Everpure (PSTG) Q4 2026 earnings summary

Executive summary

• Achieved first-ever billion-dollar revenue quarter in Q4, with FY 2026 revenue reaching $3.7 billion, driven by strong enterprise and hyperscale demand.

• Q4 non-GAAP operating income reached $226M (21.3% margin), with FY 2026 non-GAAP operating profit at $635M (17.3% margin).

• Rebranded as Everpure, reflecting a shift from storage to intelligent data management and AI readiness.

• Announced acquisition of 1touch to enhance data discovery, classification, and governance for AI workloads.

• Customer base exceeded 14,500, including 64% of Fortune 500 companies, with an NPS of 84.

Financial highlights

• Q4 revenue surpassed $1 billion, up 20% year-over-year; Q4 product revenue was $618 million (+25% YoY); subscription revenue $440 million (+14% YoY).

• FY 2026 revenue grew 16% to $3.7 billion; operating profit reached $635 million (17.3% margin).

• Q4 non-GAAP gross margin was 77.0%; FY26 non-GAAP gross margin was 72.1%.

• Q4 operating cash flow was $268M; FY26 operating cash flow was $880M; free cash flow for FY 2026 was $616 million (16.8% margin).

• Q4 total contract value sales for storage-as-a-service grew 28% YoY to $179 million; FY 2026 TCV sales up 32% to $520 million.

Outlook and guidance

• FY 2027 revenue guidance: $4.3–$4.4 billion (up 17–20% YoY); operating profit $780–$820 million (up 23–29% YoY).

• Q1 FY 2027 revenue expected at $990 million–$1.01 billion (+27–30% YoY); operating profit $125–$135 million (+51–63% YoY).

• Majority of hyperscaler revenue expected in Q3 and Q4 FY 2027.

• Product gross margins in Q1 expected at lower end of 65–70% range, recovering through the year.

• Expect significant acceleration in hyperscaler shipments and revenues in FY27.