.9 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively CommonStockValue $200.00K USD Point-in-time
Common stock, $0.001 par value300 shares authorized; 168.0 and 167.9 shares issued and outstanding at March 31, 2018 and December 31, 2017, respectively CommonStockValue $200.00K USD Point-in-time
Additional paid-in capital AdditionalPaidInCapitalCommonStock $909.60M USD Point-in-time
Additional paid-in capital AdditionalPaidInCapitalCommonStock $957.90M USD Point-in-time
Accumulated other comprehensive loss AccumulatedOtherComprehensiveIncomeLossNetOfTax $-800.00K USD Point-in-time
Accumulated other comprehensive loss AccumulatedOtherComprehensiveIncomeLossNetOfTax $-2.00M USD Point-in-time
Accumulated deficit RetainedEarningsAccumulatedDeficit $-319.60M USD Point-in-time
Accumulated deficit RetainedEarningsAccumulatedDeficit $-262.60M USD Point-in-time
Total stockholders equity StockholdersEquity $589.40M USD Point-in-time
Total stockholders equity StockholdersEquity $693.50M USD Point-in-time
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY LiabilitiesAndStockholdersEquity $2.40B USD Point-in-time
TOTAL LIABILITIES AND STOCKHOLDERS EQUITY LiabilitiesAndStockholdersEquity $2.26B USD Point-in-time
Income Statement 48 line items
Line Item Tag Value Unit Period
Product SalesRevenueGoodsNet $142.80M USD 1 Quarter
Product SalesRevenueGoodsNet $135.30M USD 1 Quarter
Service SalesRevenueServicesNet $256.20M USD 1 Quarter
Service SalesRevenueServicesNet $205.30M USD 1 Quarter
Total revenue SalesRevenueNet $340.60M USD 1 Quarter
Total revenue SalesRevenueNet $399.00M USD 1 Quarter
Product CostOfGoodsSold $58.20M USD 1 Quarter
Product CostOfGoodsSold $55.30M USD 1 Quarter
Service CostOfServices $35.30M USD 1 Quarter
Service CostOfServices $39.00M USD 1 Quarter
Total cost of revenue CostOfGoodsAndServicesSold $97.20M USD 1 Quarter
Total cost of revenue CostOfGoodsAndServicesSold $90.60M USD 1 Quarter
Product ProductGrossProfit $80.00M USD 1 Quarter
Product ProductGrossProfit $84.60M USD 1 Quarter
Service ServicesGrossProfit $217.20M USD 1 Quarter
Service ServicesGrossProfit $170.00M USD 1 Quarter
Total gross profit GrossProfit $250.00M USD 1 Quarter
Total gross profit GrossProfit $301.80M USD 1 Quarter
Research and development ResearchAndDevelopmentExpense $59.10M USD 1 Quarter
Research and development ResearchAndDevelopmentExpense $51.20M USD 1 Quarter
Sales and marketing SellingAndMarketingExpense $185.30M USD 1 Quarter
Sales and marketing SellingAndMarketingExpense $170.40M USD 1 Quarter
General and administrative GeneralAndAdministrativeExpense $22.60M USD 1 Quarter
General and administrative GeneralAndAdministrativeExpense $25.00M USD 1 Quarter
Restructuring charges RestructuringCharges - USD 1 Quarter
Restructuring charges RestructuringCharges $400.00K USD 1 Quarter
Total operating expenses OperatingExpenses $244.60M USD 1 Quarter
Total operating expenses OperatingExpenses $269.40M USD 1 Quarter
OPERATING INCOME OperatingIncomeLoss $5.40M USD 1 Quarter
OPERATING INCOME OperatingIncomeLoss $32.40M USD 1 Quarter
INTEREST INCOME InvestmentIncomeNet $4.50M USD 1 Quarter
INTEREST INCOME InvestmentIncomeNet $2.40M USD 1 Quarter
OTHER INCOME (EXPENSE)NET OtherNonoperatingIncomeExpense $-200.00K USD 1 Quarter
OTHER INCOME (EXPENSE)NET OtherNonoperatingIncomeExpense $300.00K USD 1 Quarter
INCOME BEFORE INCOME TAXES IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments $36.70M USD 1 Quarter
INCOME BEFORE INCOME TAXES IncomeLossFromContinuingOperationsBeforeIncomeTaxesMinorityInterestAndIncomeLossFromEquityMethodInvestments $8.10M USD 1 Quarter
BENEFIT FROM INCOME TAXES IncomeTaxExpenseBenefit $-4.90M USD 1 Quarter
BENEFIT FROM INCOME TAXES IncomeTaxExpenseBenefit $-2.60M USD 1 Quarter
NET INCOME NetIncomeLoss $41.60M USD 1 Quarter
NET INCOME NetIncomeLoss $10.70M USD 1 Quarter
Basic (in dollars per share) EarningsPerShareBasic $0.25 USD 1 Quarter
Basic (in dollars per share) EarningsPerShareBasic $0.06 USD 1 Quarter
Diluted (in dollars per share) EarningsPerShareDiluted $0.24 USD 1 Quarter
Diluted (in dollars per share) EarningsPerShareDiluted $0.06 USD 1 Quarter
Basic (in shares) WeightedAverageNumberOfSharesOutstandingBasic 167.70M shares 1 Quarter
