F5 Inc Q2 2023 Earnings Call Summary

The following is excerpted from the question-and-answer section of the transcript.

Question: Samik Chatterjee - JPMorgan Chase & Co, Research Division - Analyst : I guess for the first one, I think just to clarify, I think, Francois, you made a comment about fiscal '24, talking about double-digit earnings growth. Just wanted to see sort of how you're thinking about top line sort of underpinning that expectation. I know you talked about gross margin improvement as well as operating margin, but sort of maybe give us a bit more color about how you're thinking about the top line underpinning that guide? And I have a follow-up.

Question: Samik Chatterjee - JPMorgan Chase & Co, Research Division - Analyst : Yes. I think you made a comment about double digit earnings growth. So just curious sort of how you're thinking about the top line as you talked about margin expansion being the key driver there?

Question: Samik Chatterjee - JPMorgan Chase & Co, Research Division - Analyst : Okay. And so for my follow-up, I mean, it was on the cost structure, obviously, with some of the actions you're taking and the rules you're sort of taking out, you'll operate at a much lower level of operating expense as a percent of revenue than you have historically. I mean how much of that is sort of sustainable and you can operate at that level for a multiyear period versus just more of a function of how you're looking at the macro and trying to be more conservative around it. Like is there a more structural upside to how you can -- how you think about operating margins in -- operating at a lower cost structure?