Penguin Solutions (PENG) Earnings Transcript

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Jan. 6, 2026 astatine 4:30 p.m. ET

• Chief Executive Officer — Mark Adams

• Chief Financial Officer — Nate Olmstead

Mark Adams, Chief Executive Officer; and Nate Olmstead, Chief Financial Officer. You tin find the accompanying descent presumption and property merchandise for this telephone connected the Investor Relations conception of our website. We promote you to spell to the tract passim the 4th for the astir existent accusation connected the company. I would besides similar to punctual everyone to work the enactment connected the usage of forward-looking statements that is included successful the property merchandise and the net telephone presentation.

Please enactment that during this league call, the institution volition marque projections and forward-looking statements, including, but not constricted to, statements astir the company's maturation trajectory and fiscal outlook, concern plans and strategy, marketplace request and shifts, strategical agreements and existing and imaginable collaborations. Forward-looking statements are based connected existent beliefs and assumptions, are not guarantees of aboriginal show and are taxable to risks and uncertainties, including, without limitation, the risks and uncertainties reflected successful the property merchandise and the net telephone presumption filed contiguous arsenic good arsenic successful the company's astir caller yearly and quarterly reports.

The forward-looking statements are typical lone arsenic of the day they are made, and but arsenic required by applicable law, we presume nary work to publically update oregon revise immoderate forward-looking statements. We volition besides sermon some GAAP and non-GAAP fiscal measures. Non-GAAP measures should not beryllium considered successful isolation from, arsenic a substitute for oregon superior to our GAAP results. We promote you to see each measures erstwhile analyzing our performance. A reconciliation of the GAAP to non-GAAP measures is included successful today's property merchandise and accompanying descent presentation. And with that, fto maine present crook the telephone implicit to Mark Adams, CEO. Mark?

Mark Adams: Thank you, Suzanne. We anticipation you each person a bully vacation play and admit your attending our archetypal 4th fiscal 2026 net call. We are blessed with our Q1 results. On our past call, we mentioned immoderate headwinds we anticipated successful the archetypal fractional of our fiscal year. Despite these challenges, gross came successful astatine $343 cardinal successful Q1, up 2% sequentially and 1% year-over-year. We presumption this arsenic important arsenic we were capable to execute good successful the archetypal 4th contempt not recognizing immoderate hyperscale hardware revenue, which had been a meaningful contributor successful the anterior twelvemonth period.