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May 07, 2023

Pure Storage Q1 2024 Earnings Report

Reported a decrease in revenue but an increase in subscription services revenue and ARR.

Key Takeaways

Pure Storage announced its Q1 fiscal year 2024 financial results, with a revenue of $589.3 million, a 5% decrease year-over-year. However, subscription services revenue increased by 28% year-over-year to $280.3 million, and subscription ARR grew by 29% year-over-year to $1.2 billion.

Revenue was $589.3 million, a decrease of 5% year-over-year.

Subscription services revenue was $280.3 million, up 28% year-over-year.

Subscription ARR was $1.2 billion, up 29% year-over-year.

GAAP operating loss was $(71.8) million; non-GAAP operating income was $19.6 million.

Total Revenue
$589M
Previous year: $620M
-5.0%
EPS
$0.08
Previous year: $0.25
-68.0%
Gross Profit
$413M
Previous year: $426M
-3.1%
Cash and Equivalents
$378M
Previous year: $455M
-16.9%
Free Cash Flow
$122M
Previous year: $187M
-35.0%
Total Assets
$2.96B
Previous year: $2.83B
+4.6%

Pure Storage

Pure Storage

Pure Storage Revenue by Segment

Forward Guidance

Pure Storage provided guidance for Q2 FY24, expecting revenue of $680 million and a non-GAAP operating margin of 13%. For the full fiscal year 2024, they anticipate mid to high single-digit year-over-year revenue growth and a non-GAAP operating margin of 15%.

Positive Outlook

  • Revenue $680 million for Q2 FY24
  • Non-GAAP Operating Income $90 million for Q2 FY24
  • Non-GAAP Operating Margin 13% for Q2 FY24
  • Mid to High Single Digit Y/Y Growth for FY24
  • Non-GAAP Operating Margin 15% for FY24

Revenue & Expenses

Visualization of income flow from segment revenue to net income