Pure Storage's 10-Q Report Unveiled

By Tamara Parker • Thursday, December 12 15:25 • Permanent Link

Pure Storage, Inc. has recently released its 10-Q report, providing a detailed insight into its financial performance and operations. Pure Storage is a data storage and management technology company that offers enterprise-class data services, storage protocols, and cloud-native storage solutions. The company's products include FlashArray integrated hardware systems, FlashBlade integrated hardware systems, and cloud-native storage solutions. Pure Storage sells its products and subscription services through a direct sales force and channel partners.

In the 10-Q report, Pure Storage's management discusses the financial condition and results of operations, emphasizing its focus on delivering innovative and disruptive data storage products and services. The report highlights key developments, including an industry-first design win with a major hyperscaler, the availability of Pure Fusion 2.0 as a non-disruptive free upgrade to all existing Pure block storage arrays, and advancements in serving large-scale AI training environments.

In terms of financial results, the report reveals that the company's total revenue for the third quarter of fiscal 2025 was $831.1 million, representing a 9% increase from the same period in fiscal 2024. The growth in subscription services revenue during the third quarter and the first three quarters of fiscal 2025 was largely driven by renewals of Pure Storage's Evergreen subscription services across its installed base.

Subscription Annual Recurring Revenue (ARR) increased by 22% year-over-year, reaching $1.57 billion at the end of the third quarter of fiscal 2025. However, the year-over-year growth in Remaining Performance Obligations (RPO) decreased from 31% at the end of fiscal 2024 to 16% at the end of the third quarter of fiscal 2025, primarily impacted by lower than expected Total Contract Value (TCV) sales of Evergreen//One.

The cost of revenue for the third quarter of fiscal 2025 was $248.2 million, an 18% increase from the same period in fiscal 2024. The product gross margin was 66%, and the subscription services gross margin was 75%.

Today the company's shares have moved 0.3% to a price of $62.22. For the full picture, make sure to review Pure Storage's 10-Q report.

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