Pure Storage's Q3 revenue slightly beats expectations

Everpure

02/12/2025 21:15

Overview

Pure Storage fiscal Q3 revenue grows 16% yr/yr, slightly beating analyst expectations

Adjusted operating income for fiscal Q3 beats analyst estimates

Company raises full-year revenue and operating profit guidance

Outlook

Company raises FY26 revenue guidance to $3.63 bln-$3.64 bln

Pure Storage expects Q4FY26 revenue of $1.02 bln-$1.04 bln

Company forecasts FY26 non-GAAP operating income of $629 mln-$639 mln

Result Drivers

CLOUD EXPANSION - Co expanded Enterprise Data Cloud into public cloud with Pure Storage Cloud Azure Native, enhancing competitive position

SUBSCRIPTION REVENUE GROWTH - Subscription services revenue up 14% yr/yr, reflecting strong customer adoption

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Slight Beat*
$964.50 mln
$956.07 mln (18 Analysts)
Q3 EPS
$0.16
Q3 Adjusted Operating Income
Beat
$196.20 mln
$190.55 mln (17 Analysts)
Q3 Adjusted Gross Margin
74.10%
Q3 Adjusted Operating Margin
20.30%
Q3 Operating Cash Flow
$116 mln
Q3 Operating Income
$53.90 mln


*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 15 "strong buy" or "buy", 5 "hold" and 1 "sell" or "strong sell"

The average consensus recommendation for the computer hardware peer group is "buy"

Wall Street's median 12-month price target for Pure Storage Inc is $95.00, about 6.8% above its December 1 closing price of $88.55

The stock recently traded at 37 times the next 12-month earnings vs. a P/E of 35 three months ago

Press Release: ID:nPnqNgGCa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)