NETGEAR reported Q3 net revenue of $378.1 million, an increase of 42.2% from the comparable prior year quarter. Third quarter 2020 non-GAAP net income per diluted share amounted to $1.13, as compared to $0.65 in the comparable prior year quarter.
Patrick Lo, Chairman and Chief Executive Officer of NETGEAR, commented, “The robust demand for WiFi that reliably covers the entire household continued in Q3 and signs point to this trend continuing well into next year. We entered the quarter sharply focused on delivering to this demand and our team worked tightly with our supply chain and retail partners to produce outstanding results. In Q3 we grew revenue 42% year over year to $378 million. With the elevated revenue level unlocking leverage in the business, the result was record earnings per share. As the pandemic persists, it is clear that families are adapting their lives to accommodate the need to pursue more of their daily activities virtually from home. This “more from home” transition is stretching well beyond work and school to include movie premieres, doctor visits, grocery shopping, fitness classes and visiting loved ones, and they now all require a whole home, fast and reliable WiFi connection. ”
Mr. Lo continued, “This trend naturally buoys the CHP side of the business, where our growth is strong across wireless routers and mesh systems and mobile hot spots. We continued to adapt our SMB offerings in Q3 to drive more sophisticated home office setups, including low port count switches and commercial grade WiFi, generating 23% sequential growth. In Q3 we added seventy six thousand subscribers for a total of three hundred and sixty nine thousand, and have already exceeded our full year goal of doubling our subscribers from the end of last year. We are poised to continue this momentum.”
