Arista Networks reported Q3 revenue of $748.7 million, an increase of 5.8% compared to the second quarter of 2021, and an increase of 23.7% from the third quarter of 2020. GAAP gross margin owas 63.9%, compared to GAAP gross margin of 64.2% in the second quarter of 2021 and 63.6% in the third quarter of 2020. Non-GAAP net income was $236.9 million, or $2.96 per diluted share, compared to non-GAAP net income of $192.0 million, or $2.42 per diluted share in the third quarter of 2020.
"We are experiencing strong demand for our pioneering client to cloud networking portfolio across all of our customer sectors. Despite a challenging supply chain environment, I am pleased with our delivery of another record quarter of Arista's financial results in Q3 2021," stated Jayshree Ullal, Arista’s President and CEO.
“We are experiencing strong demand for our pioneering client to cloud networking portfolio across all of our customer sectors. Despite a challenging supply chain environment, I am pleased with our delivery of another record quarter of Arista's financial results in Q3 2021.”
Arista’s board of directors has also approved a four-for-one stock split later this month.
On an investor call, Arista executives said the company increased its list prices effective November 4, 2021, averaging approximately 10% to offset price hikes ranging from 15% to as high as 200% across its entire supply chain. The company also noted that lead times of many components have extended to 50 to 80 weeks.
Arista also said services and subscription software contributed approximately 21.5% of revenue in the third quarter, down from 22.3% in Q2. International revenues is Q3 amounted to$ 191 million or 25% of total revenue down from 27% in the second quarter.
