Arista Networks (ANET) Company Report

Fiscal 2026 guidance: 20% revenue growth target with 62–64% gross margin and sustaining ~48% operating margin at the midpoint of the year.
Segment targets: Campus revenue set to grow from $0.8 billion in FY25 to $1.25 billion (+50%) and AI data center revenue from ≈$1.5 billion to $2.75 billion (+60–80%).
Deferred revenue and pipeline: Q3 FY25 deferred revenue grew 86%, reflecting current hyperscaler CapEx trends and a typical 12–24 month lag from design win to revenue recognition in 2026–27.
Product and partner strategy: Emphasizes a best-of-breed, chip-agnostic portfolio across front-end and back-end AI, expands campus via direct and channel partners, and offers Blue Box hardware flexibility for custom OS deployments.

1 day ago

Transcript

Arista Networks previews FY26 growth targets at UBS Tech Conference

ANET

Guidance Update

Revenue Acceleration/Inflection

Arista expects 20% revenue growth in FY26, following nearly 27% growth and a 48% operating margin in FY25; it guided a 62–64% gross margin range for next year.
AI infrastructure revenue (front- and back-end) exceeded $1.5 billion in FY25, with a target of $2.75 billion in FY26 (60–80% growth).
Campus networking grew to $800 million in FY25 and is targeting $1.25 billion in FY26 (50% growth) by leveraging refresh cycles and expanded partner channels.
Deferred revenue climbed 86% in Q3, reflecting strong customer CapEx commitments that typically convert to revenue with a 24-month lag.
Arista has increased multi-year purchase commitments to secure Broadcom chip supply and mitigate component tightness for FY26 production.

1 day ago

Transcript

Arista reiterates FY26 20% growth guide at Wells Fargo TMT Summit

ANET

Guidance Update

No supply constraints expected in FY2025–FY2026; management reiterated confidence in 20% revenue growth for FY2026 as early as September.
Q3 deferred revenue up 87%, with product-related deferred revenue growing by $625 million quarter-over-quarter, driven by complex AI data center build-outs extending acceptance cycles to 18–24 months.
Management set FY2025 AI revenue target of $1.5 billion rising to $2.75 billion in FY2026 and campus revenue from $700–$800 million to $1.25 billion, underpinned by expanding deployments across hyperscalers and 15–20 additional customers.

Nov 18, 2025, 6:15 PM

Transcript

Arista outlines AI growth and deferred revenue at Wells Fargo TMT Summit

ANET

Guidance Update

Arista reaffirmed a 20% revenue growth guide for fiscal 2026 and sees no supply constraints due to elevated purchase commitments to secure components.
Deferred revenue rose 87% in Q3 FY 2025 as AI data center build-outs extend project timelines to 18–24 months from a prior 6–12-month cycle.
For FY 2026, Arista set $2.75 billion in AI revenue and $1.25 billion in campus revenue targets, each implying 60%+ segment growth, while the non-AI/non-campus business is modeled conservatively.
The “blue box” strategy delivers Arista’s hardware design, supply-chain and diagnostics advantages under customer-selected network OS, enabling dual-source deployment and future EOS upgrades.

Nov 18, 2025, 6:15 PM

Transcript

Arista Networks reports Q3 2025 results

ANET

Earnings

Guidance Update

Share Buyback

Record Q3 revenue of $2.3 billion, up 27.5% YoY; non-GAAP gross margin of 65.2%, above guidance of 64%.
Q3 net income of $962.3 million (41.7% of revenue) and diluted EPS of $0.75, up 25% YoY.
Cash, cash equivalents and investments of $10.1 billion, with $1.4 billion remaining under the $1.5 billion repurchase program.
Q4 revenue guidance of $2.3–2.4 billion; gross margin 62–63%; FY 2025 revenue expected at $8.87 billion (+26–27%) with ~64% gross margin; FY 2026 revenue target $10.65 billion (+20%).

