Highlights
- Revenue grew 14 per cent year over year to US$1.72 billion.
- Product revenue grew 18 per cent year over year to US$559.3 million.
- Billings grew 14 per cent year over year to US$1.81 billion.
- Record third quarter generally accepted accounting principles (GAAP) operating margin of 32 per cent.
- Record third quarter non-GAAP operating margin of 37 per cent.
Fortinet® (Nasdaq: FTNT), a global cybersecurity leader driving the convergence of networking and security, has announced financial results for the third quarter ended September 30, 2025.
Ken Xie, founder, chairman, and chief executive officer, Fortinet, said, “We are pleased with our excellent third quarter results, driven by our leading innovation and customer-first culture resulting in broad-based demand for our solutions across organisations of all sizes.
“Building on our leadership in firewall and SD-WAN through our unified FortiOS operating system, FortiSASE has quickly emerged as one of the fastest growing leaders in the SASE market. Fortinet has natively developed the key SASE functions, tightly integrating next-generation firewall, SD-WAN, and SASE functionality into one unified ‘New Generation SASE Firewall’ solution, providing our customers with maximum flexibility to deploy security access at the edge and giving us a sustainable competitive advantage.”
Recent business highlights
- Recognised as a Leader in the inaugural 2025 Gartner® Magic Quadrant™ for Hybrid Mesh Firewall, ranking highest in ability to execute.
- FortiSASE is the fastest-growing SASE solution at scale, with third quarter billings increasing by over 100 per cent year over year, driven by an easy migration path that allows existing SD-WAN customers to enable SASE in minutes.
- Launched the Secure AI Data Center solution, the industry’s first end-to-end framework designed specifically for artificial intelligence (AI) workloads, delivering high-capacity connectivity and up to 69 per cent lower energy consumption than alternative solutions.
- Achieved rapid adoption in AI add-on solutions, supported by continued research and development investment and more than 500 issued and pending AI patents, powering over 20 AI-driven solutions.
- Recognised as one of Newsweek’s Most Reliable Companies, ranking #16 out of 300 companies across all industries.
Guidance
For the fourth quarter of 2025, Fortinet currently expects:
- Revenue in the range of US$1.825 billion to US$1.885 billion.
- Billings in the range of US$2.185 billion to US$2.285 billion.
- Non-GAAP gross margin in the range of 79.0 per cent to 80.0 per cent.
- Non-GAAP operating margin in the range of 34.5 per cent to 35.5 per cent.
- Diluted non-GAAP net income per share in the range of US$0.73 to US$0.75, assuming a non-GAAP effective tax rate of 18 per cent. This assumes a diluted share count of 751 million to 755 million.
For the fiscal year 2025, Fortinet currently expects:
- Revenue in the range of US$6.720 billion to US$6.780 billion.
- Service revenue in the range of US$4.575 billion to US$4.595 billion.
- Billings in the range of US$7.370 billion to US$7.470 billion.
- Non-GAAP gross margin in the range of 80.25 per cent to 80.75 per cent.
- Non-GAAP operating margin in the range of 34.5 per cent to 35.0 per cent.
- Diluted non-GAAP net income per share in the range of US$2.66 to US$2.70, assuming a non-GAAP effective tax rate of 18 per cent. This assumes a diluted share count of 764 million to 768 million.
These statements are forward looking and actual results may differ materially.
Our guidance with respect to non-GAAP financial measures excludes stock-based compensation, amortisation of acquired intangible assets, settlements of litigation related matters, gain on intellectual property matters, gain on bargain purchase related to acquisition, gain from an equity method investment and a tax adjustment required for an effective tax rate on a non-GAAP basis, which differs from the GAAP effective tax rate. We have not reconciled our 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 our 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.
About Fortinet
Fortinet (Nasdaq: FTNT) is a driving force in the evolution of cybersecurity and the convergence of networking and security. Our mission is to secure people, devices and data everywhere, and today we deliver cybersecurity everywhere our customers need it with the largest integrated portfolio of over 50 enterprise-grade products. Well over half a million customers trust Fortinet’s solutions, which are among the most deployed, most patented and most validated in the industry. The Fortinet Training Institute, one of the largest and broadest training programs in the industry, is dedicated to making cybersecurity training and new career opportunities available to everyone. Collaboration with esteemed organisations from both the public and private sectors, including Computer Emergency Response Teams (“CERTs”), government entities, and academia, is a fundamental aspect of Fortinet’s commitment to enhance cyber resilience globally. FortiGuard Labs, Fortinet’s elite threat intelligence and research organisation, develops and utilises leading-edge machine learning and AI technologies to provide customers with timely and consistently top-rated protection and actionable threat intelligence. Learn more at https://www.fortinet.com, the Fortinet blog, and FortiGuard Labs.
Copyright © 2025 Fortinet, Inc. All rights reserved. The symbols ® and ™ denote respectively federally registered trademarks and common law trademarks of Fortinet, Inc., its subsidiaries and affiliates. Fortinet’s trademarks include, but are not limited to, the following: Fortinet, the Fortinet logo, FortiGate, FortiOS, FortiGuard, FortiCare, FortiAnalyzer, FortiManager, FortiASIC, FortiClient, FortiCloud, FortiCore, FortiMail, FortiSandbox, FortiADC, FortiAgent, FortiAI, FortiAIOps, FortiAntenna, FortiAP, FortiAPCam, FortiAppSec, FortiAuthenticator, FortiBranchSASE, FortiCache, FortiCall, FortiCam, FortiCamera, FortiCarrier, FortiCART, FortiCASB, FortiCentral, FortiCNP, FortiConnect, FortiController, FortiConverter, FortiCSPM, FortiCWP, FortiDAST, FortiDATA, FortiDB, FortiDDoS, FortiDeceptor, FortiDeploy, FortiDevice, FortiDevSec, FortiDLP, FortiEdge, FortiEDR, FortiEndpoint, FortiExplorer, FortiExtender, FortiFirewall, FortiFlex, FortiFone, FortiGSLB, FortiGuest, FortiHypervisor, FortiInsight, FortiIsolator, FortiLAN, FortiLink, FortiMonitor, FortiNAC, FortiNDR, FortiPAM, FortiPenTest, FortiPhish, FortiPoint, FortiPoints, FortiPolicy, FortiPortal, FortiPresence, FortiProxy, FortiRecon, FortiRecorder, FortiSASE, FortiScanner, FortiSDNConnector, FortiSEC, FortiSIEM, FortiSMS, FortiSOAR, FortiSRA, FortiSwitch, FortiTelemetry, FortiTester, FortiTIP, FortiToken, FortiTrust, FortiVoice, FortiWAN, FortiWeb, FortiWiFi, FortiWLC, FortiWLM, FortiXDR, Lacework FortiCNAPP, Linksys, Intelligent Mesh, Velop, Max-Stream, Performance Perfected and SECURITY FABRIC. Other trademarks belong to their respective owners. Fortinet has not independently verified statements or certifications herein attributed to third parties and Fortinet does not independently endorse such statements. Notwithstanding anything to the contrary herein, nothing herein constitutes a warranty, guarantee, contract, binding specification or other binding commitment by Fortinet or any indication of intent related to a binding commitment, and performance and other specification information herein may be unique to certain environments.
