Shrinking Juniper is 'energised' for 2015 - CEO
Newly installed boss Rami Rahim upbeat despite posting giant $850m loss and 14 per cent sales drop in Q4
Juniper Networks is entering 2015 "energised" despite ending 2014 heavily in the red and a lot smaller than it was 12 months previously, its new chief executive has asserted.
Last year was a dramatic one for the networking and security beefcake as its previous chief executive, Shaygan Kheradpir, cut staff and refocused the business only to be ousted himself in November amid questions over his conduct and leadership.
In its final quarter of 2014 ending 31 December, Juniper's revenues tail-span 14 per cent year on year to $1.1bn (£724m).
Net losses for the period hit $769.6m as the New York-listed vendor absorbed an $850m non-cash goodwill impairment charge related to its underperforming security business.
Juniper trimmed its workforce by six per cent last year as it doubled down on its core business, something executives at the firm recently told CRN would enable it to make ground on market leader Cisco.
Recently installed chief executive Rami Rahim claimed Juniper is heading in the right direction.
"2014 was a year of change for Juniper and I'm pleased with the solid progress we made as we successfully streamlined our organisation, reduced costs, increased capital returns to our shareholders and sharpened our focus on the fastest-growing segments of the market," he said.
"While we recognise that we have more work to do to realise Juniper's full potential, we're energised as we enter 2015. Our customers and partners across our key verticals view network innovation as fundamental to their business, and with a strong innovation pipeline, we are confident in Juniper's future and see substantial opportunities to grow and deliver value in the long term."
Taking into account the disposal of its Junos Pulse mobile security business last summer, Juniper's Q4 revenues fell by a more modest 11 per cent.
For the year as a whole, Juniper saw GAAP net losses hit $334.3m on revenues that fell one per cent to $4.63bn.
The vendor said it remains "cautious" on its revenue planning assumptions, predicting that sales will fall between $1.02bn and $1.06bn in its current quarter ending 31 March.