- Record Revenue Milestone Achieved first $1B revenue quarter in Q4, with full-year revenue reaching $3.7B (20% YoY growth).
- Enterprise Data Cloud Adoption Over 600 customers adopted Fusion, now supporting all enterprise storage needs via unified Purity OS and Evergreen hardware.
- AI-Driven Data Management Acquisition of 1touch added contextual data intelligence, embedding AI capabilities into core Purity software for AI-ready data.
- Revenue Growth by Segment Product revenue rose 25% to $618M, subscription revenue grew 14% to $440M, and TCV for Storage-as-a-Service climbed 28% to $179M.
- International Expansion International revenue surged 48% to $385M (36% of total), with FY27 guidance projecting $4.3–4.4B revenue (18.8% YoY growth at midpoint).
Segment Performance
The company's Enterprise Data Cloud architecture continues to resonate with customers, with over 600 customers adopting Fusion since its introduction a year ago. The acquisition of 1touch is expected to further differentiate Everpure by embedding unique data management capabilities into its core Purity software offerings. As Charles Giancarlo stated, "we are shifting from managing storage to managing data, providing context for AI workloads." The company's hyperscaler business is also expected to drive growth, with revenues expected to accelerate in FY2027.
Valuation Metrics
With a P/E Ratio of 115.87 and an EV/EBITDA of 67.51, Everpure's valuation appears to be stretched. However, the company's growth prospects, driven by its Enterprise Data Cloud architecture and hyperscaler business, may justify the premium. The company's ROE of 13.91% and ROIC of 3.79% are also respectable. Investors should monitor the company's ability to execute on its growth plans and manage the impact of component price volatility on its margins.
Guidance and Outlook
The company's guidance for FY2027 is aggressive, with revenue expected to grow 18.8% and operating profit expected to increase 26%. The company's hyperscaler business is expected to drive growth, with revenues expected to accelerate in Q3 and Q4 of FY2027. However, the company also warned of continued component price volatility and potential shipment delays, which could impact its margins and growth prospects.
Conclusion on Financial Health
Everpure's balance sheet remains robust, with over $1.5 billion in cash and investments at the end of the year. Cash flow from operations was $880 million for the year, and capital expenditures were $264 million, representing approximately 7.2% of revenue for fiscal year '26. The company's financial health is expected to support its growth plans, and its guidance suggests that it is well-positioned to navigate the challenges in the storage industry.