NetScout Systems, Inc. (NTCT) reported Q2 FY2025 revenue of $191.1 million, a 2.9% year-over-year decline, largely reflecting backlog-related revenue from the prior year and the divestiture of the test optimization business. On a normalized basis, management indicated Q2 would have shown mid-single-digit growth absent those headwinds. Non-GAAP diluted EPS was $0.47 for the quarter, down from the prior year due to incentive-related expense reversals from the prior period and an unrealized foreign investment loss; GAAP EPS was $0.13. For the half-year, revenue totaled about $366 million, down roughly 10% YoY, again driven by backlog normalization and the divestiture impact. Management reaffirmed full-year non-GAAP guidance: revenue of $800–$830 million and EPS of $2.10–$2.30, with an expected tax rate of ~20% and roughly 73 million weighted-average shares. They also highlighted a cost-reduction program (VSP) expected to deliver ~$25 million in annualized run-rate savings, with ~$19 million realized in FY2025, and projected an approximate 55/45 split of revenue between H2/H1. NetScout also signaled continued growth in cybersecurity, aided by AI-enabled data analytics, and progress on AI-ready solutions (Omnis AI Insights and Omnis Cyber Intelligence). The balance sheet remains solid with substantial cash (end of period ~$363.4 million), a strengthened revolving facility ($600 million, matures 2029), and improving liquidity metrics (DSO ~53 days). The equity story hinges on expanding cybersecurity and AI-enabled analytics, cross-selling across service assurance and security, and capturing operator capex cycles tied to 5G slicing and fixed wireless initiatives. Investors should monitor: (1) the pace of cybersecurity bookings and attachment to carrier and enterprise deals, (2) the realization of VSP-driven cost savings, (3) the evolution of backlog normalization, and (4) the timing of anticipated budget flush effects in Q3–Q4 2024.