Seagate Technology Holdings Plc · NASDAQ:STX
Seagate Technology — Q2 2026 Earnings Presentation
14 slides from Seagate Technology's earnings presentation, Jan 27, 2026
Slide 1: Supplemental Financial Information Q2FY26
SUPPLEMENTAL FINANCIAL INFORMATION Q2FY26 JANUARY 27, 2026
Slide 2: Safe Harbor Statement and Use of Non-GAAP Financial Information
Safe Harbor Statement and Use of Non-GAAP Financial Information This document and our other communications regarding our quarterly financial results contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide curre
Slide 3: Q2FY26 Financial Highlights
Q2FY26 Financial Highlights Delivered strong Q2FY26 results1 setting new company records Q2FY26 across key metrics Revenue $2.83B o Revenue up 22% YoY, exceeding the high-end of our guidance range, driven by continued strong Data Center market demand Gross Margin (non-GAAP) 42.2% o Gross margin of 4
Slide 4: Markets and Technology Highlights
Markets and Technology Highlights • Hard Drive exabyte shipments of 190EB, up 26% YoY on similar number of units • Average nearline TB/drive up ~22% YoY as customers transition to higher capacity drives to support demand growth • Data Center revenue increased 28% YoY to $2.2B, supported by ongoing d
Slide 5: Quarterly Financial Trends
Quarterly Financial Trends Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 QoQ YoY 1 Results (non-GAAP) Revenue ($M) 2,325 2,160 2,444 2,629 2,825 7% 22% Gross Margin % 35.5% 36.2% 37.9% 40.1% 42.2% 2.1 ppt 6.7 ppt Operating Expenses ($M) 287 274 286 291 290 0% 1% Operating Margin % 23.1% 23.5% 26.2% 29.0% 31.9%
Slide 6: Quarterly Financial Trends Continued
Quarterly Financial Trends Continued Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 QoQ YoY Revenue by End Market ($M) 2,325 2,160 2,444 2,629 2,825 7% 22% Data Center1 1,736 1,615 1,863 2,114 2,224 5% 28% As a % of total revenue 75% 75% 76% 80% 79% -1 ppt 4 ppt Edge IoT1 589 545 581 515 601 17% 2% As a % of to
Slide 7: Guidance Q3FY26
Guidance Q3FY26 Q3FY26 Revenue $2.90 billion ± $100 million Operating Margin1 (non-GAAP) Approaching mid-thirties % range of revenue Diluted Earnings Per Share1,2 (non-GAAP) $3.40 ± $0.20 At the mid point of the guidance3: o Operating Expense (non-GAAP) expected to be ~$290 million o Tax Expense (no
Slide 8: Debt Capital Structure
Debt Capital Structure o $2.3B Liquidity1, $1.0B cash, $1.3B revolving credit facility o $4.5B Debt2, weighted average interest rate of 6.1%, weighted average maturity of ~5 years o Link to Illustrative Table of Potential Dilutive Impact of Exchangeable Senior Notes due 2028 Debt Maturity as of Q2FY
Slide 9: We Build Value in a Data-Driven World
We Build Value in a Data-Driven World Capacity Leadership for the AI Era: Right data, right place, right time ‘Limitless creation’: Enterprises and 32TB CMR Exos, SkyHawk AI and the GenAI boom At scale, tiering brings layers of advantage IronWolf Pro Hard Drives Now Two industry experts offer insigh
Slide 10: Reconciliation Tables
Reconciliation Tables Seagate | 10
Slide 11: Reconciliation of GAAP Gross Profit to Non-GAAP Gross Profit
Reconciliation of GAAP Gross Profit to Non-GAAP Gross Profit ($M) Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 GAAP Gross Profit $ 812 $ 760 $ 914 $ 1,037 $ 1,176 Amortization of acquired intangible assets — — — 3 2 Purchase order cancellation fees — (3) (5) — — Restructuring and other, net — 10 3 — — Share-b
Slide 12: Reconciliation of GAAP Net Income to Non-GAAP Net Income
Reconciliation of GAAP Net Income to Non-GAAP Net Income ($M) Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 GAAP Net Income $ 336 $ 340 $ 488 $ 549 $ 593 Acquisition-related charges — 5 2 1 — Amortization of acquired intangible assets — — — 3 2 Net gain from business divestiture — (8) — — — Net loss from debt
Slide 13: Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow ($M) Q2FY25 Q3FY25 Q4FY25 Q1FY26 Q2FY26 Net Cash Provided by Operating Activities $ 221 $ 259 $ 508 $ 532 $ 723 Acquisition of property, equipment and leasehold improvements (71) (43) (83) (105) (116) Free Cash Flow $ 150
Slide 14: www.seagate.com
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