Nov 4, 2025, 9:30 PM

Transcript

Arista Networks reports Q3 2025 results

ANET

Earnings

Management Change

Guidance Update

Q3 2025 non-GAAP revenue was $2.308 B, up 27.5% YoY; gross margin 65.2%; operating margin 48.6%; EPS $0.75, up 25% YoY.
Appointed Kenneth Duda as President & Chief Technology Officer and Tyson Lamoreaux as SVP of Cloud and AI Networking.
Q4 2025 guidance calls for $2.3–2.4 B revenue, non-GAAP gross margin 62–63%, and operating margin 47–48%.
Ended Q3 with $10.1 B in cash, cash equivalents & marketable securities; $983 M of share repurchases in first nine months.

Nov 4, 2025, 9:30 PM

Presentation

Arista Networks reports Q3 2025 results

ANET

Earnings

Guidance Update

Q3 revenue of $2.31 B, up 27.5% YoY, with software & services at 18.7% of sales and non-GAAP gross margin of 65.2%
Operating income of $1.12 B (48.6% margin) and net income of $962.3 M (41.7% margin), delivering diluted EPS of $0.75, up 25% YoY
Ended the quarter with $10.1 B in cash & investments, generated $1.3 B in operating cash flow; $1.4 B remains available for share repurchases
Q4 FY25 guidance: revenue $2.3–2.4 B, gross margin 62–63%, operating margin 47–48%; FY25 revenue growth of 26–27% to ~$8.87 B with AI revenue ≥ $1.5 B, and FY26 outlook of 20% growth to $10.65 B
Promoted Ken Duda to President & CTO and appointed Tyson Lamoreaux to lead the cloud & AI segment, bolstering its AI ecosystem partnerships

Nov 4, 2025, 9:30 PM

Transcript

Arista reports Q3 2025 results and updates guidance

ANET

Earnings

Guidance Update

Management Change

Arista delivered Q3 2025 revenue of $2.31 billion, up 27.5% YoY, with 65.2% non-GAAP gross margin and net income of $962.3 million (41.7% of revenue); software & services accounted for 18.7% of revenue.
Cash, cash equivalents & investments totaled $10.1 billion, and Arista has $1.4 billion remaining under its $1.5 billion share repurchase program; cash from operations was $1.3 billion in Q3.
Q4 FY25 revenue is guided at $2.3–2.4 billion with gross margin of 62–63%, and FY25 revenue is on track for 26–27% growth to $8.87 billion; FY26 outlook calls for 20% revenue growth to $10.65 billion.
Leadership updates include promotion of Ken Duda to President & CTO, appointment of Tyson Lamoreaux to head the Cloud & AI segment, and recognition of Chantelle Breithaupt for her promotion within finance.

Nov 4, 2025, 9:30 PM

Transcript

Arista Networks reports Q3 2025 financial results

ANET

Earnings

Guidance Update

Management Change

Revenue reached $2.308 billion, up 27.5% year-over-year and 4.7% sequentially.
GAAP net income was $853.0 million ( $0.67 diluted EPS ); non-GAAP net income was $962.3 million ( $0.75 diluted EPS ).
GAAP gross margin stood at 64.6%, and non-GAAP gross margin at 65.2%.
Q4 2025 guidance: revenue of $2.3–$2.4 billion, non-GAAP gross margin of 62–63%, and non-GAAP operating margin of 47–48%.
Kenneth Duda named President & CTO and Tyson Lamoreaux appointed SVP of Cloud and AI Networking.

Nov 4, 2025, 9:08 PM

8-K

Arista Networks reports Q3 2025 results

ANET

Earnings

Guidance Update

Management Change

Revenue of $2.308 billion, up 27.5% year-over-year and 4.7% sequentially.
GAAP gross margin of 64.6% and non-GAAP gross margin of 65.2%, with GAAP EPS of $0.67 and non-GAAP EPS of $0.75.
GAAP net income of $853.0 million and non-GAAP net income of $962.3 million.
Fourth quarter 2025 outlook: $2.3–$2.4 billion revenue, non-GAAP gross margin 62–63%, and non-GAAP operating margin 47–48%.
Appointed Kenneth Duda as President & CTO and Tyson Lamoreaux as SVP of Cloud and AI Networking.

Nov 4, 2025, 9:05 PM

Press Release

Earnings Transcripts

Quarterly earnings call transcripts for Arista Networks.