Pure Storage Q4 2025 Earnings Report
Key Takeaways
Pure Storage reported Q4 2025 revenue of $879.8 million, an 11% increase year-over-year, driven by strong subscription services growth. GAAP net income was $42.4 million, with non-GAAP operating income reaching $153.1 million. The company continues to scale its subscription model, with ARR reaching $1.7 billion, up 21% year-over-year.
Q4 2025 revenue reached $879.8 million, up 11% year-over-year.
GAAP net income was $42.4 million, while non-GAAP operating income stood at $153.1 million.
Subscription services revenue grew 17% year-over-year to $385.1 million.
Subscription annual recurring revenue (ARR) reached $1.7 billion, reflecting a 21% year-over-year increase.
Pure Storage Revenue
Pure Storage EPS
Pure Storage Revenue by Segment
Forward Guidance
Pure Storage expects continued growth in FY26, with revenue projected to increase by 11% and non-GAAP operating income set to rise significantly.
Positive Outlook
- FY26 revenue forecast at $3.515 billion, representing 11% growth year-over-year.
- Subscription services expected to remain a key driver of growth.
- Non-GAAP operating income projected to reach $595 million, up from $559 million in FY25.
- Incremental $250 million authorized for share repurchases to enhance shareholder value.
- Continued investment in AI, hyperscale storage, and cloud solutions to drive market expansion.
Challenges Ahead
- Rising operational expenses, including higher R&D and sales costs, may impact margins.
- Market competition in the storage sector remains intense, requiring constant innovation.
- Potential economic uncertainty could affect enterprise IT spending patterns.
- Dependence on large enterprise contracts introduces revenue volatility risks.
- Global supply chain constraints may pose challenges in meeting hardware demand.
Revenue & Expenses
Visualization of income flow from segment revenue to net income