Brief: Extreme Networks Q4 Adjusted EPS USD 0.25 Vs. IBES Estimate USD 0.23

Extreme Networks

06/08/2025 12:05

Overview

Extreme Networks Q4 revenue up 20% yr/yr, beating analyst expectations

Non-GAAP EPS for Q4 at $0.25, surpassing analyst estimates

SaaS ARR increased 24% yr/yr, indicating strong subscription model growth

Outlook

Extreme targets Q1 FY26 revenue between $292 mln and $300 mln

Company expects Q1 FY26 non-GAAP EPS of $0.20 to $0.23

Extreme sees FY26 revenue between $1,228 mln and $1,238 mln

Company anticipates re-acceleration of revenue growth in FY26

Result Drivers

GLOBAL DEMAND - Increased customer engagement in EMEA and APAC regions contributed to revenue growth, per CEO Ed Meyercord

AI PLATFORM - Launch of Extreme Platform ONE, an AI-driven networking platform, is driving customer interest and market momentum

EXPENSE MANAGEMENT - Prudent expense management led to strong cash flow, according to CFO Kevin Rhodes

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Revenue
Beat
$307 mln
$299.90 mln (7 Analysts)
Q4 Adjusted EPS
Beat
$0.25
$0.23 (7 Analysts)
Q4 EPS
-$0.06
Q4 Adjusted Gross Margin
62.3%
Q4 Adjusted Operating Margin
15.2%


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the communications & networking peer group is "buy"

Wall Street's median 12-month price target for Extreme Networks Inc is $20.00, about 11.6% above its August 5 closing price of $17.67

The stock recently traded at 18 times the next 12-month earnings vs. a P/E of 14 three months ago

Press Release: ID:nBw679wcFa

(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.)