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Nov 29, 2024

SMART Q1 2025 Earnings Report

Reported a strong performance in Q1 fiscal 2025, marked by revenue growth and strategic execution.

Key Takeaways

Penguin Solutions reported a strong first quarter in fiscal year 2025, with a 24.4% increase in net sales compared to the year-ago quarter, driven by a 49% increase in Advanced Computing revenue. The company's GAAP diluted EPS was $0.10, and non-GAAP diluted EPS was $0.49. They affirmed their outlook for the full fiscal year.

Net sales increased by 24.4% year-over-year, reaching $341.102 million.

Advanced Computing revenue grew by 49% compared to the previous year.

GAAP diluted EPS was $0.10, a significant improvement from $(0.23) in the year-ago quarter.

The company affirmed its outlook for the full fiscal year 2025.

Total Revenue
$341M
Previous year: $274M
+24.4%
EPS
$0.49
Previous year: $0.24
+104.2%
Non-GAAP Gross Margin
30.8%
Previous year: 33.3%
-7.5%
Gross Profit
$97.8M
Previous year: $82.9M
+18.1%
Cash and Equivalents
$370M
Previous year: $529M
-30.0%
Free Cash Flow
$12M
Previous year: $26.8M
-55.3%
Total Assets
$1.58B
Previous year: $1.63B
-2.9%

SMART

SMART

SMART Revenue by Segment

Forward Guidance

Penguin Solutions is providing the following financial outlook for fiscal year 2025: Net sales 15% YoY Growth +/- 5%, Gross margin 30% +/- 1%, Operating expenses $335 million +/- $15 million, Diluted earnings per share $0.10 +/- $0.20, Diluted shares 56.3 million.

Positive Outlook

  • Net sales are expected to grow by 15% year-over-year, with a potential variance of +/- 5%.
  • Gross margin is projected to be around 30%, with a possible fluctuation of +/- 1%.
  • Operating expenses are estimated to be $335 million, with a potential range of +/- $15 million.
  • Diluted earnings per share are forecasted at $0.10, with a possible variance of +/- $0.20.
  • The number of diluted shares is expected to be 56.3 million.

Revenue & Expenses

Visualization of income flow from segment revenue to net income