Quantum | 8-K: FY2027 Q1 Revenue Beats Estimate at USD 80.8 M

Revenue: As of FY2027 Q1, the actual value is USD 80.8 M, beating the estimate of USD 75.05 M.

EPS: As of FY2027 Q1, the actual value is USD -7.06, missing the estimate of USD -0.24.

EBIT: As of FY2027 Q1, the actual value is USD 6.924 M.

Fiscal First Quarter 2027 Financial Summary

Revenue

Quantum Corporation reported total revenue of $80.8 million for the fiscal first quarter of 2027, a 26% increase compared to $64.3 million in the prior year’s first quarter . Product revenue was $53.871 million, up from $37.535 million in the prior year . Service and subscription revenue was $24.668 million, compared to $24.943 million in the prior year . Royalty revenue increased to $2.264 million from $1.808 million in the prior year .

Gross Profit and Margin

GAAP gross profit for the fiscal first quarter of 2027 was $31.7 million, or 39.3% of revenue, compared to $22.7 million, or 35.3% of revenue, in the fiscal first quarter of 2026 .

Operating Expenses

Total GAAP operating expenses for the fiscal first quarter of 2027 were $26.7 million, or 33.0% of revenue, a decrease from $35.3 million, or 54.9% of revenue, in the prior year . Non-GAAP adjusted operating expenses were $25.1 million, reflecting a year-over-year reduction of approximately $4.9 million from $30.0 million in the fiscal first quarter of 2026 . Sales and marketing expenses were $11.027 million, down from $12.655 million . General and administrative expenses were $9.609 million, down from $13.569 million . Research and development expenses were $6.023 million, compared to $6.661 million in the prior year .

Operating Profit (Loss)

Income from operations was $5.038 million for the fiscal first quarter of 2027, a significant improvement from a loss of - $12.596 million in the prior year .

Net Income (Loss)

GAAP net loss was - $155.3 million for the fiscal first quarter of 2027, primarily due to one-time charges related to the restructuring of its balance sheet and elimination of all debt, compared to a net loss of - $17.2 million in the fiscal first quarter of 2026 . These charges included $129.7 million related to the fair value of convertible notes, $16.3 million related to outstanding warrants, and an $11.7 million loss on debt extinguishment . Non-GAAP adjusted net income was $4.0 million, marking the first non-GAAP profitable quarter since fiscal 2023, compared to an adjusted net loss of - $14.5 million in the prior year first quarter .

Adjusted EBITDA

Non-GAAP adjusted EBITDA was $8.0 million, a positive result compared to - $6.5 million in the fiscal first quarter of 2026 .

Interest Expense

Total interest expense for the quarter was $2.1 million, compared to $6.5 million for the same period a year ago .

Cash and Liquidity

Cash, cash equivalents, and restricted cash totaled $54.6 million as of June 30, 2026, an increase from $37.5 million as of June 30, 2025 . Total outstanding debt was $0 as of June 30, 2026, following the successful completion of debt elimination transactions, compared to $104.3 million as of June 30, 2025 . Net cash provided by operating activities was $0.947 million for the three months ended June 30, 2026, compared to net cash used in operating activities of - $16.891 million in the prior year . Net cash used in investing activities was - $0.395 million, compared to - $1.192 million in the prior year . Net cash provided by financing activities was $37.808 million, compared to $39.027 million in the prior year .

Operational Metrics

Quantum Corporation’s backlog increased to record levels, reflecting robust demand for its tiered storage solutions . The company also secured several multimillion-dollar deals in both the APAC and Americas regions .

Business Outlook

For the fiscal second quarter of 2027, Quantum Corporation anticipates revenue of $82.0 million, plus or minus $2 million . Non-GAAP adjusted operating expenses are projected to be $27 million, plus or minus $1 million . The company expects non-GAAP adjusted basic net income per share of $0.12, plus or minus $0.10, and non-GAAP adjusted EBITDA of $6 million, plus or minus $1 million .