Ken Xie, Founder, Chairman and Chief Executive Officer of Fortinet.
- Revenue grew 20% year over year to $1.85 billion.
- Product revenue grew 41% year over year to $645 million.
- Billings grew 31% year over year to $2.09 billion.
- GAAP operating margin of 31%.
- Non-GAAP operating margin of 36%.
- GAAP earnings per share grew 29% year over year to $0.72.
- Non-GAAP earnings per share grew 41% year over year to $0.82.
- Record operating cashflow of $1.08 billion.
- Record free cashflow of $1.01 billion.
Fortinet, a global cyber security leader driving the convergence of networking and security, today announced financial results for the first quarter ended 31 March 2026.
“We are very pleased with our excellent first-quarter results, exceeding the high end of our guidance through strong execution and broad-based demand across our portfolio and geographies,” said Ken Xie, Founder, Chairman and Chief Executive Officer of Fortinet. “Billings grew 31% year over year, driven by the continued convergence of networking and security, an approach Fortinet has led for 26 years, and by an increasingly complex threat environment that is being intensified by AI. As network security evolves towards the SASE Firewall, innovations such as our new FortiOS 8.0 and FortiASIC technology continue to differentiate our platform and support ongoing market share gains, while our direct operations, manufacturing model and strong execution turn supply chain challenges into opportunities to gain market share.”
Recent business highlights
- Introduced FortiOS 8.0, the latest release of the operating system that powers the Fortinet Security Fabric. FortiOS 8.0 delivers powerful new AI-driven security, next-generation SASE and quantum-safe capabilities to help organisations simplify their security architectures while delivering consistent protection and performance across the entire digital infrastructure.
- Announced new additions to the FortiGate G Series portfolio, with the FortiGate 3500G and FortiGate 400G designed to deliver high‑performance security that helps organisations secure and scale modern enterprise networks while keeping pace with growing encrypted traffic.
- Fortinet is collaborating closely with multiple leading AI companies, including Anthropic as part of “Project Glasswing”, OpenAI and others.
- Recognised as a Gartner Peer Insights Customers’ Choice for SD-WAN, marking the seventh consecutive year customers have validated Fortinet Secure SD-WAN based on real-world experience and outcomes.
For the second quarter of 2026, Fortinet currently expects:
- Revenue in the range of $1.830 billion to $1.930 billion.
- Billings in the range of $2.090 billion to $2.190 billion.
- Non-GAAP gross margin in the range of 79.5% to 80.5%.
- Non-GAAP operating margin in the range of 33.0% to 35.0%.
- Diluted non-GAAP net income per share in the range of $0.72 to $0.76, assuming a non-GAAP effective tax rate of 18%. This assumes a diluted share count of 736 million to 740 million.
For the fiscal year 2026, Fortinet currently expects:
- Revenue in the range of $7.710 billion to $7.870 billion.
- Service revenue in the range of $5.090 billion to $5.150 billion.
- Billings in the range of $8.800 billion to $9.100 billion.
- Non-GAAP gross margin in the range of 79.0% to 81.0%.
- Non-GAAP operating margin in the range of 33.0% to 36.0%.
- Diluted non-GAAP net income per share in the range of $3.10 to $3.16, assuming a non-GAAP effective tax rate of 18%. This assumes a diluted share count of 743 million to 749 million.
These statements are forward looking and actual results may differ materially. Refer to the forward-looking statements section below for information on the factors that could cause Fortinet's actual results to differ materially from these forward-looking statements.
Fortinet's guidance with respect to non-GAAP financial measures excludes stock-based compensation, amortisation of acquired intangible assets, gain on intellectual property matters and a tax adjustment required for an effective tax rate on a non-GAAP basis, which differs from the GAAP effective tax rate. Fortinet has not reconciled its guidance with respect to non-GAAP financial measures to the corresponding GAAP measures because certain items that impact these measures are uncertain or out of the company's control or cannot be reasonably predicted. Accordingly, a reconciliation of these non-GAAP financial measures to the corresponding GAAP measures is not available without unreasonable effort.
A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading “Explanation of non-GAAP financial measures”.
Fortinet will host a conference call today at 1:30pm Pacific Time (4:30pm Eastern Time) to discuss the earnings results. A live webcast of the conference call and supplemental slides will be accessible from the Investor Relations page of Fortinet’s website at https://investor.fortinet.com and a replay will be archived and accessible at https://investor.fortinet.com/events-and-presentations.
Second quarter 2026 conference participation schedule:
- J.P. Morgan Global Technology, Media and Communications Conference
May 19, 2026 - Bank of America Global Technology Conference
June 2, 2026
Members of Fortinet’s management team are expected to present at these conferences and discuss the latest company strategies and initiatives. Fortinet’s conference presentations are expected to be available via webcast on the company’s website. To access the most updated information, pre-register and listen to the webcast of each event, please visit the Investor Presentation & Events page of Fortinet’s website at https://investor.fortinet.com/events-and-presentations. The schedule is subject to change.
