Slide 1: Q4FY26 Financial Results
Q4FY26 Financial Results Western Digital August 5, 2026
Slide 2: Disclaimers
Disclaimers Forward-Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws, including statements regarding expectations for: the company's business outlook and financial performance for the fiscal first quarter of 2027 and beyond, and d
Slide 3: Q4FY26 Highlights
Q4FY26 Highlights NON-GAAP NON-GAAP • Revenue at high end of guidance GROSS OPERATING REVENUE MARGIN MARGIN • Expanded non-GAAP gross margin by 1,310 bps Y/Y $3.75B 54.4% 44.2% • Generated free cash flow margin of 34% CASH FLOW FREE • Non-GAAP EPS up 109% Y/Y - above guidance range NON-GAAP FROM CAS
Slide 4: Growth Driven by Cloud and AI Workloads
Growth Driven by Cloud and AI Workloads Revenue ($ Billions) $4.0 89% Cloud $3.5 89% $3.0 89% 89% $2.5 90% $2.0 $1.5 $1.0 $0.5 5% 6% Client 5% 5% 6% 5% 6% 5% 6% 5% Consumer $0.0 Q4FY25 Q1FY26 Q2FY26 Q3FY26 Q4FY26 Consumer Client Cloud © 2026 Western Digital Corporation or its affiliates. All rights
Slide 5: Business Metrics
Business Metrics Revenue and Non-GAAP Gross Margin Exabytes 54.4% 50.5% 231 222 46.1% 215 43.9% 204 41.3% 190 199 209 3,747 192 183 3,337 170 2,818 3,017 2,605 20 21 23 23 22 Q4FY25 Q1FY26 Q2FY26 Q3FY26 Q4FY26 Q4FY25 Q1FY26 Q2FY26 Q3FY26 Q4FY26 Revenue Non-GAAP Gross Margin Non-Nearline Nearline See
Slide 6: Non-GAAP Financial Results
Non-GAAP Financial Results ($ Millions, except for EPS) Q4FY25 Q3FY26 Q4FY26 QoQ YoY Revenue $2,605 $3,337 $3,747 +12% +44% Gross Margin 41.3% 50.5% 54.4% +390 bps +1310 bps Operating Expenses $345 $397 $382 -4% +11% Operating Income $732 $1,287 $1,655 +29% +126% Operating Margin 28.1% 38.6% 44.2% +
Slide 7: Non-GAAP Financial Results
Non-GAAP Financial Results ($ Millions, except for EPS) FY25 FY26 YoY Revenue $9,520 $12,919 +36% Gross Margin 39.4% 49.1% +970 bps Operating Expenses $1,423 $1,532 +8% Operating Income $2,326 $4,817 +107% Operating Margin 24.4% 37.3% +1290 bps Diluted EPS $5.02 $10.22 +104% Cash Flow from Operation
Slide 8: Q1FY27 Guidance
Q1FY27 Guidance Non-GAAP Revenue $4.1B +/- $100M Gross Margin 55% - 56% Operating Expenses $390M - $400M Interest and Other Expense, net ~ $15M Tax Rate ~ 17% Diluted EPS $4.00 +/- $0.15 Diluted Weighted Average Shares ~ 388M Guidance as shown is as of August 5, 2026 We provide earnings guidance on
Slide 9: Appendix
Appendix
Slide 10: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations ($ Millions, unaudited) Q4FY25 Q1FY26 Q2FY26 Q3FY26 Q4FY26 FY25 FY26 GAAP Gross Profit $1,067 $1,227 $1,380 $1,676 $2,028 $3,692 $6,311 Stock-based compensation expense 8 9 8 9 7 34 33 Other 2 1 3 (1) 2 23 5 Non-GAAP Gross Profit $1,077 $1,237 $1,391 $1,684 $2,037 $3
Slide 11: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations ($ Millions, except per share amounts; unaudited) Q4FY25 Q3FY26 Q4FY26 FY25 FY26 GAAP Net Income from Continuing Operations $252 $3,205 $3,195 $1,643 $9,424 Amount allocated to preferred shareholders (9) (33) — (44) (126) GAAP Diluted Net Income from Continuing Opera
Slide 12: GAAP to Non-GAAP Reconciliations: Footnotes
GAAP to Non-GAAP Reconciliations Footnotes This presentation contains certain financial measures that are not calculated in accordance with U.S. generally accepted accounting principles (“GAAP”), referred to herein as “non-GAAP measures.” These non-GAAP measures are not alternatives for measures pre
Slide 13: WD.
WD.