Pure Storage Inc

Latest Results (10.11.2025):

Pure Storage Inc reported its Q1 fiscal year 2026 earnings, ending May 4, 2025, with robust financial performance marked by significant revenue growth and strong subscription metrics. The report highlights a 12% year-over-year revenue increase to $778.5 million, expanding subscription services revenue, and impressive gains in recurring revenue and remaining performance obligations, underscoring the company’s commitment to advancing its technology and strategic market positioning.

Revenue Performance

The company achieved Q1 FY26 revenue of $778.5 million, reflecting a 12% year-over-year increase. Subscription services revenue reached $406.3 million (up 17%), and subscription ARR climbed to $1.7 billion (up 18%), demonstrating a strong shift toward sustainable, recurring revenue streams.

Margins and Operating Income

Pure Storage Inc reported GAAP gross margins of 68.9% and non-GAAP gross margins of 70.9%. Despite a GAAP operating loss of $(31.2) million, non-GAAP figures showed an operating income of $82.7 million, with non-GAAP operating margins at 10.6%, indicating healthy operational performance when adjusted for specific items.

Key Metrics & Cash Flow

The company’s remaining performance obligations rose to $2.7 billion (up 17% year-over-year). Strong operating cash flow of $283.9 million and free cash flow of $211.6 million, combined with a solid cash position of $1.6 billion, highlight its financial stability and effective capital management. Additionally, PURE returned approximately $120 million to stockholders through share repurchases.

Guidance and Outlook

Looking forward, Pure Storage Inc provided Q2 FY26 guidance with revenue expected at $845 million and a non-GAAP operating income of $125 million, as well as full-year FY26 projections indicating continued growth. The company remains focused on executing its strategic priorities while navigating evolving market conditions.

Leadership and Strategic Initiatives

In a notable leadership update, CFO Kevan Krysler announced his departure after more than five years at the company, ensuring a smooth transition as a successor is named. Furthermore, the report emphasized several product innovations and industry partnerships, including advancements in data storage platforms and collaborations with leading technology providers, which are expected to drive future growth.