European Investor
04 Dec 2025, 19:58
Arista Networks Posts Strong Q3 Results With 27.5% Revenue Growth and Higher Profitability
Arista Networks reported a robust third quarter, delivering $2.308 billion in revenue, up 27.5% from a year earlier and 4.7% sequentially, driven by continued demand across AI, cloud, and campus networking. GAAP net income rose to $853 million, while non-GAAP earnings reached $962.3 million, reflecting 25% EPS growth as the company maintained strong gross margins above 65%. CEO Jayshree Ullal said Arista’s “centers of data” strategy continues to resonate with customers seeking scalable client-to-cloud and AI networking solutions.
The quarter also featured several strategic initiatives, including the appointment of Kenneth Duda as President and CTO, new leadership for cloud and AI networking, and expanded collaboration on Ethernet for Scale-Up Networks unveiled at the OCP Summit. Arista also introduced AI-driven agents to automate network operations and a new observability blueprint for modern AI workloads via CloudVision AI.
Looking ahead to Q4, Arista expects revenue between $2.3 billion and $2.4 billion, with non-GAAP gross margins of 62–63% and operating margins of 47–48%, signaling confidence in sustained demand and disciplined execution.
Arista Networks reported a robust third quarter, delivering $2.308 billion in revenue, up 27.5% from a year earlier and 4.7% sequentially, driven by continued demand across AI, cloud, and campus networking. GAAP net income rose to $853 million, while non-GAAP earnings reached $962.3 million, reflecting 25% EPS growth as the company maintained strong gross margins above 65%. CEO Jayshree Ullal said Arista’s “centers of data” strategy continues to resonate with customers seeking scalable client-to-cloud and AI networking solutions.
The quarter also featured several strategic initiatives, including the appointment of Kenneth Duda as President and CTO, new leadership for cloud and AI networking, and expanded collaboration on Ethernet for Scale-Up Networks unveiled at the OCP Summit. Arista also introduced AI-driven agents to automate network operations and a new observability blueprint for modern AI workloads via CloudVision AI.
Looking ahead to Q4, Arista expects revenue between $2.3 billion and $2.4 billion, with non-GAAP gross margins of 62–63% and operating margins of 47–48%, signaling confidence in sustained demand and disciplined execution.