NetApp Shares Surge 5% on Strong Q2 Earnings and Upgraded Guidance

NetApp (NASDAQ:NTAP) shares climbed around 5% pre-market today following the release of fiscal second-quarter results that exceeded Wall Street expectations and included an optimistic outlook.

The company reported adjusted earnings of $1.87 per share for the quarter, surpassing the analyst consensus of $1.78. Revenue increased by 6% year-over-year to $1.66 billion, slightly ahead of the $1.64 billion forecast.

NetApp’s strong performance was fueled by robust demand for its all-flash array storage systems, which achieved a 19% year-over-year increase in annualized net revenue run rate, reaching a record $3.8 billion. Additionally, its first-party and marketplace cloud storage services delivered impressive 43% growth over the prior year.

For the current quarter, NetApp projected adjusted earnings of $1.85 to $1.95 per share on revenue ranging from $1.61 billion to $1.76 billion. The midpoint of the EPS forecast exceeded the Street consensus estimate of $1.85.

The company also raised its full-year fiscal 2025 outlook, now expecting adjusted earnings between $7.20 and $7.40 per share on revenue of $6.54 billion to $6.74 billion.