Menu
Palo Alto Networks to buy Aporeto for $150M

Palo Alto Networks to buy Aporeto for $150M

Comes after acquisitions of Zingbox and Twistlock

Credit: Dreamstime

Palo Alto Networks has said it will buy Aporeto for US$150 million in cash. The Santa Clara-based company has been on an acquisition spree as it looks to bolster its market share in a highly competitive cyber security industry.

Earlier this year, it had acquired companies including IoT security provider Zingbox and Twistlock.

Palo Alto competes in a market dominated by traditional firewall provider Cisco Systems Inc, Check Point Software Technologies and Juniper Networks Inc. 

The acquisition announcement comes as Palo Alto Networks forecasts second-quarter profit well below Wall Street expectations, as the cyber security firm grapples with higher costs and rising competition, sending its shares down about 8 per cent in extended trading.

The company expects second-quarter adjusted profit between US$1.11 and US$1.13 per share, while analysts were expecting $1.30, according to IBES data from Refinitiv.

Meanwhile, net loss widened to US$59.6 million, or 62 cents per share, from US$38.3 million, or 41 cents per share, a year earlier.

Palo Alto's operating expenses jumped about 20 per cent to US$606 million in the quarter.

Excluding items, the company earned US$1.05 per share, and analysts' on average were expecting a profit of US$1.03 a share.

Revenue rose 18 per cent to US$771.9 million in the first quarter ended Oct. 31, beating analysts' expectations of US$767.8 million, according to IBES data from Refinitiv.

Shares of the company have risen about 33 per cent this year.

(Reporting by Chinmay Rautmare in Bengaluru; Editing by Amy Caren Daniel)


Follow Us

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Events

Featured

Slideshows

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners

This year’s Reseller News 30 Under 30 Tech Awards were held as an integral part of the first entirely virtual Emerging Leaders​ forum, an annual event dedicated to identifying, educating and showcasing the New Zealand technology market’s rising stars. The 30 Under 30 Tech Awards 2020 recognised the outstanding achievements and business excellence of 30 talented individuals​, across both young leaders and those just starting out. In this slideshow, Reseller News honours this year's winners and captures their thoughts about how their ideas of leadership have changed over time.​

Meet the Reseller News 30 Under 30 Tech Awards 2020 winners
Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security

This exclusive Reseller News Exchange event in Auckland explored the challenges facing the partner community on the cloud security frontier, as well as market trends, customer priorities and how the channel can capitalise on the opportunities available. In association with Arrow, Bitdefender, Exclusive Networks, Fortinet and Palo Alto Networks. Photos by Gino Demeer.

Reseller News Exchange Auckland: Beyond the myths — how partners can master cloud security
Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomes industry figures at 2020 Hall of Fame lunch

Reseller News welcomed 2019 inductees - Leanne Buer, Ross Jenkins and Terry Dunn - to the fourth running of the Reseller News Hall of Fame lunch, held at the French Cafe in Auckland. The inductees discussed the changing face of the IT channel ecosystem in New Zealand and what it means to be a Reseller News Hall of Fame inductee. Photos by Gino Demeer.

Reseller News welcomes industry figures at 2020 Hall of Fame lunch
Show Comments