Basic (in shares) WeightedAverageNumberOfSharesOutstandingBasic 174.50M shares 1 Quarter
Diluted (in shares) WeightedAverageNumberOfDilutedSharesOutstanding 171.80M shares 1 Quarter
Diluted (in shares) WeightedAverageNumberOfDilutedSharesOutstanding 178.30M shares 1 Quarter
Cash Flow Statement 70 line items
Line Item Tag Value Unit Period
Net income NetIncomeLoss $41.60M USD 1 Quarter
Net income NetIncomeLoss $10.70M USD 1 Quarter
Stock-based compensation ShareBasedCompensation $36.50M USD 1 Quarter
Stock-based compensation ShareBasedCompensation $33.30M USD 1 Quarter
Amortization of deferred contract costs CapitalizedContractCostAmortization $20.80M USD 1 Quarter
Amortization of deferred contract costs CapitalizedContractCostAmortization - USD 1 Quarter
Depreciation and amortization DepreciationDepletionAndAmortization $13.50M USD 1 Quarter
Depreciation and amortization DepreciationDepletionAndAmortization $13.20M USD 1 Quarter
Other non-cash itemsnet OtherNoncashIncomeExpense $-300.00K USD 1 Quarter
Other non-cash itemsnet OtherNoncashIncomeExpense $-1.50M USD 1 Quarter
Amortization of investment premiums AccretionAmortizationOfDiscountsAndPremiumsInvestments $-100.00K USD 1 Quarter
Amortization of investment premiums AccretionAmortizationOfDiscountsAndPremiumsInvestments $-1.00M USD 1 Quarter
Accounts receivablenet IncreaseDecreaseInAccountsReceivable $-42.40M USD 1 Quarter
Accounts receivablenet IncreaseDecreaseInAccountsReceivable $-48.90M USD 1 Quarter
Inventory IncreaseDecreaseInInventories $3.50M USD 1 Quarter
Inventory IncreaseDecreaseInInventories $7.30M USD 1 Quarter
Prepaid expenses and other current assets IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets $-1.20M USD 1 Quarter
Prepaid expenses and other current assets IncreaseDecreaseInPrepaidDeferredExpenseAndOtherAssets $8.30M USD 1 Quarter
Deferred contract costs IncreaseDecreaseInContractReceivablesNet $32.50M USD 1 Quarter
Deferred contract costs IncreaseDecreaseInContractReceivablesNet - USD 1 Quarter
Deferred tax assets IncreaseDecreaseInDeferredIncomeTaxes $9.60M USD 1 Quarter
Deferred tax assets IncreaseDecreaseInDeferredIncomeTaxes $16.60M USD 1 Quarter
Other assets IncreaseDecreaseInOtherOperatingAssets $-700.00K USD 1 Quarter
Other assets IncreaseDecreaseInOtherOperatingAssets $900.00K USD 1 Quarter
Accounts payable IncreaseDecreaseInAccountsPayable $-8.30M USD 1 Quarter
Accounts payable IncreaseDecreaseInAccountsPayable $-13.60M USD 1 Quarter
Accrued liabilities IncreaseDecreaseInAccruedLiabilities $-4.70M USD 1 Quarter
Accrued liabilities IncreaseDecreaseInAccruedLiabilities $2.90M USD 1 Quarter
Accrued payroll and compensation IncreaseDecreaseInEmployeeRelatedLiabilities $-5.30M USD 1 Quarter
Accrued payroll and compensation IncreaseDecreaseInEmployeeRelatedLiabilities $-10.00M USD 1 Quarter
Other liabilities IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities $-600.00K USD 1 Quarter
Other liabilities IncreaseDecreaseInAccruedLiabilitiesAndOtherOperatingLiabilities $-1.10M USD 1 Quarter
Deferred revenue IncreaseDecreaseInDeferredRevenue $64.10M USD 1 Quarter
Deferred revenue IncreaseDecreaseInDeferredRevenue $61.80M USD 1 Quarter
Income taxes payable IncreaseDecreaseInAccruedIncomeTaxesPayable $5.00M USD 1 Quarter
Income taxes payable IncreaseDecreaseInAccruedIncomeTaxesPayable $-7.80M USD 1 Quarter
Net cash provided by operating activities NetCashProvidedByUsedInOperatingActivities $129.70M USD 1 Quarter
Net cash provided by operating activities NetCashProvidedByUsedInOperatingActivities $139.70M USD 1 Quarter
Purchases of investments PaymentsToAcquireInvestments $134.90M USD 1 Quarter
Purchases of investments PaymentsToAcquireInvestments $133.00M USD 1 Quarter
Sales of investments ProceedsFromSaleOfAvailableForSaleSecurities $6.00M USD 1 Quarter
Sales of investments ProceedsFromSaleOfAvailableForSaleSecurities $16.30M USD 1 Quarter
Maturities of investments ProceedsFromMaturitiesPrepaymentsAndCallsOfAvailableForSaleSecurities $109.20M USD 1 Quarter
Maturities of investments ProceedsFromMaturitiesPrepaymentsAndCallsOfAvailableForSaleSecurities $104.70M USD 1 Quarter
