Slide 1: Q1 FY27 Earnings Results
Q1 FY27 EARNINGS RESULTS September 2, 2026 © 2026 NetApp, Inc. All rights reserved.
Slide 2: Safe harbor
Safe harbor • This presentation contains forward-looking statements and projections about our strategy, products and services, including our AI capabilities and initiatives, shareholder returns, and our future results, performance or achievements, financial and otherwise. These statements and projec
Slide 3: CEO quote: record-setting start to FY27
NetApp’s record-setting start to FY27 reflects strong execution and growing demand for our AI and hybrid multicloud solutions. Our continued innovation in the NetApp Platform and strategic investments are attracting new customers and expanding relationships, setting the stage for ongoing growth and
Slide 4: Q1 FY27 highlights
Q1 FY27 highlights FINANCIAL RESULTS INNOVATION RECOGNITION • Record revenue of $2.0B, up • Simplified and scaled AI • NetApp named a Leader in the 30% y/y workloads with new data access Forrester WaveTM: Object and integrations Storage Solutions, Q2 20262 • Record all-flash array revenue of $1.3B,u
Slide 5: The NetApp Platform
As data increasingly spans data centers, clouds, the edge, and AI infrastructure, The NetApp organizations need a simpler way to turn that data into business value. Platform The NetApp Platform is an intelligent, governed infrastructure that turns distributed enterprise Intelligent data infrastructu
Slide 6: The NetApp Platform
The NetApp Platform Intelligent data infrastructure for the AI era and beyond Across your entire Native in all major clouds, Against evolving threats In a single interface ecosystem for all workloads Consistently stand up to cyber Centrally manage and oversee Quickly move from pilot to Confidently h
Slide 7: NetApp is a Leader
NetApp is a Leader in the 2026 Gartner® Magic Quadrant for Enterprise Storage Platforms NetApp also placed 1st in the Hybrid Cloud Storage Use Case in the 2026 Gartner Critical Capabilities for Enterprise Storage Platforms with a score of 4.62/5, and 2 nd in the Hybrid Platform Services Use Case wit
Slide 8: Proven success: Powering AI solutions for industry leaders
Proven success: Powering AI solutions for industry leaders © 2026 NetApp, Inc. All rights reserved.
Slide 9: CFO quote: exceptional first quarter
NetApp delivered an exceptional first quarter, demonstrating the strength of our business model and ability to capitalize on market opportunities. Broad-based demand for the NetApp Platform underpins our raised FY27 outlook. We remain focused on driving disciplined execution, investing for future gr
Slide 10: Q1 FY27 summary
Q1 FY27 summary Q1 guidance Q1 actual (as of May 28, 2026) Net revenue $1.75B – $1.90B $2.03B +29.9% y/y Billings1 $2.06B +36.1% y/y Gross margin1 69.1% – 70.1% 70.6% -50 bps y/y Operating margin1 28.4% – 29.4% 31.9% +610 bps y/y Earnings per share1 $2.05 – $2.15 $2.58 +66.5% y/y FCF margin1 19.8% R
Slide 11: Revenues
Revenues All flash & Public Cloud compose 75% of Q1 FY27 net revenue 30% Y/Y $2.0B $1.9B $1.7B $1.7B $1.7B $1.7B $1.6B $1.5B $1.6B Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Other Hybrid Cloud 1 All flash Public Cloud © 2026 NetApp, Inc. All rights reserved. 1 Other Hybr
Slide 12: Billings
Billings 36% Y/Y $2.2B $2.0B $2.1B $1.9B $1.7B $1.6B $1.6B $1.5B $1.4B Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Billings © 2026 NetApp, Inc. All rights reserved. Billings is a Non-GAAP measure. Refer to appendix for additional details and a reconciliation between GAAP
Slide 13: Non-GAAP gross margin
Non-GAAP gross margin $1.4B $1.4B $1.2B $1.2B $1.2B $1.2B $1.2B $1.1B $1.1B 72.2% 72.0% 71.1% 72.6% 71.2% 70.7% 69.5% 70.5% 70.6% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Hybrid Cloud gross profit Public Cloud gross profit Consolidated gross margin © 2026 NetApp, Inc.
Slide 14: Hybrid Cloud revenue and non-GAAP gross margin
Hybrid Cloud revenue and non-GAAP gross margin $1.8B $1.8B $1.6B $1.5B $1.5B $1.5B $1.5B $1.4B $1.4B 72.4% 71.8% 70.1% 70.0% 71.4% 69.6% 69.0% 68.8% 68.4% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Revenue Gross margin The company has two segments for financial reporting
Slide 15: Public Cloud revenue and non-GAAP gross margin
Public Cloud revenue and non-GAAP gross margin $206M $182M $174M $171M $174M $168M $164M $161M $159M 83.0% 85.1% 85.7% 86.4% 79.3% 80.1% 73.8% 76.4% 71.1% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Revenue Gross margin The company has two segments for financial reporting
Slide 16: All flash revenue
All flash revenue 47% Y/Y $1,309M $1,216M $1,034M $1,026M $1,043M $944M $943M $893M $842M Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 All flash revenue © 2026 NetApp, Inc. All rights reserved.
