What guidance did NetApp's management provide for the next earnings period?

What were the key takeaways from NetApp’s earnings call?

Did NetApp beat or miss consensus estimates last quarter?

What were the key takeaways from NetApp's earnings call?

What is NetApp's gross profit margin?

What is NetApp's latest dividend and current dividend yield?

What is the revenue and EPS growth rate for NetApp year over year?

What factors drove the changes in NetApp's revenue and profit?

- **Revenue Growth**: $1.71B Q3 revenue (+4% YoY), driven by all-flash arrays and Public Cloud Services.
- **AI Leadership**: 300+ AI deals, AFX wins in neoclouds, and AIDE early access program success.
- **Profitability**: Record EPS of $2.12, gross margin 71.2%, and FY26 EPS guidance of $7.92-$8.02.
- **Strategic Resilience**: Diversified portfolio (all-flash/hybrid/Keystone) and agile response to memory inflation.
- **Public Cloud Momentum**: 17% YoY growth, 85%+ gross margin, and 50% new customer contribution.


**【CEO Summary Section】**
- Q3 revenue of $1.71 billion, up 4% YoY (6% excluding divested Spot business). Operating income and EPS hit record highs.
- AI momentum: 300+ customers selected NetApp for AI readiness, including AFX wins in neoclouds and financial services. AIDE early access program engaged 100+ customers across industries.
- All-flash array revenue grew 11% YoY to $1B, driven by density and performance needs. Hybrid flash arrays saw renewed interest amid memory price inflation.
- Public Cloud Services revenue up 17% YoY, with 50% of new revenue from first-party/marketplace customers.
- Response to memory inflation: price increases, agile customer engagement, diversified portfolio (all-flash/hybrid/Keystone).

**【CFO Financial Commentary】**
- Non-GAAP EPS of $2.12, up 11% YoY. Gross margin 71.2%, driven by Public Cloud expansion.
- Q4 guidance: $1.87B revenue (8% YoY), EPS $2.21-$2.31. FY26 revenue $6.77B-$6.92B, EPS $7.92-$8.02.
- Deferred revenue $4.63B (12% YoY), unbilled RPO $482M (38% YoY), reflecting strong Keystone pipeline.
- Free cash flow $271M, share buybacks $200M, net cash $522M.

**【Q&A Highlights】**
- **AI Adoption**: 60% of AI deals in data prep, 40% in production. AFX and AIDE expected to scale in 2027. Customers moving to hybrid flash/Keystone amid memory cost concerns.
- **Supply Chain**: Covered through FY26 with prebuys, but Q3 required open market purchases for unexpected demand. HDDs not constrained, using non-competitive capacities.
- **Gross Margin Management**: Product GM down 1.8pts QoQ due to mix (all-flash growth, lower-margin Keystone). Long-term target: mid-50s to high-50s for product GM, 70-71% for total company.
- **Public Cloud Profitability**: Gross margin 85.1% in Q3, long-term target 80-85%. Business is accretive and sticky, with 17% YoY growth excluding Spot.


NetApp, Inc. (NTAP) Q3 2026 Earnings Call Transcript

- **Revenue resilience**: $1.71B Q2 (3% YoY), driven by 9% All-Flash growth and 32% Public Cloud expansion.
- **AI leadership**: 200+ AI deals, AFX/AIDE launches, and 76% YoY Keystone growth highlight strategic momentum.
- **Profitability standout**: 72.6% gross margin (vs. 71.1% Q1), $2.05 EPS (10% YoY), and record deferred revenue ($4.45B).
- **Cloud dominance**: 83% Public Cloud gross margin, 32% YoY services growth, and AWS/Azure/GCP AI integrations.
- **Risk mitigation**: Secured component pricing visibility, with U.S. public sector headwinds expected to resolve.

**【CEO Summary Section】**
- Q2 revenue of $1.71 billion, up 3% YoY (4% ex Spot business). All-Flash and Public Cloud (70% of revenue) drove growth, with AI solutions seeing strong demand.
- Launched AFX (AI-optimized storage platform) and AIDE (AI data engine), enabling seamless integration with hyperscalers and enterprise workflows. 200+ AI deals closed, up from 125 in Q1.
- All-Flash revenue grew 9% YoY to $1 billion (annualized run rate $4.1B). Public Cloud services revenue up 32% YoY.
- Cyber resilience innovations, like Ransomware Resilience service, helped win new customers, including a major Asian life insurance company.

