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Publication Date: 2026-08-26 22:51:00
Nutanix Inc. closed out its fiscal year with stronger-than-expected fourth-quarter revenue and profit as annual recurring revenue grew 16% and customers adopted more of the company’s external storage, public-cloud and portfolio offerings.
Revenue for the quarter ended July 31 rose 16% from a year earlier, to $757.1 million, beating the $738.3 million consensus estimate. Adjusted earnings increased to 60 cents a share from 37 cents a year ago, beating the 49-cent analyst estimate.
Annual recurring revenue reached $2.55 billion, also up 16%. Operating income jumped to $198 million from $119.5 million, lifting the adjusted operating margin to 26.2% from 18.3%. Free cash flow rose to $277.6 million from $207.8 million.
Shares climbed more than 6% in initial after-hours trading.
“It was a strong Q4 overall,” Chief Executive Rajiv Ramaswami (pictured) said in a briefing with journalists. “I thought we exited with good momentum.” He cited broad-based performance, including strength in external storage, the NC2 public-cloud offering, Kubernetes and database management.
For the full year, Nutanix added more than 3,000 customers, although the CEO cautioned against reading too much into quarterly customer additions because the number can vary depending on the balance between a smaller number of large deals and a larger number of smaller transactions.
Storage lift
A major contributor in the quarter was Nutanix’s expanding support for external storage arrays. That gives…