Slide 17: Non-GAAP operating expense
Non-GAAP operating expense $784M $750M $714M $719M $707M $707M $707M $669M $686M 46.3% 45.3% 43.4% 41.5% 40.8% 40.8% 40.0% 38.5% 38.7% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Operating expense Operating expense as a percent of revenue © 2026 NetApp, Inc. All rights re
Slide 18: Non-GAAP operating income
Non-GAAP operating income $645M $624M $530M $533M $492M $496M $475M 32.0% 31.9% 31.1% 31.1% 30.0% $399M $401M 28.6% 28.6% 25.9% 25.7% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Operating income Operating margin © 2026 NetApp, Inc. All rights reserved. Refer to appendix f
Slide 19: Non-GAAP earnings per share
Non-GAAP earnings per share 66% Y/Y $2.58 $2.43 $2.05 $2.12 $1.91 $1.93 $1.87 $1.56 $1.55 Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Earnings per share © 2026 NetApp, Inc. All rights reserved. Refer to appendix for additional details and a reconciliation between GAAP and
Slide 20: Free cash flow
Free cash flow $900M $640M $620M 46.2% 39.8% 37.0% $338M $300M $401M $271M 19.5% 20.6% 19.8% 15.8% $60M $78M 3.6% 4.6% Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Free cash flow Free cash flow margin © 2026 NetApp, Inc. All rights reserved. Refer to appendix for additiona
Slide 21: Remaining performance obligations
Remaining performance obligations 14% Y/Y $5.7B $5.6B $5.0B $4.9B $4.9B $5.1B $4.5B $4.4B $4.5B Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Deferred revenue Unbilled RPO © 2026 NetApp, Inc. All rights reserved.
Slide 22: Q2 Guide
Q2 Guide Q4 FY24 Guidance $2.025B – $2.175B Revenue as of Feb 29, 2024 Gross margin* 67.0% – 68.0% Operating margin* 30.9% – 31.9% Q2 FY27 GUIDANCE AS OF SEPT 2, 2026 Earnings per share* $2.54 – $2.64 *Gross margin, operating margin and EPS are Non-GAAP numbers. Refer to appendix for additional © 20
Slide 23: FY27 Guide
FY27 Guide Revenue $7.975B – $8.225B Gross margin* 68.1% – 69.1% Operating margin* 30.3% – 31.3% UPDATED FY27 GUIDANCE AS OF SEPT 2, 2026 Earnings per share* $9.73 – $10.03 *Gross margin, operating margin and EPS are Non-GAAP numbers. Refer to appendix for additional © 2026 NetApp, Inc. All rights r
Slide 24: Appendix: Supplementary Tables and GAAP to Non-GAAP Reconciliations & Explanations
Appendix: Supplementary Tables and GAAP to Non- GAAP Reconciliations & Explanations © 2026 NetApp, Inc. All rights reserved.
Slide 25: Supplemental revenue and gross margin data
Supplemental revenue and gross margin data RECONCILIATION OF SEGMENTS GROSS PROFIT TO TOTAL GROSS PROFIT ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Revenues by Segment Product $ 669 $ 768 $ 758 $ 845 $ 654 $ 788 $ 786 $ 966 $ 987 Support 631 635 621 625 6
Slide 26: Reconciliation of net revenues to billings (Non-GAAP)
Reconciliation of net revenues to billings (Non-GAAP) RECONCILIATION OF NET REVENUES TO BILLINGS (NON-GAAP) ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Net revenues $ 1,541 $ 1,658 $ 1,641 $ 1,732 $ 1,559 $ 1,705 $ 1,713 $ 1,948 $ 2,025 Change in deferred
Slide 27: Reconciliation of GAAP to Non-GAAP gross profit and gross margin
Reconciliation of GAAP to Non-GAAP gross profit and gross margin RECONCILIATION OF GAAP TO NON-GAAP GROSS PROFIT AND GROSS MARGIN ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Net revenues $ 1,541 $ 1,658 $ 1,641 $ 1,732 $ 1,559 $ 1,705 $ 1,713 $ 1,948 $ 2,0
Slide 28: Reconciliation of GAAP to Non-GAAP operating expenses
Reconciliation of GAAP to Non-GAAP operating expenses RECONCILIATION OF GAAP TO NON-GAAP OPERATING EXPENSES ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Operating expenses $ 816 $ 832 $ 783 $ 845 $ 789 $ 828 $ 775 $ 833 $ 935 Adjustments: Amortization of in
Slide 29: Reconciliation of GAAP to Non-GAAP operating margin
