Slide 1: Q4 & Full FY'26 Financial Results Conference Call
Q4 & Full FY’26 Financial Results Conference Call PERIOD ENDED March 31, 2026 Published May 7, 2026 COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |
Slide 2: Agenda
Agenda 01 Introduction Scott Dressel, Vice President Corporate Finance CEO Perspective 02 Anil Singhal, President & Chief Executive Officer (CEO) CFO Financial Review 03 Tony Piazza, Executive Vice President & Chief Financial Officer (CFO) 04 Question & Answer Session COPYRIGHT © 2026 NETSCOUT SYSTE
Slide 3: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and other federal s
Slide 4: Non-GAAP Financial Metrics
Non-GAAP Financial Metrics To supplement the financial measures presented in NETSCOUT’s presentation in accordance with accounting principles generally accepted in the United States (GAAP), NETSCOUT also reports the following non-GAAP financial measures: non-GAAP gross profit, non-GAAP gross margin,
Slide 5: CEO Perspective
CEO Perspective Anil Singhal, President & Chief Executive Officer COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |
Slide 6: Q4 & Full FY'26 Financial Highlights
Q4 & Full FY’26 Financial Highlights (GAAP revenue, other metrics non-GAAP) Total Revenue Gross Margin Operating Margin Diluted EPS (GAAP) (Non-GAAP) (Non-GAAP) (Non-GAAP) Q4 Q4 Q4 Q4 $203.0M 79.7% 21.6% $0.52 -1% Y/Y +0.5pts Y/Y -1.5pts Y/Y Consistent Y/Y FY FY FY FY $859.5M 80.8% 25.4% $2.48 +4.5%
Slide 7: Business & Market Insights
Business & Market Insights Service Cybersecurity Assurance Product Line Market Insights Customer Wins Performance COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. | 7
Slide 8: FY'27 Outlook & Summary
FY’27 Outlook & Summary Delivered FY26 Clear FY27 Priorities Significant Growth Helping Customers Objectives, Innovation Opportunities Advance AI and Extending Strong Profitable Growth AI-ready Smart Data Digital Momentum Cash Generation Observability Transformation Balanced Capital Adaptive DDoS In
Slide 9: CFO Financial Review
CFO Financial Review Q4 and Full FY’26 Results Tony Piazza, Executive Vice President & Chief Financial Officer COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |
Slide 10: Q4 & Full FY'26 Results
Q4 & Full FY’26 Results (GAAP revenue, other metrics non-GAAP) Y/Y Y/Y Q4 FY'25 Q4 FY'26 Change FY'25 FY'26 Change $M (except EPS & % data) Revenue $205.0 $203.0 (1.0% ) $822.7 $859.5 4.5% Product Revenue $89.5 $80.7 (9.8%) $359.9 $370.1 2.8% Service Revenue $115.5 $122.3 5.9% $462.8 $489.3 5.7% Gro
Slide 11: Full FY'26 Revenue Trends: Product Lines & Customer Verticals
Full FY’26 Revenue Trends: Product Lines & Customer Verticals Revenue by Product Line Revenue by Customer Vertical Total $859.5 $822.7 $859.5 $822.7 Total +4.5% +4.5% $289.8 $312.5 35% 36% $471.7 $497.0 Cyber 58% +7.8% 57% ENT +5.4% $532.9 $547.0 65% 64% $351.0 $362.5 42% SP SA 43% +2.6% +3.3% FY'25
Slide 12: Full FY'26 Revenue Trends: Geographic Mix
Full FY’26 Revenue Trends: Geographic Mix FY'25 8% 57% 43% 16% 19% Y/Y FY'25 FY'26 Change $M Revenue $822.7 $859.5 4.5% United States $465.5 $474.4 1.9% International $357.2 $385.1 7.8% Europe $156.7 $158.8 1.3% Asia $63.6 $63.1 (0.9%) FY'26 Rest of World $136.9 $163.3 19.3% 7% 55% 45% 19% 18% Note:
Slide 13: GAAP Balance Sheet & Free Cash Flow Review
