Arista Networks Inc Q1 2023 Earnings Call Summary - Thomson StreetEvents

Arista Networks Inc Q1 2023 Earnings Call Summary

Arista Networks Inc Q1 2023 Earnings Call Summary - Thomson StreetEvents
Arista Networks Inc Q1 2023 Earnings Call Summary
Published May 01, 2023
20 pages (10342 words) — Published May 01, 2023
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About This Report

  
Abstract:

Edited Brief of ANET.N earnings conference call or presentation 1-May-23 8:30pm GMT

  
Brief Excerpt:

...A. Highlights: Revenues $1.35b. 1. 2. Non-GAAP EPS $1.43. 3. Services and software support renewals contributed approx. 13.5% of revenue. 4. Non-GAAP GM of 60.3% was influenced by supply-chain overheads and cloud titan concentration. Expects GM to improve every qtr. throughout this year. a. 5. International contribution registered at 17.5% with Americas strong at 82.5% for qtr. 6. Co. will shift to reporting its vertical segments on an annual basis, seeing some overall trends. Expects cloud titans will moderate vs. 2022 triple digit growth while enterprise is likely to be more steady state. a. b. It is evident that lead times are improving. c. Co.'s visibility for customer forecast therefore are now beyond six months or now below six months and they're shrinking. d. Despite macro uncertainty, Co. endorses consensus of 26% annual growth to approx. $5.5b revenue in 2023. 7. On product side, Co. made many 1Q announcements. At OFC 2023, Co. introduced its vision for Linear Drive Optics for...

  
Report Type:

Brief

Source:
Company:
Arista Networks Inc
Ticker
ANET.N
Time
8:30pm GMT
Format:
PDF Adobe Acrobat
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The following is excerpted from the question-and-answer section of the transcript.

(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)

Question: Samik Chatterjee - JPMorgan Chase & Co, Research Division - Analyst : If you don't mind, can we just dive -- dig a bit deeper into the inventory number, I think getting a few questions on that. Obviously, a material step up in the inventory in the quarter particularly, as you mentioned, lead times for your products are now 6 months, do we sort of conclude that your lead times will take a step function down, if you have this much inventory at this point? And if your visibility into demand is starting to come in a bit, why sort of maybe help me think about why the inventory continues to sort of move up higher from here rather than sort of start to come down in line with your visibility into demand. REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. MAY 01, 2023 / 8:30PM, ANET.N - Q1 2023 Arista Networks Inc Earnings Call


Question: David Vogt - UBS Investment Bank, Research Division - Analyst : Great. I just want to follow up basically on the question on AI inventories and sort of revenue growth expectations for the second half. So if I'm hearing you correctly, it sounds like you think given tough comps and sort of spending patterns from the Titan Group is going to come down -- bring revenue growth down to about 15% in the second half on a year-over-year basis. And yet, as you just mentioned, inventory still need to come down. So how do we square that with sort of the optimism in the marketplace that looks like you took your TAM up from about $40 billion to about $50 billion for data center and campus in the deck. I'm just trying to square the deceleration that you're talking about versus sort of the expanded TAM that you're also kind of highlighting in the deck.

Table Of Contents

Arista Networks Inc at William Blair Growth Stock Conference Summary – 2023-06-06 – US$ 54.00 – Edited Brief of ANET.N presentation 6-Jun-23 3:40pm GMT

Arista Networks Inc at Bank of America Global Technology Conference Summary – 2023-06-06 – US$ 54.00 – Edited Brief of ANET.N presentation 6-Jun-23 5:40pm GMT

Arista Networks Inc at William Blair Growth Stock Conference Transcript – 2023-06-06 – US$ 54.00 – Edited Transcript of ANET.N presentation 6-Jun-23 3:40pm GMT

Arista Networks Inc at JPMorgan Global Technology, Media and Communications Conference Transcript – 2023-05-23 – US$ 54.00 – Edited Transcript of ANET.N presentation 23-May-23 5:55pm GMT

Arista Networks Inc Q1 2023 Earnings Call Transcript – 2023-05-01 – US$ 54.00 – Edited Transcript of ANET.N earnings conference call or presentation 1-May-23 8:30pm GMT

Arista Networks Inc at Morgan Stanley Technology, Media & Telecom Conference Transcript – 2023-03-07 – US$ 54.00 – Edited Transcript of ANET.N presentation 7-Mar-23 8:55pm GMT

Arista Networks Inc at JMP Securities Technology Conference Transcript – 2023-03-06 – US$ 54.00 – Edited Transcript of ANET.N presentation 6-Mar-23 5:30pm GMT

Arista Networks Inc Q4 2022 Earnings Call Summary – 2023-02-13 – US$ 54.00 – Edited Brief of ANET.N earnings conference call or presentation 13-Feb-23 9:30pm GMT

Arista Networks Inc Q4 2022 Earnings Call Transcript – 2023-02-13 – US$ 54.00 – Edited Transcript of ANET.N earnings conference call or presentation 13-Feb-23 9:30pm GMT

Arista Networks Inc at Barclays Global Technology, Media and Telecommunications Conference Transcript – 2022-12-08 – US$ 54.00 – Edited Transcript of ANET.N presentation 8-Dec-22 9:55pm GMT

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MLA:
Thomson StreetEvents. "Arista Networks Inc Q1 2023 Earnings Call Summary" May 01, 2023. Alacra Store. May 22, 2025. <http://www.alacrastore.com/thomson-streetevents-transcripts/Q1-2023-Arista-Networks-Inc-Earnings-Call-B15536848>
  
APA:
Thomson StreetEvents. (2023). Arista Networks Inc Q1 2023 Earnings Call Summary May 01, 2023. New York, NY: Alacra Store. Retrieved May 22, 2025 from <http://www.alacrastore.com/thomson-streetevents-transcripts/Q1-2023-Arista-Networks-Inc-Earnings-Call-B15536848>
  
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