10-KPeriod: FY2025

Sandisk Corp Annual Report, Year Ended Jun 27, 2025

Filed August 21, 2025For Securities:SNDK

Summary

Sandisk Corporation has successfully completed its separation from Western Digital Corporation (WDC) and is now operating as a standalone, publicly traded entity (SNDK). The company is a leader in developing, manufacturing, and providing data storage solutions based on NAND flash technology, serving the Cloud, Client, and Consumer end markets. For the fiscal year ended June 27, 2025, Sandisk reported a significant increase in net revenue, up 10% year-over-year, driven by strong performance in the Cloud segment due to increased enterprise SSD shipments and improved pricing. However, the company also recorded a substantial goodwill impairment charge of $1.8 billion, impacting its net income, which resulted in a net loss of $1.64 billion. Despite the net loss, the company has secured significant financing with a $2.0 billion Term Loan Facility and a $1.5 billion revolving credit facility to support its operations. The company's strategic focus remains on innovation and cost leadership to capitalize on the growing demand for data storage solutions.

Financial Highlights

51 data points
Beta

Revenue

$7.36B

30.1% Gross Margin

Net Income

-$1.64B

-22.3% Net Margin

EPS (Diluted)

$-11.32

Total Assets

$12.98B

Cash & Equivalents

$1.48B

Free Cash Flow

-$120.00M

Financial Statements
Beta
Revenue$7.36B
Cost of Revenue$5.14B
Gross Profit$2.21B
R&D Expenses$1.13B
SG&A Expenses$573.00M
Operating Expenses$3.59B
Operating Income-$1.38B
Net Income-$1.64B
EPS (Basic)$-11.32
EPS (Diluted)$-11.32
Shares Outstanding (Basic)145.00M
Shares Outstanding (Diluted)145.00M

Key Highlights

  • 1Sandisk completed its separation from Western Digital Corporation on February 21, 2025, and now trades independently as SNDK.
  • 2Net revenue increased by 10% to $7.355 billion for the fiscal year ended June 27, 2025, primarily driven by a 195% surge in Cloud revenue.
  • 3The company recorded a significant goodwill impairment charge of $1.8 billion, contributing to a net loss of $1.64 billion for the fiscal year.
  • 4Sandisk secured new financing, including a $2.0 billion Term Loan Facility and a $1.5 billion revolving credit facility.
  • 5The company is heavily reliant on its joint ventures with Kioxia for flash-based memory wafers, highlighting a significant supplier concentration risk.
  • 6International sales represented a substantial 80% of net revenue in fiscal year 2025.

Frequently Asked Questions

Sandisk Corporation successfully separated from Western Digital Corporation (WDC) on February 21, 2025, and is now an independent, publicly traded company trading under the symbol 'SNDK'. The financial results for the period ending June 27, 2025, reflect its operations as a standalone entity.

Sandisk reported a 10% increase in net revenue to $7.355 billion, driven by strong growth in its Cloud segment. However, the company incurred a significant goodwill impairment charge of $1.8 billion, resulting in a net loss of $1.64 billion for the year.

Key risks include substantial reliance on strategic partnerships like those with Kioxia for critical components, potential supply chain disruptions, competition, managing technology transitions, and the impact of global economic and geopolitical factors. The company also faces risks related to its recent separation from WDC, including integration costs and operational independence.

The company currently does not intend to pay any cash dividends in the foreseeable future. It plans to retain all available funds and future earnings for the operation of its business and to strengthen its financial position and flexibility.