Extreme Networks executives are optimistic about the company’s WLAN business after completing its acquisition of Zebra’s WLAN business. Extreme’s WLAN business accounted for 25 percent of the company’s total revenue for the second quarter of its fiscal 2017, Extreme officials said today on its earnings call.
Additionally, Extreme picked up some new enterprise customers from Zebra such as Kroger, Walmart, and CVS. Extreme also highlighted a new product portfolio that it is offering to give customers a more complete wireless system. This includes a new series of access point offerings, said Ed Meyercord, Extreme Networks’ president and CEO.
Meyercord also noted that looking ahead, the company will be shifting its selling strategy to solely enterprise campus customers.
For its second quarter, Extreme reported revenues of $148.1 million, up from $122.8 first quarter, and a 6 percent increase year-over-year. Its non-GAAP net income for the quarter was $12.7 million, or $0.12 per diluted share, beating the $0.07 per share Thomson Financial predicted.
Extreme’s third-quarter outlook is targeting revenue in the range of $151 million to $161 million. Its net income is expected to be between $6.6 million to $11.2 million, or $0.06 to $0.10 per diluted share — less than this quarter’s net income. The company’s shares were down more than 4 percent at close today.