Companies /Technology

Seagate Technology Holdings Plc

NASDAQ: STX Computer Hardware
$816.64
▼ $11.74 (−1.42%) today
Markets open · 4:04pm ET

Q4 2025 Earnings

Reported Jul 29, 2025, 8:48pm ET · SEC source
$2.59
Beat +6.01%
EPS · est. $2.44
$2.4B
Beat +0.67%
Revenue · est. $2.4B
+7.3%
Beating market
STX vs S&P since report
5 quarters
Consecutive EPS beats

Market Reaction

% change · around the report
0+2%+4%Jul 29Jul 30report 8:48pm ETearnings+0.6%+3.7%
0+2%+4%Jul 29Jul 30earnings+0.6%+3.7%
STX +3.7%S&P 500 +0.6%
−3%0+3%Jul 29Jul 30report 8:48pm ETearnings+1.1%+3.7%
−3%0+3%Jul 29Jul 30earnings+1.1%+3.7%
STX +3.7%NASDAQ +1.1%
0+4%+8%Jul 29Aug 6report 8:48pm ETearnings−0.3%+1.0%
0+4%+8%Jul 29Aug 6earnings−0.3%+1.0%
STX +1.0%S&P 500 −0.3%
0+4%+8%Jul 29Aug 6report 8:48pm ETearnings+0.1%+1.0%
0+4%+8%Jul 29Aug 6earnings+0.1%+1.0%
STX +1.0%NASDAQ +0.1%
+6.51%
Day of report
−1.40%
Next session
−5.67%
One week
+8.59%
30 days

S&P 500 over the same 30 days: +1.30%.

Did STX Beat Earnings? Q4 2025 Results

Seagate Technology closed fiscal 2025 on a strong note, posting fourth-quarter earnings per share of $2.59, beating the Wall Street consensus of $2.44 by 6.01%, while revenue of $2.44 billion edged past the $2.42 billion estimate and climbed 29.3% year over year. The primary engine behind the beat was surging cloud data center appetite for nearline hard drives, with Mass Capacity revenue topping $2.00 billion in the quarter and nearline exabyte shipments rising 52% year over year. Non-GAAP gross margin reached 37.9%, a record level by management's account and the ninth consecutive quarter of sequential improvement. Despite the strong print, shares sold off notably after the report, with at least one analyst on the Street characterizing the move as an overreaction given the company's profitability trajectory. Looking ahead, Seagate guided Q1 fiscal 2026 revenue to approximately $2.50 billion and non-GAAP EPS of $2.30, with production capacity largely committed through mid-calendar 2026 and share repurchases expected to resume in the September quarter.

Key Takeaways
  • Strong global cloud demand for nearline hard drives
  • Record gross margins for the ninth consecutive quarter of improvement
  • Build-to-order strategy providing demand visibility and supply-demand alignment
  • Favorable product mix with increased adoption of latest generation products
  • Ongoing pricing adjustments supporting margin expansion

“Seagate closed out fiscal '25 delivering strong financial results for the June quarter, marked by 30% year over year revenue growth and record gross margins, which improved for a ninth consecutive quarter – a trend that is set to continue as HAMR adoption gains momentum.”

Seagate Technology CEO, on the earnings call

Forward Guidance & Outlook

For Q1 FY2026 (September quarter), Seagate guides revenue of $2.5 billion ± $150 million (15% YoY improvement at midpoint), non-GAAP operating expenses of approximately $290 million, non-GAAP operating margin expanding to the mid-to-high twenties percentage range, and non-GAAP EPS of $2.30 ± $0.20 based on a 16% tax rate and ~221 million diluted shares. The company expects to be subject to a global minimum tax rate in the mid-teens starting in FY2026. Capital expenditures for FY2026 are expected within the 4-6% of revenue target range. Free cash flow is expected to expand further in the second half of calendar 2025. The company expects to resume share repurchases in the September quarter. Nearline production capacity is largely committed through mid-calendar 2026. Management expects minimal tariff-related impacts based on the current outlook.

STX YoY Financials

Q4 2025 vs Q4 2024 · SEC filings Q4 2024 Q4 2025
$0$700.0M$1.4B$2.1B$1.9B$2.4BRevenue$600.0M$926.0MGross Profit$314.0M$640.0MOperating Income$513.0M$556.0MNet Income
$0$700.0M$1.4B$2.1BRevenueGross ProfitOperating IncomeNet Income

STX Revenue by Segment

Hard Drive$2.3B
Mass Capacity$2.0B+40.0%
Legacy$270.0M
Other$163.0M

Figures from SEC filings and company reports. Not investment advice.