ALLOT LTD Reports Third Quarter Earnings Results for Fiscal Year 2023

🌥️Earnings Overview

ALLOT LTD ($NASDAQ:ALLT) reported their financial results for the third quarter of FY 2023, ending September 30 2023. Total revenue for this period was USD 22.6 million, a decrease of 9.6% from the same quarter in the previous year. Net income for the quarter was -USD 12.4 million, showing a slight improvement from last year’s -12.9 million.

Market Price

On Thursday, ALLOT LTD released its third quarter financial results for fiscal year 2023. The company reported a stock opening of $1.5 and closing of $1.4, a steep plunge of 16.0% from its prior closing price of $1.7. Furthermore, the company noted that higher costs associated with their research and development activities and increased investments in marketing had also contributed to the lower financial results. Despite the lower performance, ALLOT LTD remains committed to its long-term growth strategy and is confident that the company will be able to overcome its current challenges and achieve higher profits in the upcoming quarters. Live Quote…

About the Company

Income Snapshot

Below shows the total revenue, net income and net margin for Allot Ltd. More…

Cash Flow Snapshot

Below shows the cash from operations, investing and financing for Allot Ltd. More…

Balance Sheet Snapshot

Below shows the total assets, liabilities and book value per share for Allot Ltd. More…

Key Ratios Snapshot

Some of the financial key ratios for Allot Ltd are shown below. More…

Analysis

As GoodWhale, we have conducted an analysis on the wellbeing of ALLOT LTD. According to our Star Chart, ALLOT LTD has an intermediate health score of 4/10 with regard to its cashflows and debt, indicating that it is likely to safely ride out any crisis without the risk of bankruptcy. Across the board, ALLOT LTD is strong in asset, and weak in dividend, growth, profitability. We classify ALLOT LTD as an ‘elephant’, a type of company that is rich in assets after deducting off liabilities. Given this analysis, we believe investors interested in value investing may be drawn to ALLOT LTD. Such investors are usually focused on investing in assets that are undervalued or have potential for growth but may require some work to unlock value. By investing in ALLOT LTD, they may be able to take advantage of the company’s strong asset base and attempt to turn it into a more profitable venture. More…

Peers

In the cyber security market, Allot Ltd competes with Corero Network Security PLC, Hillstone Networks Co Ltd, and Nsfocus Technologies Group Co Ltd. Allot Ltd provides software-based solutions that enable service providers and enterprises to protect and personalize the Internet experience. The company’s solutions are used by over 1,700 customers in more than 80 countries.

– Corero Network Security PLC ($LSE:CNS)

Corero Network Security PLC is a network security company that provides DDoS protection solutions. The company has a market cap of 54.55M as of 2022 and a Return on Equity of 10.96%. Corero Network Security PLC’s DDoS protection solutions help organizations to defend against DDoS attacks and minimize the impact of these attacks.

– Hillstone Networks Co Ltd ($SHSE:688030)

The company’s market cap has grown significantly over the past few years, reaching $3.77 billion by 2022. This is due in part to the company’s strong financial performance, with a return on equity of 3.64%.

Stone Networks is a leading provider of network security solutions. The company’s products are used by some of the largest organizations in the world, including banks, governments, and military organizations.

– Nsfocus Technologies Group Co Ltd ($SZSE:300369)

Nsfocus Technologies Group Co Ltd is a Chinese multinational cybersecurity and anti-virus provider. The company has a market cap of 7.9B as of 2022 and a Return on Equity of 3.03%. Nsfocus provides cybersecurity solutions for enterprise, government, and SMB customers. The company’s products and services include network security, application security, and endpoint security. Nsfocus was founded in 2003 and is headquartered in Beijing, China.

Summary

ALLOT Ltd‘s third quarter of the fiscal year 2023 saw a decrease in total revenue of 9.6% from the same period last year, to USD 22.6 million. Net income for the quarter was a slight improvement over the previous year, but still came in at a negative USD 12.4 million. This resulted in a drop in the stock price on the same day.

Investors should take this into consideration when making decisions about investing in ALLOT Ltd. The company’s performance is concerning, and it may be wise to wait until its financials and outlook improve before investing in the company.