F5 Networks Inc (FFIV) Q2 2020 Earnings Call Transcript

F5 Networks Inc (FFIV) Q2 2020 Earnings Call Transcript

Factors that may affect our results are summarized in the press release announcing our financial results and described in detail in our SEC filings.. Overall, we delivered a very strong second fiscal quarter.. Our 7% total revenue growth was driven by customer demand for reliable application access and performance and consistent application security.. Strong customer demand for software subscriptions and security use cases fueled our 96% overall software growth.. I will speak to our COVID-19 related actions in more detail and other customer highlights from the quarter after Frank reviews the quarter's financial results and our Q3 outlook.. Non-GAAP revenue excludes the impact of the purchase accounting writedown on Shape's assumed deferred revenue.. As Francois mentioned, software revenue grew 96% year-over-year.. Software represented approximately 35% of product revenue in Q2, up from approximately 19% in the year ago quarter.. Systems revenue of $171 million was down 11% year-over-year as customers continue to transition to software-based solutions.. Systems accounted for approximately 65% of product revenue and 29% of total revenue in the quarter.. Looking at our bookings by vertical, enterprise customers represented 69% of product bookings and service providers accounted for 15%; government customers represented 16% of product bookings including 7%