Everpure (P) Bank of America 2026 Global Technology Conference summary

Market trends and growth

• Strong global demand for infrastructure modernization, especially driven by AI, led to robust growth and solid Q1 and Q4 results, with momentum expected to continue into fiscal 2027.

• Achieved 35.5% growth, with about a third from pricing and pull-ins, and 22% from core business, outpacing competitors.

• Top-line growth guidance increased from 18% to 21.5% for the year, doubling growth rate within a year.

• Market share gains have accelerated, capturing 40% of industry growth and 50% of capacity in enterprise storage ex-China.

• Demand remains strong despite inflationary pressures, with no evidence of demand destruction and continued customer investment.

Business model and customer segments

• Hyperscaler revenue in the second half is based on customer commitments, with a set business model targeting 75%-85% gross margins.

• The established formula is replicable and appeals to hyperscalers, neoclouds, and AI titans, with flexibility for customers to choose system richness.

• EXA product designed for massively parallel storage is gaining traction, with bookings expected to convert to revenue in upcoming quarters.

• Subscription offerings like Evergreen//One saw strong growth, with Total Contract Value up 73% in Q1 and ARR up 19%.

• Product and subscription mix is now 55% product, 45% subscription, providing a hedged revenue model.

Competitive landscape and differentiation

• Barriers to replicating flash module know-how are high, built over years of mastering NAND and software integration.

• Extracts 30%-40% more performance from flash modules than SSD providers, adding value for suppliers.

• Software-defined solutions and reliability are key differentiators, with 10x reliability over competitors.

• Gained share in both deflationary and inflationary markets, with value and performance driving customer preference.

• Focus remains on sustaining Rule of 40 performance and aiming for number one in revenue/value terms.