COVID-19 Crisis To Help Akamai Replicate $300 Million+ Revenue Growth From The Past 2 Years? – Forbes

UKRAINE - 2020/03/25: In this photo illustration an Akamai logo is seen displayed on a smartphone. ... [+] (Photo Illustration by Igor Golovniov/SOPA Images/LightRocket via Getty Images)

As per Trefis estimates, the coronavirus pandemic could indeed aid Akamais (NASDAQ: AKAM) revenue growth across both its segments. The companys revenue comprises of two segments i.e. Web Division and Media & Carrier Division. Akamais revenue has risen from $2.5 billion in 2017 to $2.9 billion in 2019, up by more than 15% in 2 years. The Web Division has seen higher growth over this period due to the companys incremental adoption of cloud security solutions. In Q1 2020, Akamais revenue was recorded at $764 million, up by 8% y-o-y. Further, we believe that despite the economic slowdown, the lockdown situation calls for an increasing need for web servers, and cloud security solutions, as online activity has seen a surge over the past couple of months, and this could help Akamai maintain its revenue growth over the next 2 years. For the year 2020, Trefis estimates total revenue growth to come in at almost 6%.

We expect Akamais revenue to grow from $2.9 billion in 2019 to $3.2 billion in 2021 as detailed in our interactive dashboard, Akamai Revenues: How Does AKAM Make Money?

Company Overview and General Reference

Overview of Company Revenues

Akamai reported $2.9 billion in total revenues for full-year 2019. This includes 2 operating segments:

Web Division segment will remain the highest contributor to revenue

Trefis

Media and Carrier Division to see stable revenues

Conclusion

While Akamais revenue could see growth over the next couple of years, heres an analysis of how Verisign, another internet company, has performed over the past 2 years.

See allTrefis Price EstimatesandDownloadTrefis Datahere

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COVID-19 Crisis To Help Akamai Replicate $300 Million+ Revenue Growth From The Past 2 Years? - Forbes

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