FireEye’s (FEYE) intelligence-based cybersecurity solutions have helped it gain solid market traction. The company’s strong product portfolio, which includes the Helix security platform, Endpoint security solutions, and iSIGHT Intelligence, continues to see huge adoption.
Other macroeconomic factors, such as the ongoing migration of various industries toward the cloud and growing cyber security threats across the world, have further spiked demand for security products.
FireEye’s strategy to change its business model to a subscription-based model has also supported the growth in its business. The company’s policy to expand its market presence through inorganic growth has also driven its business. In January, it bought X15 Software, and in October 2017, it acquired Clean Communications.
The above-mentioned key catalysts continue to boost the company’s top line. In the last five quarters, its revenue has risen at a compound annual growth rate of 2%. Its strategic partnership with Oracle (ORCL) could further drive its business going forward.
In the graph above, we can see FireEye’s revenue growth over the last five quarters. In the first quarter, the company’s total revenue rose 8% year-over-year to $199 million. Increased new client additions and higher annual recurring revenue from its existing customers have allowed the company to maintain such revenue growth.
FireEye expects its second-quarter revenue to be in the range of $199 million–$203 million. Likewise, it expects its 2018 revenue to rise between $820 million and $830 million.