**【CFO Financial Commentary】**
- Non-GAAP EPS of $2.05 (10% YoY growth), exceeding high end of guidance. Gross margin 72.6%, up 1.5pts QoQ, driven by product (59.5%) and cloud (83%) margins.
- Q3 guidance: Revenue $1.69B (±$75M), EPS $2.01-$2.11. FY26 revenue $6.625-$6.875B, EPS $7.75-$8.05.
- Free cash flow $78M, with $353M returned to shareholders via buybacks and dividends.

**【Q&A Highlights】**
- **Component Pricing**: Secured visibility for next 2+ quarters; product gross margin stable at ~59.5%. Cloud (80-85% GM) and Keystone (39% YoY unbilled RPO) offset potential headwinds.
- **AI Adoption**: 200+ Q2 deals (vs. 125 Q1), with 45% data prep/modernization, 25-30% training/fine-tuning. AFX gaining traction but still in qualification phase.
- **Public Sector**: U.S. public sector down due to shutdown, but non-U.S. growth offset (e.g., 76% YoY Keystone). Expect normalization post-shutdown.
- **Cloud Growth**: First-party/marketplace cloud services up 32% YoY, highest QoQ incremental revenue in cloud history. Focus on AI/ML workloads in AWS, Azure, GCP.
- **Supply Chain**: No current shortages; dynamic team manages volatility. Will lock in prices if needed, with ability to pass through costs quickly.


NetApp, Inc. (NTAP) Q2 2026 Earnings Call Transcript

- **Revenue Beat & AI Growth**: Q1 revenue of $1.56B (+1% YoY) driven by Americas enterprise. AI wins doubled to 125 deals, with 45% focused on model training.
- **Cloud & SaaS Momentum**: Public cloud gross margin hits 80.1%, Keystone SaaS up 80% YoY. New public cloud target of 80-85% gross margin.
- **Financial Strength**: $620M free cash flow, 25.7% operating margin. Full-year guidance for $6.75B revenue (+3% YoY).
- **All-Flash Leadership**: #1 in all-flash market with $893M revenue (+6% YoY). 45% of installed base now all-flash.
- **AI-Ready Infrastructure**: Solutions for hybrid cloud, multi-tenancy, and sovereign models with NVIDIA reference architectures.

**【CEO Summary Section】**
- Q1 2026 revenue of $1.56 billion exceeded midpoint guidance, driven by Americas enterprise strength (+1% YoY). All-flash array revenue grew 6% YoY to $893M, solidifying NetApp's #1 position in the all-flash market (IDC Q1 2025). 
- AI infrastructure wins doubled year-over-year to 125 deals, with 45% focused on model training and 20% on data lakes. Key wins included a global bank's hybrid cloud data lake for AI and a sovereign cloud provider's AI-as-a-Service platform.
- Cloud services revenue grew 33% YoY, with Keystone SaaS up 80% YoY. Public cloud gross margin reached 80.1%, exceeding prior target range of 75-80%, with a new long-term target of 80-85%.

**【CFO Financial Commentary】**
- Q1 non-GAAP EPS of $1.55 beat expectations, driven by $673M cash flow from operations and $620M free cash flow. Operating margin improved to 25.7%, with deferred revenue up 9% YoY to $4.53B.
- Q2 guidance: $1.69B revenue (midpoint +2% YoY), 71% gross margin, and $1.89 EPS. Full-year 2026 revenue expected to grow 3% YoY to $6.75B midpoint.
- Public cloud gross margin target raised to 80-85% due to software content growth and hardware depreciation roll-off.

**【Q&A Highlights】**
- **All-Flash Growth**: CEO noted 125 AI wins (vs. 50 YoY), with 45% focused on model training. CFO cited product gross margin challenges from NAND costs but expects improvement in 2H26.
- **AI Adoption**: Customers moving from PoCs to production, with 3 use cases (data lakes, model training, RAG). AI-as-a-Service wins with sovereign clouds and hyperscalers.
- **Public Cloud Momentum**: Public cloud revenue up 18% YoY (ex-Spot), with Keystone SaaS driving 18% Professional Services growth.
- **Competitive Position**: Americas enterprise share gains offset U.S. public sector weakness. 45% of installed base now all-flash, with 92% Support gross margin.


