Pure Storage Inc - Ordinary Shares - Class A

Strong Financial Performance: Pure Storage reported total revenue of $3.2 billion for FY '25, marking a 12% growth year-over-year (YoY) and surpassing $3 billion for the first time. Q4 revenue increased by 11%, achieving an operating profit of $153 million and a margin of 17.4%. This signals a solid performance amidst a competitive market.

Innovative Product Developments: The launch of Fusion v.2 is a significant advancement for Pure Storage, transforming traditional data storage architectures into an enterprise data cloud. Customers have shown enthusiastic feedback on Fusion's capabilities, potentially enhancing customer stickiness and driving new sales. The introduction of the 150 terabyte DirectFlash module reflects strong innovation in product offerings.

Challenging Gross Margins: The gross margin for Q4 was reported at 62.9%, impacted primarily by rising NAND prices and increased sales from the E family of products, which competes with traditional disk solutions. This margin decline is expected to stabilize in FY '26 as the pricing of QLC flash moderates and demand remains strong, with expectations to settle in the mid 60s range.