Record Quarter and Profitable Growth
Hewlett Packard Enterprise reported Q4 revenue of $9.7 billion, a 14% year-over-year increase, with non-GAAP operating profits up 26%. The non-GAAP operating margin reached a record high of 12.2%.
Networking Segment Success
Networking revenue increased 150% year-over-year in Q4, significantly driven by the acquisition of Juniper Networks. Operating margins for this segment were 23%.
Strong Cash Flow and Earnings Per Share
Free cash flow for Q4 was $1.9 billion, and non-GAAP diluted net earnings per share were $0.62, exceeding the high end of guidance.
Growth in Annualized Revenue Run Rate (ARR)
Total company ARR grew by 62% year over year, reaching $3.2 billion, with significant contributions from the GreenLake platform and software solutions.
AI Systems Orders and Sovereign Customer Growth
AI system orders totaled $6.8 billion for the fiscal year, with sovereign and enterprise bookings accounting for more than 60% of cumulative orders since 2023.
Strategic Acquisition and Integration
The acquisition of Juniper Networks was successfully integrated, contributing significantly to revenue and strengthening HPE's networking market position.