F5 Lowers FY22 Revenue Growth Outlook Due To Supply Chain Constraints; Stock Down 7%

(RTTNews) - While reporting its results for the second quarter on Tuesday, F5, Inc. (FFIV) lowered its revenue outlook for the full year 2022. Following the news, the stock slipped over 7% in the extended trading session.

Looking forward, the company expects fiscal year 2022 revenue growth in a range of 1.5% to 4%, down from its prior outlook for 4.5% to 8% growth. Analysts polled by Thomson Reuters currently estimate revenue growth of 6.10%.

The company said it continues to expect fiscal year 2022 software revenue growth near the top end of its previously provided 35% to 40% guidance range.

The company lowered its revenue outlook based on "near term supply chain constraints."

For fiscal third quarter, the company expects revenue in a range of $660 to $680 million. Analysts currently estimate revenues of $693.15 million.

"We have clear visibility to continuing strong demand drivers across our software and systems portfolio. Near term, our ability to ship to meet demand for our systems-based solutions is gated by ongoing component shortages," said Locoh-Donou. "We continue to work every possible angle to expand our supply availability to match the demand from our customers."

FFIV closed Tuesday's trading at $193.91, down $9.09 or 4.48%, on the Nasdaq. The stock further slipped $13.91 or 7.17% in the after-hours trading.