Fortinet Expects 13% Revenue Growth in 2025 Driven by SASE and SecOps Momentum

Fortinet's CEO Ken Xie highlighted the company's strong Q4 2024 performance, with a 17% total revenue growth and record operating margin of 39%. Product revenue increased by 18%, the highest in six quarters, driven by secure access service edge (SASE) and security operations (SecOps) momentum. The company targets 13% revenue growth for 2025.

Fortinet, a leading cybersecurity company, reported impressive financial results for the fourth quarter of 2024. The company's CEO, Ken Xie, highlighted a 17% total revenue growth and a record operating margin of 39%, marking a significant achievement for the organization [1].

Product revenue, which experienced an 18% increase - the highest in six quarters - was driven primarily by the momentum of secure access service edge (SASE) and security operations (SecOps) [1]. This growth can be attributed to Fortinet's ongoing investment in the convergence of networking and security, a strategy that has proven successful for the company [1].

The need for reduced complexity in enterprise networks and security systems is a growing concern for businesses worldwide. Fortinet's latest innovation, the fifth-generation security processor (FortiSP5), addresses this need by offering enhanced security computing power and line-speed convergence of networking and security at every network edge [1].

The FortiSP5's advanced features, such as secure compute power ratings for major network security functions and doubled ASIC chip acceleration, enable Fortinet's FortiOS operating system to integrate more security functions and applications than competitors [1]. This integration leads to a lower total cost of ownership and easier operations for Fortinet's customers [1].

Fortinet's proprietary System-on-a-Chip technology, now in its fifth generation, has a proven track record of powering top-performing products and solutions in the industry [1]. For instance, a recent Forrester report revealed that customers deploying Fortinet's Secure SD-WAN solution achieved a 300% return on investment over three years with a payback period of only eight months [1].

As the convergence of networking and security continues to gain momentum, Fortinet is well-positioned to capitalize on this opportunity with its innovative solutions and commitment to leading the industry in this space. The company targets a 13% revenue growth for 2025 [1].

References:
[1] Fortinet. (2024, November 1). Ken Xie Growth Differentiators: FortiSP5. Retrieved November 14, 2024, from https://www.fortinet.com/blog/business-and-technology/ken-xie-growth-differentiators-fortisp5