FY26 Revenue Up 13%, SaaS ARR Up 18%, and Strong Platform ONE Bookings Demand and Supply Chain Management Drive Double-Digit Product Revenue Growth Outlook for FY27
MORRISVILLE, N.C. — Extreme Networks, Inc. (“Extreme”) (Nasdaq: EXTR) today released financial results for its fourth quarter and fiscal year ended June 30, 2026.
“We closed Fiscal 2026 delivering 13% year-over-year revenue growth, and the fourth quarter marked our sixth consecutive quarter of double-digit growth. These results are fueled by accelerating demand for our AI platform, a differentiated portfolio, strong execution, and broad product availability. This quarter further validates the competitive advantages we’ve created through our innovation, nimbleness, and supply chain leadership. We’re winning more competitive deals, expanding with larger enterprises, and gaining share across our target markets. In Fiscal 2026, 187 customers ordered over one million dollars of Extreme solutions,” said Ed Meyercord, President and CEO of Extreme.
“Extreme Platform ONE™ reached over 30% of our subscription bookings in its first year of availability and doubled quarter-over-quarter in the fourth quarter. Each quarter, we’re adding new features like advanced security, AI-powered automation, and support for third-party solutions. And we’re winning competitive opportunities because customers recognize we’re building the platform they’ll standardize on now and well into the future,” said Meyercord.
Kevin Rhodes, Executive Vice President and Chief Financial Officer, noted, “The fourth quarter marked our ninth consecutive quarter of sequential product revenue growth and our third consecutive quarter of gross margin improvement, translating into operating leverage. With our supply secured into Fiscal 2028, we have broad product availability to meet growing demand. The targeted pricing actions we implemented are successfully offsetting the incremental supply chain costs the industry is facing and provide increased confidence and visibility into our margin outlook. Looking ahead at Fiscal 2027, we continue to expect double-digit product revenue growth and continued solid gross margin driving strong EPS growth.”
Fiscal Fourth Quarter Results:
Revenue $338.6 million, up 10.3% year-over-year and up 6.8% quarter-over-quarter
SaaS ARR $244.3 million, up 17.7% year-over-year and 3.4% quarter-over-quarter
GAAP diluted EPS $0.13, compared to GAAP diluted loss per share $0.06 last year and GAAP diluted EPS $0.08 last quarter
Non-GAAP diluted EPS $0.32, compared to $0.25 last year and $0.26 last quarter
GAAP gross margin 62.2%, compared to 61.6% last year and 61.7% last quarter
Non-GAAP gross margin 62.7%, compared to 62.3% last year and 62.3% last quarter
GAAP operating profit margin 6.2%, compared to GAAP operating loss margin 0.4% last year and GAAP operating profit margin 5.5% last quarter
Non-GAAP operating margin 15.7%, compared to 15.2% last year and 15.2% last quarter
Share repurchases of $25.0 million during the quarter with 1.5 million shares at an average price of $16.66 per share
Fiscal Year 2026 Results:
Revenue $1,283.6 million, up 12.6% year-over-year
GAAP diluted EPS $0.31, compared to GAAP diluted loss per share $0.06 last year
Non-GAAP diluted EPS $1.06, compared to Non-GAAP diluted EPS $0.84 last year
GAAP gross margin 61.5%, compared to GAAP gross margin 62.2% last year
Non-GAAP gross margin 62.1%, compared to Non-GAAP gross margin 62.9% last year
GAAP operating margin 4.9%, compared to GAAP operating margin 1.5% last year
Non-GAAP operating margin 14.8%, compared to Non-GAAP operating margin 14.2% last year
Liquidity:
Q4 ending cash balance was $211.8 million, an increase of $1.7 million from the end of Q3 2026 and a decrease of $20.0 million from the end of Q4 in the prior year.
Q4 net cash was $46.8 million, as compared to net cash of $11.3 million at the end of Q3 2026 and net cash of $51.7 million at the end of Q4 in the prior year.
Strengthened financial flexibility with a $500.0 million revolving credit facility entered into on July 29, 2026, which provides additional working capital to fuel growth with improved terms and rate structure. The company subsequently repaid its existing term loan and credit facility.
Recent Key Highlights:
At Extreme Connect in May, we demonstrated the pace of innovation that sets Extreme apart, unveiling major new capabilities to nearly 800 customers and partners . We expanded Extreme Platform ONE with capabilities that simplify operations, strengthen security, and make adoption easier, while introducing Agent ONE to move customers from AI-assisted networking to AI-driven and autonomous operations.
Extreme expanded its portfolio of Wi-Fi 7 Access Points introducing the AP5060, AP5022, AP3020, and AP3060, all engineered to power seamless connectivity for critical applications including real-time AI workloads, AR/VR experiences, smart manufacturing, telehealth, and high-density venues.
The Tennessee Titans selected Extreme to power the new Nissan Stadium with Wi-Fi 7 and the industry’s first Multi-Beam Wireless technology. Enabled by Extreme’s strategic partnership with MatSing, the solution delivers unprecedented coverage and capacity with dramatically less infrastructure, creating a next-generation fan and operational experience.
Extreme secured the largest win in Australia in company history as the University of Technology Sydney selected Extreme’s AI-powered wired and wireless networking, managed through Extreme Platform ONE, to build a smarter, more secure, and resilient campus. Extreme worked with Nexon Asia Pacific on the deal and the deployment will simplify operations, strengthen security, support uninterrupted teaching and collaboration, and scale for future growth.
A top 10 global retailer headquartered in Europe selected Extreme Platform ONE to bring AI-driven automation to one of the world’s largest retail networks. By leveraging AI to proactively identify issues, automate routine operations, and accelerate troubleshooting, the company can reduce operational complexity, improve network resilience, and free IT teams to focus on higher-value initiatives that enhance the customer and associate experience.
The University of Florida will deploy the first-ever Wi-Fi 7 network in a collegiate stadium at Ben Hill Griffin Stadium. Beyond enhancing the fan experience, Extreme Wi‑Fi 7 supports more reliable staff communications, faster point-of-sale transactions, enhanced security through HD video and AI-driven monitoring, and seamless integration of IoT technologies such as smart sensors, digital signage, and automated systems.
Elisabeth-TweeSteden Hospital (ETZ), one of the largest hospitals in the Netherlands, expanded its investment in Extreme to power the network behind a major hospital transformation. As ETZ modernizes its campus, Extreme Platform ONE and Extreme Fabric will deliver the resilient, automated connectivity needed to seamlessly transition services while maintaining uninterrupted patient care.
Nottingham City Council selected Extreme to replace a major competitor with a unified Fabric, SD-WAN, and cloud-managed networking solution spanning 74 sites. The win highlights the competitive differentiation of Extreme’s end-to-end networking portfolio and reinforces the company’s momentum in the strategic government sector while delivering customers a simpler, more resilient, and easier-to-manage network.
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