Arista Networks, Inc. · NYSE:ANET
Arista Networks — Q4 2025 Earnings Presentation
18 slides from Arista Networks's earnings presentation, Feb 12, 2026
Slide 1: Q4 FY 2025 Earnings
Q4 FY 2025 Earnings February 12, 2026 1 | Copyright © Arista 2026. All rights reserved.
Slide 2: Safe Harbor
Safe Harbor Forward-Looking Statements - This presentation contains “forward-looking statements” regarding our future performance, including but not limited to estimates regarding revenue, non-GAAP gross margin, non-GAAP operating margin, diluted shares, and non-GAAP tax rate for the first quarter o
Slide 3: Revenue
Revenue in billions Top-Line Momentum: Achieved ~$2.5B in quarterly revenue, up +28.9% Y/Y, contributing to a milestone $9.0B fiscal year. Diversified Demand: Growth driven by all three product sectors, with the continued ramp of next-generation networking platforms. 3 | Copyright © Arista 2026. All
Slide 4: Geographic Revenue Splits
Geographic Revenue Splits in billions Global Operational Reach: International revenue mix increased to 21% in Q4, with year-over-year growth in EMEA at ~80% and APAC at ~37%. Core Market Stability: The Americas, at ~21% year-over-year growth, remains the foundational revenue base, accounting for 79%
Slide 5: Gross Margin
Gross Margin1 Structural Profitability: Maintained a strong gross margin of 63.4%, within Arista’s historical range. Mix Dynamics: Quarterly margin reflects a higher concentration of Cloud & AI Titan sales. 1Amounts are non-GAAP; refer to the reconciliation between non-GAAP and GAAP in the appendix.
Slide 6: Operating Expense
Operating Expense1 in billions Operating Leverage: Operating expenses as a percentage of revenue improved to 16.0%, down from 17.2% a year ago. Strategic Investment: Operating expenses increased to $397M to support critical innovation in liquid cooling, high- radix switching, AI-optimized software,
Slide 7: Operating Income
Operating Income1 in billions Best-in-Class Leverage: Operating income expanded to $1.18B, a +30.2% Y/Y increase that outpaced revenue growth. Execution Discipline: Profitability remains bolstered by highly leveraged R&D and go-to-market models, combined with continued disciplined cost management. 1
Slide 8: Operating Margin
Operating Margin1 Operational Excellence: Continued to deliver to shareholders with an operating margin of 47.5%, reflecting efficient operational scale and the value of our software-driven architecture. 1Amounts are non-GAAP; refer to the reconciliation between non-GAAP and GAAP in the appendix. 8
Slide 9: Net Income
Net Income1 in billions Strong Profitability: Quarterly net income reached $1.05B for the first time in Arista’s history, representing a +23.2% Y/Y increase, driven by strong top-line growth and continued operational discipline. 1Amounts are non-GAAP; refer to the reconciliation between non-GAAP and
Slide 10: EPS
EPS1 Shareholder Value Creation: Delivered diluted EPS of $0.82, a +24.2% Y/Y increase supported by strong operating results and the ongoing impact of strategic share repurchases. Repurchased $620M of stock in the quarter. The total value of shares repurchased in 2025 was $1.6B. 1Amounts are non-GAA
Slide 11: Operating Cash Flow
Operating Cash Flow in billions Robust Liquidity: Generated $1.26B in operating cash flow, a 22% increase year-over-year, driven by strong net income and growth in deferred revenue balances. Healthy Conversion: Consistent cash generation provides the flexibility to fund R&D and strategic capital all
Slide 12: Purchase Commitments
Purchase Commitments in billions Supply Chain Visibility: Commitments reached $6.8B, reflecting long-term capacity planning for critical components in a dynamic, constrained supply chain environment. Growth Readiness: Commitments ensure alignment with multi-year customer demand across their Centers
Slide 13: Deferred Revenue
Deferred Revenue in billions Future Revenue Visibility: Growth in product shipments and service renewals provides a strong foundation for future revenue recognition. Deferred revenue is comprised of new customers, new products, and new use cases, such as AI, with increased customer acceptance clause
Slide 14: FY 2025 Summary
Revenue Operating Margin1 in billions FY 2025 Summary Gaining Arista 2.0 Momentum Achieved $9B in annual revenue, representing +28.6% year-over- year growth as a foundational Gross Margin1 EPS1 building block for global AI and cloud infrastructure. Continued Margin Expansion Strong Structural Profit
Slide 15: 2025 Sectors at a Glance
2025 Sectors at a Glance Customers Geographies Products Note: Percentage allocations are approximations based on total revenue for fiscal year 2025. 15 | Copyright © Arista 2026. All rights reserved.
Slide 16: Guidance: First Quarter 2026
Revenue ~$2.6B Guidance Gross Margin (Non-GAAP)1 ~62-63% First Quarter 2026 Operating Margin (Non-GAAP)1 ~46% Diluted Shares ~1.275B Non-GAAP Tax Rate1 ~21.5% 1Guidance for non-GAAP financial measures excludes stock-based compensation, amortization of acquisition-related intangible assets, and other
Slide 17: 2026 Outlook
Prior Revised Revenue Growth ~20% Y/Y ~25% Y/Y 2026 Outlook Gross Margin (Non-GAAP)1 ~62%-64% ~62%-64% Operating Margin (Non- Building momentum of Arista 2.0 ~43-45% ~46% GAAP)1 Positioned to deliver what our customers need across their Centers of Data – in AI Center Revenue Goal ~$2.75B ~$3.25B tru
Slide 18: Appendix: GAAP to Non-GAAP Reconciliation
Appendix: GAAP to Non-GAAP Reconciliation 1Prior period amounts have been updated to conform to the current period presentation to reflect the change in methodology for calculating non-GAAP income taxes associated with stock-based awards. The retrospective application of this change resulted in an i