NetApp Reports Record Q1 Earnings with Strong Revenue Growth
NetApp reported a record first-quarter performance for fiscal year 2027, driven by strong demand across its hybrid cloud and all-flash storage offerings. The company's revenue rose 30% year over year to $2.03 billion, while non-GAAP earnings per share increased 66% to $2.58. This growth was fueled in part by an additional week of operations but still reflected a solid underlying performance with product revenue up 51%. The company also saw significant demand for AI and data-lake modernization projects, closing around 350 such deals. NetApp raised its full-year fiscal 2027 outlook to $7.975 billion-$8.225 billion in revenue and non-GAAP EPS of $9.73-$10.03 due to continued strong demand for AI solutions, despite ongoing challenges with component costs affecting product margins. The company returned value to shareholders through share repurchases and dividends while maintaining a healthy cash position. The CEO highlighted the expansion of AI-related projects beyond GPU environments into broader infrastructure modernization efforts as key drivers of growth.
Tickers: $NTAP
Topics: acquisitions ai_demand cloud_services non_gaap_eps revenue_growth