Juniper Networks on Thursday said it reduced 231 jobs by spending $13.9 million and it has 9,483 employees in the fourth quarter of 2013.
As part of its cost cutting efforts, Juniper eliminated 240 exhibitions, of which 112 were in R&D and 95 in sales and marketing.
There will be more such initiatives in the pipeline, indicated Juniper Networks CEO Shaygan Kheradpir.
Explaining his new plans that will assist the enterprise networking vendor to take on Cisco, Juniper CEO said the company will be expanding its target customer base. It will add more social media companies, cable operators and social media networks to improve revenue.
“My initial priorities are centered around developing an integrated operating plan, which is focused on profitable growth and shareholder value creation. I will present the details of this plan to you more fully in a few weeks,” said Kheradpir during an analyst call.
Juniper Networks aims to become a leading provider of high-IQ networks and cloud builder, where the network is the most sensitive piece of the puzzle and has to be the first mover.
“We will position Juniper as a world-class provider of high-IQ networks and cloud builder across our customer base. This includes not only our strong base of service providers and public sectors customers, but also newer customer segments such as Web 2.0, cable, content and financial services, as well as other customers who all want clouds and high-IQ network,” Juniper CEO said.
Juniper Networks is planning a 3-pronged approach: focused R&D that matters, radical simplification on automation, and rightsizing. The company will be announcing more details later.
Regional performance
Juniper Networks said Americas revenue was up 4 percent sequentially and up 13 percent year-over-year. Americas Service Provider revenue was down 2 percent sequentially and up 6 percent year-over-year. It continues to see strength across the customer base, especially in cable and content or Web 2.0 providers.
Americas Enterprise grew 16 percent sequentially and 29 percent year-over-year, driven by strong performance in both financial and federal sectors.
EMEA revenue was up 17 percent sequentially and 6 percent year-over-year. The sequential growth was driven by service provider performance in Germany, U.K. and Eastern Europe. EMEA Enterprise also rebounded. APAC increased 5 percent sequentially and 18 percent. Both Service Provider and Enterprise grew in the region.
Segment analysis
Service provider revenue for the quarter was $827 million, up 5 percent sequentially and 12 percent year-over-year. Enterprise revenue was $447 million, up 12 percent sequentially and 11 percent year-over-year.
For the full fiscal year, Service Provider revenues were $3,054,000,000, up 9 percent. Enterprise revenue was $1,615,000,000, up 4 percent. While the growth was across all customer segments, content and cable were the key drivers. Over 50 percent of the total revenue growth in 2013 came from the web services content and cable customers.
Product performance
Router product revenue was $618 million, was up 1 percent sequentially and 16 percent year-over-year. While routing revenue in the quarter was healthy, bookings were very strong and grew over 20 percent sequentially and over 30 percent year-over-year, driven by MX and PTX product lines.
For the full year, router product revenue grew 14 percent. Total switching product revenue was a record $199 million, up 35 percent sequentially and 36 percent from a year ago. This was driven by strong sales of EX and QFabric.
For the full year, switching product revenue grew 15 percent. Total security product revenue was $157 million, an increase of 9 percent sequentially.
