Fortinet continues growth in Q3

UTM vendor builds on first quarter of profitability and enjoys further revenue growth

After posting its first quarter of profitability in the second quarter, unified threat management (UTM) specialist Fortinet is continuing to grow during 2008's second half.

The vendor posted another quarter of non-GAAP operating profit during Q3 and revenue grew 42 per cent year on year to $54m (£37m). Billings for the quarter rose 27 per cent on the same period last year to $59m, with deferred revenues contributing $5m in cash after increasing 32 per cent.

Sales of enterprise and high-end security appliances were singled out as key growth areas for the California-based company. Fortinet also claimed diverse worldwide revenue streams will help it continue to enjoy growth throughout the rest of 2008 and into next year. The vendor indicated it would continue to focus on recruiting engineering and sales professionals.

Chief executive Ken Xie said: “Even in a down economy, protecting the corporate network is not a discretionary expense, but when companies are faced with budget cuts and need to do more with less, the value of an integrated security solution becomes even greater.

“We believe the tremendous efficiencies and protections that our integrated security solutions offer can be credited for the significant growth of the UTM market, which, according to IDC data, has surpassed the standalone firewall market in 2008. This serves as a strong validation of Fortinet’s integrated security vision and leadership position in the UTM market.”