Arista Networks, Inc.: EPS $1.20 vs $1.08 expected; revenue $3.66B vs $3.33B
Key Facts
Q3 FY2026 results
| Metric | Actual | Estimate | Surprise | Year ago |
|---|---|---|---|---|
| EPS (USD) | 1.20 | 1.08 | +11.1% | 0.75 |
| Revenue (USD bn) | 3.66 | 3.33 | +9.7% | 2.31 |
Recent reports: actual vs estimate
| Reported | Period | EPS (USD) | Estimate | Surprise | Revenue (USD bn) | Estimate | Surprise |
|---|---|---|---|---|---|---|---|
| Nov 3, 2026 | Q3 FY2026 | 1.20 | 1.080 | +11.1% | 3.66 | 3.33 | +9.7% |
| Aug 4, 2026 | Q2 FY2026 | 1.02 | 0.886 | +15.1% | 3.04 | 2.83 | +7.3% |
| May 5, 2026 | Q1 FY2026 | 0.87 | 0.808 | +7.7% | 2.71 | 2.62 | +3.4% |
| Feb 12, 2026 | Q4 FY2025 | 0.82 | 0.758 | +8.2% | 2.49 | 2.39 | +4.3% |
| Nov 4, 2025 | Q3 FY2025 | 0.75 | 0.718 | +4.5% | 2.31 | 2.26 | +1.9% |
| Aug 5, 2025 | Q2 FY2025 | 0.73 | 0.649 | +12.5% | 2.20 | 2.11 | +4.6% |
| May 6, 2025 | Q1 FY2025 | 0.65 | 0.590 | +10.2% | 2.00 | 1.97 | +1.9% |
| Feb 18, 2025 | Q4 FY2024 | 0.65 | 0.567 | +14.6% | 1.93 | 1.90 | +1.5% |
Source: Figures from the EL7 database. Estimates are the analyst consensus carried by our data vendor (FMP), not official figures.
Arista Networks, Inc. results: EPS $1.20 vs $1.08 expected; revenue $3.66B vs $3.33B. The results cover the company's Q3 FY2026. EPS came in above analysts' estimate by 11.1%; revenue above the estimate by 9.7%.
Revenue was up 58.5% from $2.31 billion a year earlier (Q3 FY2025). EPS was up 60.0% from $0.75 a year earlier. On its record, EPS topped analysts' estimates in 7 of 7 earlier comparable reports.
What the results mean
Arista Networks’ results reflect growing sales of networking equipment and support services, with management describing momentum across customer sectors. Management linked that momentum to the growing relevance of its solutions for generative and agentic artificial intelligence networks, placing computing infrastructure connectivity at the center of its business story.
The release highlighted open standards architectures connecting artificial intelligence accelerators within and across racks, alongside networking across geographically distributed data centers. These solutions combine networking hardware with a unified operating system, emphasizing congestion management and reliable data transport.
Operating margin improved despite a decline in gross margin and increased research and development spending, highlighting the relationship between sales growth and operating expenses. Reported earnings also included gains on strategic investments, making it useful to distinguish operating profitability from the contribution of those gains.
What to watch on the earnings call: Demand across customer sectors, adoption of open artificial intelligence networking architectures, and the role of connectivity between data centers in product sales. Other topics to follow include the reasons for declining gross margin alongside improving operating margin, research and development spending priorities, and the contribution of investment gains to earnings.
For the full analysis of Arista Networks, Inc. stock — valuation, scores and financial statements — see the stock page linked with this story.
Latest Updates · 2
- Notable·
Update: Arista Networks expects fourth-quarter revenue to range between $3.9 billion and $4.0 billion, suggesting a potential slowdown in sales growth. The company also reported that net income for the third quarter ended September 30, 2026, reached $1.56 billion.
- Notable·
Update: Arista Networks reported net income of $1.56 billion for the third quarter of 2026, up from $853.0 million a year earlier. This performance represents the company's fastest revenue growth since its initial public offering.