Arista Networks, Inc. (NYSE:ANET) Q1 2023 Earnings Call Transcript

Sami Badri: Hi, Two number questions. One is, could you just give us an idea on campus revenues in 1Q 2023, and that’s going to trend in 2023? And then for cloud titans, is that expected to grow, grow double digits? Any kind of reference that you could make for what cloud titan is going to do for the balance of 2023?

Ita Brennan: Yes. I don’t think we’re going to try to prevent the vertical split. I think what we said is, we think our two biggest customers will be at least 10% customers for the year, but it’s not all we’ve really said on that front.

Jayshree Ullal: And we feel good about that here. They’re good partners, and despite all the volatility, we’ll have a good year with them. And on campus, I think I gave you a number for 750 million by 2025. I’ll stick with that, and we’ll give that to you towards the end of the year when we really achieve something.

Liz Stine: Operator, we have time for one last question, please.

Operator: Your final question today comes from the line of George Notter with Jefferies. Your line is now open.

George Notter: Hi, guys. Thanks a lot. I guess just following on, on some of the questions about visibility and customers. Any evidence of customers building inventory of your products whether that’s just stand-alone inventory or whether it’s inventory that’s maybe installed in the network, but not being fully utilized. I guess what I’m really asking is, any thoughts about excess inventory rather than just, kind of the normal buffers that are out there? Thanks.

Jayshree Ullal: I think you asked the question well and you almost answered it. It’s just normal buffers. There’s nothing excess in inventory we’re seeing. Nothing abnormal.

Ita Brennan: , there’s so constrained. George. I mean, you are just guiding to …

Jayshree Ullal: Gosh, if they have some, we’d like to know how they got it.

George Notter: Thanks so much.

Liz Stine: This concludes the Arista Networks first quarter 2023 earnings call. We have posted a presentation, which provides additional information on our results, which you can access on the Investors section of our website. Thank you for joining us today, and thank you for your interest in Arista.

Operator: Thank you for joining. Ladies and gentlemen, this concludes today’s call. You may now disconnect.