Arista Networks, Inc.

Welcome to the second quarter 2021 Arista Network's financial results earnings conference call. During the call, all participants will be in a listen-only mode. After the presentation, we will conduct a question and answer session. Instructions will be provided at that time. If at any time during the conference you need to reach an operator, please press the star followed by zero. As a reminder, this conference is being recorded and will be available for replay from the investor relations section at the Arista website following this call. I will now turn the call over to Mr. Charles Yeager, Director of Product and Investor Advocacy. Sir, you may begin.

Thank you, Operator. Good afternoon, everyone, and thank you for joining us. With me on today's call are Jay Sharia Lal, Arista Network's President and Chief Executive Officer, and Ida Brennan, Arista's Chief Financial Officer. This afternoon, Arista Network's issued a press release announcing the results for its fiscal second quarter ending June 30, 2021. If you'd like a copy of the release, You can access it online at our website. During the course of this conference call, Arista Networks Management will make forward-looking statements, including those relating to our financial outlook for the third quarter of the 2021 fiscal year, longer-term financial outlooks for 2021 and beyond, our total addressable market and strategy for addressing these market opportunities, the potential impact of COVID-19 on our business, product innovation, and the benefits of acquisitions. which are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC, specifically in our most recent Form 10-Q and Form 10-K, and which could cause actual results to differ materially from those anticipated by these statements. These forward-looking statements applies of today, and you should not rely on them as representing our views in the future. We undertake no obligation to update these statements after this call. Also, please note that certain financial measures we use on this call are expressed on a non-GAAP basis and have been adjusted to exclude certain charges. We have provided reconciliations of these non-GAAP financial measures to GAAP financial measures in our earnings press release. With that, I will turn the call over to Jay Shree.

Thank you, Charles. Thank you, everyone, for joining us this afternoon for our second quarter 2021 earnings call. I hope you're all being safe and vaccinated in these post-pandemic times, especially with the resurgence of the Delta variant. I would also like to take this opportunity to warmly welcome Liz Stein, our new Director of Investor Relations Advocacy, working closely with Charles. Liz is a long-time Aristan with deep networking expertise and most recently ran our South Central region as the Systems Engineering Manager. Welcome, Liz. Back to Q2 2021 specifics. We delivered revenues of $707.3 million for the quarter with a record non-gap earnings per share of $2.72 cents. AKS services and software renewals contributed approximately 22% of revenue. Our non-GAAP gross margin, 65.2%, was influenced by enterprise momentum and software and services contributions. We are pleased with the healthy customer traction, including new customer logos and record million-dollar customers in the mainstream enterprise. In Q2 2021, cloud titans were our largest vertical. The enterprise was a close second followed by financials and specialty cloud providers tied at third place and service provider at fourth place. International contribution was strong at 27%, with the Americas at 73% for the quarter. We surpassed the cumulative of 50 million cloud networking port shipments this quarter, and we consider this to be a key golden milestone. In light of the industry-wide supply chain shortages, and escalating cost of components, freight, and expedite logistics, I would like to invite John McCool, our Senior Vice President and Chief Platform Officer, to shed some more light on our manufacturing execution. Welcome, John.