Purchases of property and equipment PaymentsToAcquireProductiveAssets $13.50M USD 1 Quarter
Purchases of property and equipment PaymentsToAcquireProductiveAssets $11.60M USD 1 Quarter
Net cash used in investing activities NetCashProvidedByUsedInInvestingActivities $-31.30M USD 1 Quarter
Net cash used in investing activities NetCashProvidedByUsedInInvestingActivities $-25.50M USD 1 Quarter
Repurchase and retirement of common stock PaymentsForRepurchaseOfCommonStock $115.50M USD 1 Quarter
Repurchase and retirement of common stock PaymentsForRepurchaseOfCommonStock - USD 1 Quarter
Proceeds from issuance of common stock ProceedsFromIssuanceOfCommonStock $29.50M USD 1 Quarter
Proceeds from issuance of common stock ProceedsFromIssuanceOfCommonStock $45.10M USD 1 Quarter
Taxes paid related to net share settlement of equity awards PaymentsRelatedToTaxWithholdingForShareBasedCompensation $13.70M USD 1 Quarter
Taxes paid related to net share settlement of equity awards PaymentsRelatedToTaxWithholdingForShareBasedCompensation $19.20M USD 1 Quarter
Net cash provided by (used in) financing activities NetCashProvidedByUsedInFinancingActivities $-89.60M USD 1 Quarter
Net cash provided by (used in) financing activities NetCashProvidedByUsedInFinancingActivities $15.80M USD 1 Quarter
NET INCREASE IN CASH AND CASH EQUIVALENTS CashAndCashEquivalentsPeriodIncreaseDecrease $114.20M USD 1 Quarter
NET INCREASE IN CASH AND CASH EQUIVALENTS CashAndCashEquivalentsPeriodIncreaseDecrease $24.60M USD 1 Quarter
CASH AND CASH EQUIVALENTSBeginning of period CashAndCashEquivalentsAtCarryingValue $835.60M USD Point-in-time
CASH AND CASH EQUIVALENTSBeginning of period CashAndCashEquivalentsAtCarryingValue $823.20M USD Point-in-time
CASH AND CASH EQUIVALENTSBeginning of period CashAndCashEquivalentsAtCarryingValue $709.00M USD Point-in-time
CASH AND CASH EQUIVALENTSBeginning of period CashAndCashEquivalentsAtCarryingValue $811.00M USD Point-in-time
CASH AND CASH EQUIVALENTSEnd of period CashAndCashEquivalentsAtCarryingValue $835.60M USD Point-in-time
CASH AND CASH EQUIVALENTSEnd of period CashAndCashEquivalentsAtCarryingValue $823.20M USD Point-in-time
CASH AND CASH EQUIVALENTSEnd of period CashAndCashEquivalentsAtCarryingValue $709.00M USD Point-in-time
CASH AND CASH EQUIVALENTSEnd of period CashAndCashEquivalentsAtCarryingValue $811.00M USD Point-in-time
Transfers of evaluation units from inventory to property and equipment TransfersofEvaluationUnitsfromInventorytoPropertyandEquipment $4.90M USD 1 Quarter
Transfers of evaluation units from inventory to property and equipment TransfersofEvaluationUnitsfromInventorytoPropertyandEquipment $5.70M USD 1 Quarter
Liability for purchase of property and equipment and asset retirement obligations CapitalExpendituresIncurredButNotYetPaid $18.70M USD 1 Quarter
Liability for purchase of property and equipment and asset retirement obligations CapitalExpendituresIncurredButNotYetPaid $3.60M USD 1 Quarter
Comprehensive Income 10 line items
Line Item Tag Value Unit Period
Net income NetIncomeLoss $41.60M USD 1 Quarter
Net income NetIncomeLoss $10.70M USD 1 Quarter
Change in unrealized losses on investments OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodBeforeTax $400.00K USD 1 Quarter
Change in unrealized losses on investments OtherComprehensiveIncomeUnrealizedHoldingGainLossOnSecuritiesArisingDuringPeriodBeforeTax $-1.20M USD 1 Quarter
Tax provision related to change in unrealized losses on investments OtherComprehensiveIncomeLossTaxPortionAttributableToParent1 $100.00K USD 1 Quarter
Tax provision related to change in unrealized losses on investments OtherComprehensiveIncomeLossTaxPortionAttributableToParent1 - USD 1 Quarter
Other comprehensive income (loss) OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent $300.00K USD 1 Quarter
Other comprehensive income (loss) OtherComprehensiveIncomeLossNetOfTaxPortionAttributableToParent $-1.20M USD 1 Quarter
Comprehensive income ComprehensiveIncomeNetOfTax $40.40M USD 1 Quarter
Comprehensive income ComprehensiveIncomeNetOfTax $11.00M USD 1 Quarter

Data is extracted from SEC EDGAR XBRL filings. Values shown are as reported in the filing.

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