Nutanix (0NU) Q4 2026 Earnings Report

The call reported multiple strong operational and financial outcomes — record quarterly revenue, double‑digit ARR and revenue growth, robust free cash flow, strong bookings and large deal wins, and momentum in AI, external storage and public cloud offerings. Management acknowledges meaningful headwinds from ongoing server supply constraints, higher hardware prices, and the near‑term impact of restructuring and payment flexibility on cash flow and timing. However, FY27 guidance shows continued growth and margin improvement while incorporating conservative assumptions for supply challenges and payment mix. Overall, the positives (record results, strong cash generation, product and partnership momentum, and constructive guidance) outweigh the headwinds tied largely to external supply dynamics and one‑time items.

Nutanix guided Q1 FY27 revenue of $755–765M with non‑GAAP operating margin of 26–28% and fully diluted weighted average shares of ~294M; for full‑year FY27 it guided revenue of $3.18–3.23B (≈12% y/y at the midpoint), non‑GAAP operating margin of 24–25%, and free cash flow of $850–950M (implying a ~28% free cash flow margin at the midpoint). The guidance reflects assumptions of continued server supply constraints (a moderately higher percentage of orders with future start dates), a renewals ACV pool that grows y/y but more slowly, average contract duration flat to slightly higher, and more payment‑plan flexibility (third‑party financing/annual payments) baked into cash flow; it also incorporates $33–43M of nonrecurring restructuring charges (≈5% workforce reduction) with $30–35M cash paid in Q1.