NetApp, Inc. (NTAP) Q1 2026 Earnings Call Transcript

- **Record FY25 Results**: $6.57B revenue (+5% YoY), $4.1B all-flash ARR (+14%), 5x AI revenue growth. FY26 guidance: $6.75B midpoint (+3% YoY), 71-72% gross margin.
- **AI Leadership**: 150 Q4 AI deals, 44% installed base all-flash. Public Cloud +22% YoY (ex Spot), first-party storage +44%.
- **Profitability**: 28.6% Q4 operating margin, $1.93 EPS (+7% YoY). FY25 free cash flow $1.34B.
- **Risks**: EMEA macro uncertainty, U.S. Public Sector delays. Tariffs impact 40-60bps margin.
- **Share Gains**: +300bps all-flash share (IDC), +100bps block storage. All-flash ARR growth outpaces market by 300bps.


**【CEO Summary Section】**
- Fiscal Year 2025 revenue reached $6.57 billion, up 5% YoY, driven by 14% growth in all-flash array ARR to $4.1 billion. AI business grew 5x YoY, with 150 AI infrastructure deals signed in Q4.
- All-flash systems now account for 44% of installed base, up from <50% five years ago. Public Cloud services (excluding Spot) grew 22% YoY, with first-party and marketplace storage up 44%.
- FY26 guidance: $6.625-$6.875 billion revenue (midpoint +3% YoY), 71-72% gross margin, and $7.60-$7.90 EPS. Q1 2026 revenue expected to decline 1% YoY due to macro uncertainty.

**【CFO Financial Commentary】**
- Q4 2025 revenue: $1.73 billion (+4% YoY), billings: $2.03 billion (+12% YoY). Hybrid Cloud revenue: $1.57 billion (+3% YoY), Public Cloud: $164 million (+8% YoY, +22% ex Spot).
- Gross margin: 69.5% (68.4% Hybrid Cloud, 79.3% Public Cloud). Operating margin: 28.6%, highest Q4 in company history. EPS: $1.93 (+7% YoY).
- FY25 cash flow: $1.51 billion (operating) and $1.34 billion (free). Share buyback authorization increased by $1.1 billion to $1.45 billion.

**【Q&A Highlights】**
- **AI Growth**: 150 AI deals in Q4, 5x YoY revenue growth. FY26 AI focus on inferencing (80% of storage opportunity). Spot divestiture limits Public Cloud growth but core cloud services +22% YoY.
- **Margins**: Product gross margin to stabilize in Q1, then improve gradually. Public Cloud margin near 80% target range. FY26 operating margin 28.8-29.8%.
- **Macro Risks**: EMEA manufacturing, U.S. Public Sector delays. Tariffs impact 40-60bps of gross margin. Europe deal pipeline cautious but Q4 execution strong.
- **Competitive Position**: Gained 300bps all-flash share (IDC), 100bps block storage. All-flash ARR growth outpaces market by 300bps.


NetApp, Inc. (NTAP) Q4 2025 Earnings Call Transcript

- **Revenue Resilience**: $1.64B Q3 revenue (+2% YoY) despite FX and execution challenges. Keystone SaaS up 60% YoY.
- **AI Growth Engine**: 100+ AI wins, including GenAI factories. StorageGRID deployment expands 3x for a retail bank.
- **Margin Improvement**: Public cloud gross margin +1,000bps to 76%. FY2025 EPS guidance $7.17-7.27 (+12% YoY).
- **Execution Fix**: Tighter pipeline scrutiny leads to Q4 deal closures, offsetting Q3 slippage.
- **Spot Divestiture**: $15M Q4 cloud revenue impact, but FY2025 EPS neutral.

**【CEO Summary Section】**
- **Revenue Growth**: Q3 FY2025 revenue of $1.64B (+2% YoY), driven by hybrid cloud (+1%) and all-flash arrays (+10% to $3.8B ARR). Keystone SaaS grew 60% YoY.
- **AI Momentum**: Over 100 AI infrastructure wins, including GenAI factories and data lake modernizations. StorageGRID expanded 5PB to 15PB for a US retail bank.
- **Product Refresh**: Completed refresh of AFF, A-Series, and C-Series arrays. New ASA systems enable edge-to-core scalability.
- **Execution Challenges**: Q3 deals slipped due to procurement delays, but many have closed in Q4. Tighter pipeline scrutiny implemented.

