Pure Storage (PSTG) reported non-GAAP earnings per share (EPS) of 32 cents in first-quarter fiscal 2024, which beat the Zacks Consensus Estimate by 45.5%. The company reported non-GAAP EPS of 8 cents in the prior-year quarter. Total revenues surged 18% from the year-ago quarter to $693.5 million and beat the Zacks Consensus Estimate by 1.8%. The top-line performance was driven by higher sales to new and existing enterprise customers across the data storage platform. Robust demand for FlashBlade solutions, i ...

Financial Data and Key Metrics Changes - The company reported a return to double-digit revenue growth in Q1, with revenue increasing by 18% year-over-year [56][57] - Total contract value (TCV) sales for storage-as-a-service offerings were $56 million, with expectations of 50% growth for the fiscal year [43][100] - Gross margin strength was reported at 73.9%, with product gross margin at 72.8% and subscription services gross margin at 74.9% [45][56] - Operating profit was $100 million, resulting in an operating margin of 14.5% [46][56] - Cash flow from operations was $222 million, with capital expenditures at $49 million, representing approximately 7% of revenue [47] Business Line Data and Key Metrics Changes - The company is seeing strong demand for its FlashBlade solutions, particularly in AI workloads, contributing to broader adoption across geographies [36][57] - Subscription services annual recurring revenue (ARR) grew by 25% to over $1.4 billion, with total remaining performance obligations (RPO) growing by 27% year-over-year to $2.3 billion [58][59] - The //E family solutions and FlashArray//C are driving competition in secondary and lower storage tiers [45][90] Market Data and Key Metrics Changes - U.S. revenue for Q1 was $489 million, while international revenue was $204 million [44] - The company serves 61% of the Fortune 500, having acquired 262 new customers during the quarter [44][56] - The company is positioned to benefit from the ongoing trends in data storage, moving away from commoditized storage to high-technology data storage systems [29] Company Strategy and Development Direction - The company is focusing on AI opportunities, including high-performance data storage for GPU farms and enterprise inference engines [22][23] - The unified Purity platform allows the company to address multiple storage needs without requiring different operating systems [23] - The company aims to simplify data access and management, eliminating data silos to enable easier access for AI applications [24][25] Management's Comments on Operating Environment and Future Outlook - Management noted that while AI spending is still in early stages, the company is well-positioned as demand for data storage accelerates [50] - The overall macro environment has not significantly changed, but there is enthusiasm for AI opportunities [55] - Management reiterated guidance for fiscal year 2025, expecting continued growth despite the seasonal nature of Q1 [50][114] Other Important Information - The company has a strong balance sheet with $1.7 billion in cash and investments at the end of Q1 [47] - Headcount decreased slightly to approximately 5,500 employees, reflecting a focus on quality over quantity in customer acquisition [47][96] Q&A Session Summary Question: Can you provide insights on the cloud opportunity for Pure going forward? - The company views AI, cloud, and hyperscaler segments as distinct but interrelated, with AI presenting immediate opportunities while also driving upgrades in data storage [65][76] Question: How do you see NAND prices affecting gross margins? - Management indicated that rising NAND prices generally do not significantly impact gross margins, as they are more influenced by customer budgets [68][90] Question: What is the current customer concentration like? - The company disclosed that customer concentration remains consistent, with no significant changes in the 10% customer mix [116] Question: Can you elaborate on the design win discussions with hyperscalers? - Management noted that discussions with multiple hyperscalers have advanced, with both testing and commercial discussions taking place [95] Question: How is the adoption of Evergreen//One tracking? - Adoption was slightly lower than expected, but the company remains confident in achieving its $600 million target for Evergreen//One this year [137]

For the quarter ended April 2024, Pure Storage (PSTG) reported revenue of $693.48 million, up 17.7% over the same period last year. EPS came in at $0.32, compared to $0.08 in the year-ago quarter. The reported revenue represents a surprise of +1.78% over the Zacks Consensus Estimate of $681.37 million. With the consensus EPS estimate being $0.22, the EPS surprise was +45.45%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Stre ...

Pure Storage (PSTG) came out with quarterly earnings of $0.32 per share, beating the Zacks Consensus Estimate of $0.22 per share. This compares to earnings of $0.08 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 45.45%. A quarter ago, it was expected that this data storage company would post earnings of $0.45 per share when it actually produced earnings of $0.50, delivering a surprise of 11.11%. Over the last four quarters, ...

0.1 0.3 - % 0.2 Add: Duplicate lease costs during the transition of our corporate headquarters - % 0.1% Q1FY25 Pure Storage At A Glance Record Q1 for FlashBlade sales, including AI workloads. | --- | --- | --- | --- | |---------------------------------------------------------|-------------------------------------------------|------------------------------------------------------------------|------------------------------------------------------------------------------------| | | | | | | 2-5x* | 50%+* Lower ...

Pure Storage Announces First Quarter Fiscal 2025 Financial Results Q1 total revenue growth of 18%, year-over-year Subscription services ARR over $1.4 billion SANTA CLARA, Calif. – May 29, 2024 – Today Pure Storage (NYSE: PSTG), the IT pioneer that delivers the world's most advanced data storage technologies and services, announced financial results for its first quarter fiscal year 2025 ended May 5, 2024. Exhibit 99.1 "Pure Storage is uniquely positioned to integrate fragmented data storage environments, wh ...

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. At present, Pure Storage boasts a Zacks Rank of #3 (Hold). Digging into valuation, Pure Storage currently has a Forward P/E ratio of 37.8. Its industry sports an average Forward P/E of 26.6, so one might conclude that Pure Storage is ...

Pure Storage, Inc (PSTG) is scheduled to report first-quarter fiscal 2025 results on May 29. PSTG expects revenues to be $680 million for the quarter, implying an increase of 15.4% from the year-ago figure. The Zacks Consensus Estimate is pegged at $681.4 million, suggesting an improvement of 15.6% from the prior-year level. The Zacks Consensus Estimate for earnings is pegged at 22 cents per share. The company reported earnings of 8 cents in the prior-year quarter. PSTG beat estimates in each of the last fo ...

Wall Street analysts expect Pure Storage (PSTG) to post quarterly earnings of $0.22 per share in its upcoming report, which indicates a year-over-year increase of 175%. Revenues are expected to be $681.37 million, up 15.6% from the year-ago quarter. Over the past 30 days, the consensus EPS estimate for the quarter has remained unchanged. This demonstrates the covering analysts' collective reassessment of their initial projections during this period. Before a company announces its earnings, it is essential t ...

In the latest market close, Pure Storage (PSTG) reached $60.31, with a +0.67% movement compared to the previous day. The stock outperformed the S&P 500, which registered a daily loss of 0.27%. Meanwhile, the Dow experienced a drop of 0.51%, and the technology-dominated Nasdaq saw a decrease of 0.19%. Shares of the data storage company have appreciated by 15.66% over the course of the past month, outperforming the Computer and Technology sector's gain of 11.82% and the S&P 500's gain of 7.34%. The investment ...