How did Ubiquiti's revenue perform this quarter?

Revenue was $733.8 million, a 3.3% decrease from the prior quarter's $759.2 million and a 33.3% increase from $550.3 million in the comparable prior-year quarter. The year-over-year increase came from Enterprise Technology, partly offset by lower Service Provider Technology revenue.

How did earnings per share compare with last year?

GAAP diluted EPS was $3.43, compared with $2.12 a year earlier, an increase of 61.8%. Non-GAAP diluted EPS was $3.46, compared with $2.14, an increase of 61.7%. Non-GAAP results exclude share-based compensation and the tax effects of those adjustments, and in the prior quarter a deferred tax benefit from an intangibles realignment transaction.

What risks does the company highlight?

The filing's forward-looking statements cite risks including the impact of U.S. tariffs, fluctuations in operating results, distributor demand and inventory practices, reliance on a limited number of distributors and chipset suppliers, competition, and tax matters. It also references the military conflict between Russia and Ukraine and tensions between China and Taiwan. The company refers readers to its Form 10-K for the year ended June 30, 2025 for further discussion.

UI 8-K: Earnings & Results

Q: What drove the change in gross margin?

GAAP gross margin was 46.0%, up 0.9% from the prior quarter's 45.1% and up 3.9% from 42.1% a year earlier. The company cited favorable product mix and lower shipping costs and indirect operating expenses, partly offset by higher tariff costs. Versus the prior quarter, incremental excess and obsolete inventory charges were also a partial offset.

01—Abstract

Summary

Summary of the 8-K filed November 7, 2025. Cited figures are marked; the original filing is the authoritative source.

Ubiquiti Inc. reported results for its first quarter of fiscal 2026, the period ended September 30, 2025, in a press release furnished as Exhibit 99.1.

Revenues were $733.8 million^a, down from $759.2 million in the prior quarter (a decrease of 3.3%) and up from $550.3 million in the year-ago quarter (an increase of 33.3%). Enterprise Technology revenue was $657.1 million, and Service Provider Technology revenue was $76.6 million. The year-over-year growth was driven by Enterprise Technology, partly offset by lower Service Provider Technology revenue.

Profitability improved over the prior year. GAAP gross margin was 46.0%, compared with 45.1% in the prior quarter and 42.1% in the year-ago quarter, which the company attributed mainly to favorable product mix, lower shipping costs and indirect operating expenses, partly offset by higher tariff costs. Income from operations was $261.7 million^b and GAAP net income was $207.9 million, or $3.43 per diluted share, compared with $127.9 million, or $2.12 per diluted share, a year earlier.

Non-GAAP diluted EPS was $3.46^c. The prior quarter's GAAP results included a $53.7 million deferred tax benefit from an intangibles realignment transaction, which the company excludes from non-GAAP results. The Board declared a cash dividend of $0.80 per share, payable November 24, 2025 to shareholders of record at the close of business on November 17, 2025.

02—Key points

Key Highlights

Revenue of $733.8 million, down 3.3% from the prior quarter's $759.2 million and up 33.3% from $550.3 million a year earlier.
Enterprise Technology revenue of $657.1 million, up from $470.2 million a year earlier; Service Provider Technology revenue of $76.6 million, down from $80.2 million.
GAAP gross margin of 46.0%, up from 45.1% in the prior quarter and 42.1% in the prior-year quarter, driven mainly by favorable product mix.
GAAP net income of $207.9 million ($3.43 diluted EPS) versus $127.9 million ($2.12 diluted EPS) a year earlier; non-GAAP diluted EPS of $3.46.
Income from operations of $261.7 million, compared with $169.2 million a year earlier.
R&D expenses of $48.5 million and SG&A expenses of $27.1 million, with interest expense and other, net of $3.2 million.
Quarterly cash dividend of $0.80 per share declared, payable November 24, 2025 to holders of record on November 17, 2025.

03—Questions

Frequently Asked Questions

How did Ubiquiti's revenue perform this quarter?
Revenue was $733.8 million, a 3.3% decrease from the prior quarter's $759.2 million and a 33.3% increase from $550.3 million in the comparable prior-year quarter. The year-over-year increase came from Enterprise Technology, partly offset by lower Service Provider Technology revenue.
What drove the change in gross margin?
GAAP gross margin was 46.0%, up 0.9% from the prior quarter's 45.1% and up 3.9% from 42.1% a year earlier. The company cited favorable product mix and lower shipping costs and indirect operating expenses, partly offset by higher tariff costs. Versus the prior quarter, incremental excess and obsolete inventory charges were also a partial offset.
How did earnings per share compare with last year?
GAAP diluted EPS was $3.43, compared with $2.12 a year earlier, an increase of 61.8%. Non-GAAP diluted EPS was $3.46, compared with $2.14, an increase of 61.7%. Non-GAAP results exclude share-based compensation and the tax effects of those adjustments, and in the prior quarter a deferred tax benefit from an intangibles realignment transaction.
What is the dividend announcement?
The Board of Directors declared a cash dividend of $0.80 per share, payable November 24, 2025 to shareholders of record at the close of business on November 17, 2025.
What risks does the company highlight?
The filing's forward-looking statements cite risks including the impact of U.S. tariffs, fluctuations in operating results, distributor demand and inventory practices, reliance on a limited number of distributors and chipset suppliers, competition, and tax matters. It also references the military conflict between Russia and Ukraine and tensions between China and Taiwan. The company refers readers to its Form 10-K for the year ended June 30, 2025 for further discussion.

04—Continue

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