NASDAQ$NTAP

NetApp Inc · Q4 2024 earnings

Q4 2024 earnings · · Investor relations

Briefing

NetApp's Q4 2024 results were reported, showing revenue growth and record annual gross and operating margins.

NetApp reported Q4 2024 net revenues of $1.67 billion, a 6% increase year-over-year. The company achieved record annual gross margins, operating margins, and EPS. Net income for the quarter was $291 million, or $1.37 per share.

  • Net revenues for the fourth quarter were $1.67 billion, up 6% year-over-year.
  • GAAP net income was $291 million, or $1.37 per share, compared to $245 million, or $1.13 per share in the fourth quarter of fiscal year 2023.
  • Non-GAAP net income was $382 million, or $1.80 per share, compared to $334 million, or $1.54 per share in the fourth quarter of fiscal year 2023.
  • The company increased its quarterly dividend to $0.52 per share and authorized an additional $1 billion for share repurchases.

Headline financials

Total Revenue

$1.67B

Previous: $1.58B+5.5%
EPS (adj)

$1.80

Previous: $1.54+16.9%
GAAP Operating Margin

21.9%

Previous: 26.2%-16.4%
Free Cash Flow Margin

34.0%

No prior period
GAAP Gross Margin

70.5%

No prior period
Capital Expenditures

-$46M

Previous: $39M-217.9%
Net Income

$291M

Previous: $245M+18.8%
Operating Income

$367M

Previous: $309M+18.8%
Gross Profit

$1.18B

Previous: $1.08B+9.4%
R&D Expense

$271M

No prior period
Stock-Based Comp

$88M

Previous: $74M+18.9%

Revenue & EPS history

NetApp · Revenue · Quarterly

$1.67B

Q4 2024+5.5%vs Q4 2023
Beat estimate in 8 of 16 quarters(50%)
ActualEstimate

Revenue by segment

NetApp · $1.56B total across 2 segments · Q2 2024

  • Hybrid Cloud
    $1.41B-7.4%
  • Public Cloud
    $154M+8.5%

Forward guidance

NetApp provided financial guidance for the first quarter and full fiscal year 2025.

Tailwinds

  • Net revenues are expected to be in the range of $1.455 billion - $1.605 billion for Q1 2025
  • Q1 2025 GAAP earnings per share is expected to be in the range of $0.98 - $1.08
  • Q1 2025 Non-GAAP earnings per share is expected to be in the range of $1.40 - $1.50
  • Net revenues are expected to be in the range of $6.450 billion – $6.650 billion for FY 2025
  • FY 2025 Consolidated gross margins are expected to be in the range of 70% - 71% (GAAP) and 71% - 72% (Non-GAAP)

Headwinds

  • FY 2025 Operating margins are expected to be in the range of: 20% - 21% (GAAP)
  • FY 2025 Operating margins are expected to be in the range of: 27% - 28% (Non-GAAP)
  • FY 2025 Earnings per share is expected to be in the range of: $4.96 - $5.16 (GAAP)
  • FY 2025 Earnings per share is expected to be in the range of: $6.80 - $7.00 (Non-GAAP)
  • The next cash dividend of $0.52 per share is to be paid on July 24, 2024, to stockholders of record as of the close of business on July 5, 2024.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q4 2024

Historical avgQ4 2024

+0.1%

Avg return

Earnings day

+0.8%

Avg return

5 days after

+1.9%

Avg return

30 days after

50%

34 / 68 earnings

Positive

+19.6%

Q3 2024

Best reaction

-16.8%

Q1 2012

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q4 2026
Q3 2026-2.4%+0.4%+3.2%
Q2 2026-6.7%+0.7%-0.9%
Q1 2026+4.4%+2.9%+6.9%
Q4 2025-0.2%+4.6%+6.6%
Q3 2025-15.6%-19.8%-25.2%
Q2 2025-0.9%+5.0%-4.1%
Q1 2025-10.5%-9.3%-8.9%
Q4 2024+2.5%+1.3%+9.6%
Q3 2024+19.6%+16.6%+19.2%
Q2 2024+14.7%+16.9%+13.0%
Q1 2024-1.3%-0.7%-0.6%
Q4 2023+4.1%+1.7%+10.6%
Q3 2023+0.4%-1.8%-7.4%
Q2 2023-6.8%-8.5%-17.2%
Q1 2023+7.2%+0.2%-13.4%
Q4 2022+1.3%-1.5%-12.7%
Q3 2022-7.9%-9.0%-0.5%
Q2 2022-2.3%-1.6%+0.2%
Q1 2022+6.6%+9.4%+15.9%
Q4 2021+2.6%+5.6%+8.2%
Q3 2021-11.7%-5.9%+7.8%
Q2 2021+11.1%+12.5%+24.3%
Q1 2021+5.1%+13.5%+0.5%
Q4 2020-2.2%-5.5%-2.5%
Q3 2020-6.6%-8.2%-30.9%
Q2 2020+3.1%+5.6%+5.2%
Q1 2020-1.1%+0.0%+20.4%
Q4 2019-11.9%-11.4%-12.2%
Q3 2019-5.2%-4.6%+1.4%
Q2 2019-12.7%-14.7%-22.1%
Q1 2019-3.9%-0.5%+3.6%
Q4 2018+1.6%+0.2%+14.8%
Q3 2018-1.8%-3.8%+8.8%
Q2 2018+16.4%+20.0%+25.5%
Q1 2018-5.7%-7.2%-2.2%
Q4 2017+3.7%+1.9%+1.0%
Q3 2017+2.6%+1.6%+6.4%
Q2 2017+5.8%+6.5%+4.5%
Q1 2017+17.0%+19.9%+20.2%
Q4 2016-1.2%+0.4%-1.9%
Q3 2016+3.6%
Q2 2016-1.1%
Q1 2016+1.7%
Q4 2015-10.1%
Q3 2015-6.4%
Q2 2015-2.8%
Q1 2015+5.2%
Q4 2014+6.5%
Q3 2014-5.9%
Q2 2014+2.2%
Q1 2014-0.6%
Q4 2013+0.2%
Q3 2013+1.3%
Q2 2013+14.7%
Q1 2013+4.9%
Q4 2012+0.6%
Q3 2012+9.3%
Q2 2012-14.7%
Q1 2012-16.8%
Q4 2011-2.9%
Q4 2009-2.9%
Q3 2010-2.5%
Q3 2011-2.5%
Q2 2011-0.8%
Q2 2010+3.9%
Q1 2011+3.9%
Q1 2010+3.9%
Q4 2010+3.9%

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