Arista Networks capped off a challenging fiscal year Thursday with a strong fourth quarter that saw revenues climb 17.4% year over year to $648.5 million.

“Despite a turbulent 2020, especially with cloud titans, we believe Arista is going to emerge stronger with more diversified products and customers,” CEO Jayshree Ullal said on Arista’s Q4 2020 earnings call Thursday.

Coming out of the pandemic, Ullal said customers believe that COVID-19 has only served to demonstrate the value and relevance of the network. “The networking industry is undergoing a metamorphosis from point silos, or places in the network, to a seamless cognitive cloud network that is data driven,” she said. “We believe Arista is well positioned to address the data-driven networks for these client to cloud workspaces.”

To achieve this, Arista plans to continue investing in a multi-year growth strategy that emphasizes three key market opportunities within the company’s core cloud data center products, routing and campus portfolios, and network software and services.

Arista’s Q4 Earnings

While Arista’s quarterly revenues were up both sequentially (7.1%) and year over year (17.4%), the company’s net incomes fell nearly 30% sequentially from $260 million in 2019 to $183 million in 2020.

CFO Ita Brennan noted that the company continued to grapple with supply chain constraints brought on by the second and third waves of the pandemic.

Arista’s Q4 earnings of $2.58 per share beat analyst expectations by 10 cents, sending the company’s stock price up 7.2% in after-hours trading Thursday.

For the full year, Arista netted $2.32 billion in revenues down 3.9% from 2019, while net incomes also declined 26.2% to $634.6 million.

Looking to the first fiscal quarter of 2021, Arista is predicting revenues of $630 million to $650 million. However, Brennan said that these predictions continue to reflect the company's best understanding of the pandemic. "This is an inherently uncertain situation, and we will need to continue to monitor and attempt to mitigate new challenges as the situation unfolds," she said.