**【CFO Financial Commentary】**
- **Q3 Results**: GAAP EPS $1.91 (inline with guidance), operating margin 30% (above expectations). Public cloud revenue +15% YoY, excluding Spot by NetApp (+21% YoY).
- **Gross Margin**: Consolidated 71%, product 57% (Q4 expected 56%). Public cloud margin improved 1,000bps to 76%.
- **Cash Flow**: Operating cash flow $385M, free cash flow $338M. Strategic SSD purchases drove inventory turns to 7, with majority utilization planned for Q4.
- **FY2025 Guidance**: Revenue $6.49-6.64B (+5% YoY), EPS $7.17-7.27 (+12% YoY). Q4 revenue $1.65-1.80B (+3% YoY). Impact of Spot divestiture ($15M Q4 cloud revenue) and FX ($30M FY2025 revenue) factored in.

**【Q&A Highlights】**
- **Sales Execution**: Deal delays due to calendar-year budgeting and upscaling. Q4 showing early progress with slipped deals closing.
- **Public Sector**: European caution and US public sector weakness in Q4. US public sector ~10-12% of total revenue.
- **Product Margins**: Q4 product GM 56%, with FY2026 outlook improving as strategic SSDs deplete. Cloud GM to exit FY2025 near 80%.
- **Spot Impact**: FY2025 cloud revenue reduction ~$94M (trailing 12 months). Divestiture neutral to EPS.
- **AI Cycle**: Early innings with clients building AI centers of excellence. Enterprise GenAI adoption expected to accelerate in 2026.

NetApp (NTAP)-27 Feb 25-2025 Q3 Earnings call transcript

NetApp (NTAP)-21 Nov 24-2025 Q2 Earnings call transcript

NetApp (NTAP)-28 Aug 24-2025 Q1 Earnings call transcript

Netapp (NTAP)-30 May 24-2024 Q4 Earnings call transcript

NetApp, Inc. (NTAP) Q3 2024 Earnings Call Transcript

Netapp (NTAP)-28 Nov 23-2024 Q2 Earnings call transcript

Netapp (NTAP)-13 Aug 23-2024 Q1 Earnings call transcript

Netapp (NTAP)-31 May 23-2023 Q4 Earnings call transcript

- **Revenue Under Pressure**: Q3 revenue down 5% YoY, with all-flash array revenue declining 12% YoY due to macroeconomic challenges.
- **Cost-Cutting Measures**: 8% workforce reduction and hiring freeze help maintain 24% operating margin despite revenue headwinds.
- **New Product Momentum**: AFF C-Series QLC arrays and BlueXP control plane aim to drive storage growth and improve customer retention.
- **Cloud Growth Hurdles**: Public Cloud ARR growth stalled at $605 million, impacted by hyperscaler optimization and project winding-down.
- **Gross Margin Improvement**: Q4 product margin expected to rise with lower NAND costs, targeting 50%+ product margin in FY24.
- **Cautious Guidance**: FY23 revenue flat YoY, with hopes for improvement in FY24 as macro stabilizes and C-Series adoption gains traction.

**【CEO Summary Section】**
- **Revenue Performance**: Q3 revenue of $1.53 billion (-5% YoY) at low end of guidance, driven by macroeconomic challenges and IT spending contraction. Large enterprise and U.S. tech/service provider segments saw 12% YoY decline in all-flash array revenue.
- **Cost Management**: Implemented 8% workforce reduction and hiring freeze to control expenses. Maintained operating margin of 24% and EPS of $1.37 (above high-end of guidance).
- **Product Strategy**: Introduced AFF C-Series QLC-based all-flash arrays to address cost-sensitive customers. BlueXP control plane and NetApp Advance programs aim to simplify customer experience and drive retention.
- **Cloud Business**: Public Cloud ARR of $605 million (-10% QoQ) missed expectations due to hyperscaler optimization. CloudOps portfolio (Spot, CloudCheckr) showed growth, but cloud storage ARR growth was constrained.
- **Forward Outlook**: Cautious on FY23 revenue (flat YoY), with hopes for improvement in FY24 as macro stabilizes. Focus on reinvigorating storage business and sharpening cloud go-to-market strategy.

