Extreme Networks Reports Second Quarter Fiscal Year 2026 Financial Results

About this update from Extreme Networks, Inc.

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("Extreme") (Nasdaq: EXTR) today released financial results for its second quarter of fiscal 2026 ended December 31, 2025.","length":209,"tagName":"p"},{"type":"text","content":""Extreme is taking share from the largest players in enterprise networking, which is reflected in seven consecutive quarters of sequential revenue growth," said Ed Meyercord, President and CEO of Extreme. "Extreme Platform ONE bookings in the quarter were twice our plan, highlighting our customers’ need for a platform that simplifies operations, automates complex networking tasks, and delivers faster, more resilient experiences through advanced AI."","length":473,"tagName":"p"},{"type":"text","content":"Meyercord continued, "With the ever-changing supply chain conditions, we remain confident in our ability to deliver networking solutions that our customers demand. The combination of our talented team, strong supplier relationships, operational agility, and experience navigating changing market conditions, positions Extreme for continued growth."","length":358,"tagName":"p"},{"type":"text","content":"Kevin Rhodes, Executive Vice President and Chief Financial Officer stated, "Second quarter results exceeded our expectations for revenue and profitability. Our results highlight the leverage in our business model, where earnings growth exceeds revenue growth by 10 percentage points. We’re executing well on our strategy, while navigating the current supply chain environment. We are raising our revenue outlook for fiscal '26 and continue to focus on increasing profitability."","length":492,"tagName":"p"},{"type":"text","content":" Fiscal Second Quarter Results: ","length":30,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Revenue $317.9 million, up 14% year-over-year and up 2.5% quarter-over-quarter","length":78,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"SaaS ARR $226.8 million, up 25.2% year-over-year and 4.9% quarter-over-quarter","length":78,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"GAAP diluted EPS $0.06, compared to $0.06 last year and $0.04 last quarter","length":74,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Non-GAAP diluted EPS $0.26, compared to $0.21 last year and $0.22 last quarter","length":78,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"GAAP gross margin 61.4%, compared to 62.7% last year and 60.6% last quarter","length":75,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Non-GAAP gross margin 62.0%, compared to 63.4% last year and 61.3% last quarter","length":79,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"GAAP operating margin 4.1%, compared to 4.5% last year and 3.6% last quarter","length":76,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"Non-GAAP operating margin 15.0%, compared to 14.7% last year and 13.3% last quarter","length":83,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":621,"olType":false},{"type":"text","content":" Liquidity: ","length":10,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":"Q2 ending cash balance was $219.8 million, an increase of $10.8 million from the end of Q1 2026 and an increase of $49.5 million from the end of Q2 in the prior year.","length":166,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":166,"olType":false},{"type":"list","items":[{"val":[{"type":"text","content":"Q2 net cash was $47.3 million, as compared to net cash of $7.8 million at the end of Q1 2026 and net debt of $14.7 million at the end of Q2 in the prior year.","length":158,"tagName":"p","attribs":{}}]}],"tagName":"ul","bulletedList":true,"length":158,"olType":false},{"type":"readMore"},{"type":"text","content":" Recent Key Highlights: ","length":22,"tagName":"p"},{"type":"list","items":[{"val":[{"type":"text","content":" Extreme was named as a Leader in the IDC MarketScape : Worldwide Enterprise Wireless LAN 2025 Vendor Assessment (Doc #US52978225, October 2025), with IDC noting strengths including Extreme Platform ONE, strong reviews from customers for responsive support services, expertise in high-density environments, and highly flexible deployment and management options for customers through its Universal Hardware.","length":404,"tagName":"p","attribs":{}}]},{"val":[{"type":"text","content":"During the quarter, Extreme hosted both an Investor Day and its inaugural AI Summit in New York City . 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