Reconciliation of GAAP to Non-GAAP operating margin RECONCILIATION OF GAAP TO NON-GAAP OPERATING MARGIN ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Income from operations $ 282 $ 345 $ 362 $ 348 $ 309 $ 399 $ 434 $ 532 $ 484 Adjustments: Amortization of in
Slide 30: Reconciliation of GAAP to Non-GAAP net income per share
Reconciliation of GAAP to Non-GAAP net income per share RECONCILIATION OF GAAP TO NON-GAAP NET INCOME PER SHARE Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Net income per share $ 1.17 $ 1.42 $ 1.44 $ 1.65 $ 1.15 $ 1.51 $ 1.67 $ 2.03 $ 1.88 Adjustments: Amortization of int
Slide 31: Reconciliation of operating cash flow to free cash flow (Non-GAAP)
Reconciliation of net cash provided by (used in) operating activities to free cash flow (Non-GAAP) RECONCILIATION OF NET CASH PROVIDED BY (USED IN) OPERATING ACTIVITIES TO FREE CASH FLOW (NON-GAAP) ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Net cash provi
Slide 32: Reconciliation of cash and investments to net cash (Non-GAAP)
Reconciliation of cash, cash equivalents and short-term investments to net cash (Non-GAAP) RECONCILIATION OF CASH, CASH EQUIVALENTS AND SHORT-TERM INVESTMENTS TO NET CASH (NON-GAAP) ($ in millions) Q1 FY25 Q2 FY25 Q3 FY25 Q4 FY25 Q1 FY26 Q2 FY26 Q3 FY26 Q4 FY26 Q1 FY27 Cash, cash equivalents and inv
Slide 33: Reconciliation of GAAP guidance to Non-GAAP - second quarter fiscal 2027
Reconciliation of GAAP guidance to Non-GAAP - second quarter fiscal 2027 NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP SECOND QUARTER FISCAL 2027 Second Quarter Fiscal 2027 GAAP Guidance - Gross Margin 66.0% - 67.0% Adjustments: Cost of revenues adjustments 1% Non-GAAP Guidance - Gross Ma
Slide 34: Reconciliation of GAAP guidance to Non-GAAP - second quarter fiscal 2027, continued
Reconciliation of GAAP guidance to Non-GAAP - second quarter fiscal 2027, continued NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP SECOND QUARTER FISCAL 2027 Second Quarter Fiscal 2027 GAAP Guidance - Net Income Per Share $1.97 - $2.07 Adjustments of Specific Items to Net Income Per Share:
Slide 35: Reconciliation of GAAP guidance to Non-GAAP – fiscal 2027
Reconciliation of GAAP guidance to Non-GAAP – fiscal 2027 NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP FISCAL 2027 Fiscal 2027 GAAP Guidance - Gross Margin 67.1% - 68.1% Adjustments: Cost of revenues adjustments 1% Non-GAAP Guidance - Gross Margin 68.1% - 69.1% Fiscal 2027 GAAP Guidance
Slide 36: Reconciliation of GAAP guidance to Non-GAAP – fiscal 2027, continued
Reconciliation of GAAP guidance to Non-GAAP – fiscal 2027, continued NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP FISCAL 2027 Fiscal 2027 GAAP Guidance - Net Income Per Share $7.35 - $7.65 Adjustments of Specific Items to Net Income Per Share: Amortization of intangible assets $0.12 Stoc
Slide 37: Reconciliation of GAAP guidance to Non-GAAP - first quarter fiscal 2027
Reconciliation of GAAP guidance to Non-GAAP - first quarter fiscal 2027 NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP FIRST QUARTER FISCAL 2027 First Quarter Fiscal 2027 GAAP Guidance - Gross Margin 68.1% - 69.1% Adjustments: Cost of revenues adjustments 1% Non-GAAP Guidance - Gross Margi
Slide 38: Reconciliation of GAAP guidance to Non-GAAP - first quarter fiscal 2027, continued
Reconciliation of GAAP guidance to Non-GAAP - first quarter fiscal 2027, continued NETAPP, INC. RECONCILIATION OF GAAP GUIDANCE TO NON-GAAP FIRST QUARTER FISCAL 2027 First Quarter Fiscal 2027 GAAP Guidance - Net Income Per Share $1.35 - $1.45 Adjustments of Specific Items to Net Income Per Share for
Slide 39: © 2026 NetApp, Inc. All rights reserved.
© 2026 NetApp, Inc. All rights reserved.