**【CFO Financial Commentary】**
- **Financial Highlights**: Q3 GAAP EPS of $1.37 (non-GAAP $1.37), exceeding high-end of guidance. Free cash flow of $319 million, with $1.1 billion full-year target maintained.
- **Gross Margin**: 67% (in line with guidance), with product margin headwinds from FX and component costs. Expecting improvement in Q4 as NAND prices decline and C-Series displaces lower-margin hybrid systems.
- **Expense Management**: Operating expenses tightly controlled, with 23-24% op margin guidance. Restructuring costs (~$20 million) baked into Q4 guidance.
- **Liquidity**: $3.1 billion in cash, with $308 million returned to shareholders (97% of FCF). Share count reduced 4% YoY.
- **FY23 Guidance**: Reiterates EPS of $5.30-$5.50 and free cash flow of $1.1 billion. Q4 revenue expected at $1.475-$1.625 billion (8% YoY decline at midpoint).

**【Q&A Highlights】**
- **Cloud ARR Dynamics**: Softness in cloud storage driven by hyperscaler optimization and project winding-down. New customer additions offset some churn, but growth remains uneven.
- **Gross Margin Outlook**: Q4 product margin improvement from lower NAND costs and component premiums. Long-term target of 50%+ product margin with C-Series adoption.
- **Storage Business Rebalance**: Shifting resources to commercial and mid-enterprise segments. C-Series expected to drive AFA growth in FY24 as large enterprise spending recovers.
- **FX Impact**: 340bps YoY headwind in Q3, expected to ease to ~140bps in Q4 and normalize in FY24.
- **Shareholder Returns**: Committed to >100% FCF return, with $200 million buybacks in Q3 and $1.1 billion full-year target.


Actual																1.16	1.19	0.73	1.05	1.1	1.17	1.15	1.28	1.44	1.42	1.2	1.48	1.37	1.54	1.15	1.58	1.94	1.8	1.56	1.87	1.91	1.93	1.55	2.05	2.12
Forecast																1.1787	1.1024	0.4072	0.7268	1.0117	1.1195	0.9534	1.2119	1.2844	1.2791	1.0983	1.3297	1.3081	1.345	1.0708	1.3931	1.689	1.7879	1.4543	1.7837	1.9125	1.8968	1.5385	1.8848	2.0621
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	-1.59%	+7.95%	+79.27%	+44.47%	+8.73%	+4.51%	+20.62%	+5.62%	+12.11%	+11.02%	+9.26%	+11.30%	+4.73%	+14.50%	+7.40%	+13.42%	+14.86%	+0.68%	+7.27%	+4.84%	-0.13%	+1.75%	+0.75%	+8.76%	+2.81%

Actual	--	--	--	--	--	--	--	--	--	--	--	--	--	--	--	1.40B	1.40B	1.30B	1.42B	1.47B	1.55B	1.46B	1.57B	1.61B	1.68B	1.59B	1.66B	1.53B	1.58B	1.43B	1.56B	1.61B	1.67B	1.54B	1.66B	1.64B	1.73B	1.56B	1.71B	1.71B
Forecast	--	--	--	--	--	--	--	--	--	--	--	--	--	--	--	1.46B	1.41B	1.15B	1.32B	1.43B	1.50B	1.43B	1.55B	1.61B	1.68B	1.55B	1.67B	1.61B	1.54B	1.41B	1.53B	1.59B	1.65B	1.53B	1.65B	1.68B	1.72B	1.55B	1.69B	1.70B
Surprise	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	-3.86%	-0.45%	+13.05%	+7.66%	+2.58%	+3.76%	+1.82%	+1.02%	+0.05%	-0.10%	+2.82%	-0.63%	-5.18%	+2.46%	+1.34%	+2.21%	+0.97%	+0.79%	+0.96%	+0.79%	-2.31%	+0.50%	+0.85%	+1.05%	+1.03%

NTAP

NTAP fundamentals

NTAP Q3 2026 Earnings

Earnings Call

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NTAP

NTAP fundamentals

NTAP Q3 2026 Earnings

Earnings Call

NTAP Earnings Call Summary for Q3/20265:30 PM on Feb 26, 2026

NTAP Earnings Call Summary for Q2/20265:30 PM on Nov 25, 2025

NTAP Earnings Call Summary for Q1/20265:30 PM on Aug 27, 2025

NTAP Earnings Call Summary for Q4/20255:30 PM on May 29, 2025

NTAP Earnings Call Summary for Q3/20255:00 PM on Feb 27, 2025

You can ask Aime