SNDK Q4 Earnings Summary: Results Smash Expectations, But Stock Down 5% Sandisk delivered a very strong earnings report this quarter, with revenue, EPS, and gross margin all exceeding expectations. The data center business continues to grow rapidly. However, due to next quarter's revenue guidance coming in slightly below market expectations and signs of gross margin peaking, the market chose to take profits after hours, with the stock currently down about 5%. **Key Financial Data** 1. Revenue: $8.97 billion (expected $8.64 billion), up 372% YoY, 51% QoQ 2. Adjusted EPS: $39.25 (expected $34.37) 3. Adjusted Gross Margin: 84.6% (expected 81.5%) 4. Adjusted Operating Profit: $7.1 billion, up 68% QoQ **Data Center Continues to Drive Growth** 1. Data Center Revenue: $2.98 billion, up 103% QoQ 2. Edge Revenue: $5.43 billion, up 392% YoY 3. Consumer Revenue: $556 million, down 32% QoQ **Guidance** Revenue: $10.3–10.8 billion (market expectation ~$11.1 billion) Adjusted EPS: $44–46 (roughly in line with market expectations) Gross Margin: 83%–85% The company stated that about one-third of this quarter's revenue growth came from increased shipment volumes, while two-thirds came from higher NAND ASP (average selling price), indicating that this performance surge is still primarily driven by the NAND price cycle. Additionally, the company signed five new long-term supply agreements (LTAs) this quarter, including three with new customers, and announced a new $14 billion stock buyback authorization.