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Sep 30
Arista Q3 2025 Earnings Report
Arista posted strong third quarter results with record revenue and profits.
Key Takeaways
Arista Networks delivered a strong Q3 2025 with solid growth in revenue and net income, driven by strong demand across data, cloud, and AI networking. EPS and non-GAAP EPS both increased, and margins remained healthy despite slight compression.
Revenue reached $2.308 billion, up from $1.811 billion in Q3 2024.
GAAP Net Income rose to $853 million, with diluted EPS of $0.67.
Non-GAAP EPS increased to $0.75, reflecting strong operational efficiency.
Product and service segments both saw significant growth year-over-year.
Arista
Arista
Arista Revenue by Segment
Revenue by Segment
Product Revenue
CapyFin.comService Revenue
CapyFin.com Forward Guidance
Arista provided Q4 guidance with expected continued revenue growth and healthy margins, while acknowledging macro uncertainties.
Positive Outlook
- Revenue expected between $2.3B and $2.4B.
- Non-GAAP gross margin expected between 62–63%.
- Non-GAAP operating margin expected between 47–48%.
- Strong demand continues across AI and cloud verticals.
- Strategic leadership appointments to strengthen cloud and AI execution.
Challenges Ahead
- Potential macroeconomic headwinds could impact IT spending.
- Gross margin slightly down from prior quarter.
- Ongoing supply chain and inventory pressures.
- Currency fluctuations may affect international revenue.
- Margins could be impacted by investments in new technologies.
Revenue & Expenses
Visualization of income flow from segment revenue to net income