Akamai Technologies ( (AKAM) ) has released its Q4 earnings. Here is a breakdown of the information Akamai Technologies presented to its investors.
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Akamai Technologies, Inc. is a prominent player in the cybersecurity and cloud computing industry, known for its extensive online business security solutions and comprehensive cloud computing services aimed at enhancing enterprise-level performance and security.
In its latest earnings report for the fourth quarter and full year 2024, Akamai Technologies revealed a steady increase in revenue, driven primarily by its security and compute segments. The company reported a 3% year-over-year revenue growth for the fourth quarter, totaling $1.020 billion, and a 5% increase for the full year, reaching $3.991 billion.
Key financial highlights include a 16% rise in security revenue and a 24% increase in compute revenue year-over-year for the fourth quarter. However, Akamai faced a decline in its delivery revenue by 18% in the fourth quarter. Despite a 13% decrease in GAAP net income for the quarter, the company’s non-GAAP net income rose by 4% for the full year, reflecting a positive operational performance.
Akamai’s management remains optimistic about the company’s future prospects, emphasizing a strategic focus on sustainable profitability and transformation into a leading provider of cybersecurity and cloud solutions. This outlook, coupled with their strong market position, suggests potential for continued growth and market resilience.
Akamai’s forward-looking statements suggest a cautious yet positive outlook for 2025, with guidance indicating potential revenue between $4.000 billion to $4.200 billion for the full year, maintaining a stable non-GAAP operating margin of 28% throughout the year.