GAAP Balance Sheet & Free Cash Flow Review $M (GAAP, Unaudited) Q4 FY'26 Financial Profile (Non-GAAP) Q4 FY'26 Cash and Securities $ 705.1 Total Liquidity ($M) $ 1,305.1 Accounts Receivable, Net $ 151.5 Liquidity to Adjusted EBITDA 5.4x Inventories $ 13.3 Gross Leverage 0.0x Total Long-Term Debt $ -
Slide 14: FY'27 Outlook
FY’27 Outlook Other FY’27 Outlook Assumptions $M FY'26 FY'27 Outlook • Anticipate non-GAAP effective tax rate of approximately 20% Revenue $859.5 $885 - $915 • Anticipate approximately 74 to 75 million weighted average diluted EPS (Diluted) FY'26 FY'27 Outlook shares outstanding GAAP EPS $1.30 $1.55
Slide 15: Upcoming Investor Events
Upcoming Investor Events Annual Needham Technology, Media, & Consumer Conference Date: May 14th, 2026 Location: Virtual Annual B. Riley Securities Institutional Investor Conference Date: May 20th, 2026 Location: Marina Del Rey, CA COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. | 15
Slide 16: Appendix
Appendix COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |
Slide 17: Q4 FY'26 & Full FY'26 Results GAAP
Q4 FY’26 & Full FY’26 Results GAAP Q4 FY'25 Q4 FY'26 Y/Y FY'25 FY'26 Y/Y $M (except EPS & % data) Change Change Revenue: $ 205.0 $ 203.0 (1.0% ) $ 822.7 $ 859.5 4.5% Product Revenue $ 89.5 $ 80.7 (9.8%) $ 359.9 $ 370.1 2.8% Service Revenue $ 115.5 $ 122.3 5.9% $ 462.8 $ 489.3 5.7% Cost of Revenue $
Slide 18: Q4 FY'26 & Full FY'26 Results
Q4 FY’26 & Full FY’26 Results (GAAP revenue, other metrics non-GAAP) Q4 FY'25 Q4 FY'26 Y/Y FY'25 FY'26 Y/Y $M (except EPS & % data) Change Change Revenue: $ 205.0 $ 203.0 (1.0% ) $ 822.7 $ 859.5 4.5% Product Revenue $ 89.5 $ 80.7 (9.8%) $ 359.9 $ 370.1 2.8% Service Revenue $ 115.5 $ 122.3 5.9% $ 462
Slide 19: Q4 FY'26 & FY'26 GAAP to Non-GAAP Reconciliation
Q4 FY’26 & FY’26 GAAP to Non-GAAP Reconciliation Q4 Q3 FY Ending 3/31 Ending 12/31 Ending 3/31 $Thousands (except EPS) 2026 2025 2025 2026 2025 Revenue (GAAP) $ 203,035 $ 204,987 $ 250,683 $ 859,482 $ 822,679 Gross Profit (GAAP) $ 159,108 $ 159,290 $ 204,654 $ 682,494 $ 643,944 Share-based compensat
Slide 20: Q4 FY'26 & FY'26 GAAP to Non-GAAP Reconciliation
Q4 FY’26 & FY’26 GAAP to Non-GAAP Reconciliation Q4 Q3 FY Ending 3/31 Ending 12/31 Ending 3/31 2026 2025 2025 2026 2025 (1) Share-based compensation expense included in these amounts is as follows: Cost of product revenue 275 283 298 1,283 1,296 Cost of service revenue 1,901 1,807 1,969 8,547 8,510
Slide 21: FY'27 Outlook: GAAP to Non-GAAP Reconciliation
FY’27 Outlook: GAAP to Non-GAAP Reconciliation FY'26 FY'27 GAAP net income (loss) $ 95.5 ~$115 to ~$126 Amortization of intangible assets $ 46.8 ~$44 Share-based compensation expenses $ 59.9 ~$57 Business development & integration expenses* $ - ~Less than $1 Executive Transition Costs $ 1.0 - Restru
Slide 22: Additional Information & Cash Flow
Additional Information & Cash Flow • Cash and securities defined as cash, cash equivalents, short- and long-term marketable securities, and investments. • The Company’s adjusted EBITDA as calculated in its press release may differ from the 12-month trailing consolidated EBITDA as defined within the
Slide 23: COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |
COPYRIGHT © 2026 NETSCOUT SYSTEMS, INC. |