Arista Networks (NYSE:ANET) reported first-quarter financial results that beat analyst estimates Tuesday after market close.
Here are the highlights.
• Arista Networks stock is taking a hit today. Why is ANET stock dropping?
Arista Networks Q1 Financials
Arista Networks reported first-quarter revenue of $2.71 billion, up 35.1% year-over-year. The revenue total beat a Street consensus estimate of $2.61 billion according to data from Benzinga Pro.
The company reported earnings per share of 87 cents for the quarter, beating a Street consensus estimate of 81 cents per share.
"Arista is off to a strong start in Q1 2026, with both our results and our industry-leading net promoter score," Arista CEO Jayshree Ullal said. "We are uniquely positioned to deliver the mission-critical confluence of secure client-to-campus-to-cloud and AI networking."
Among the company highlights for the quarter was the announcement of XPO high-density liquid-cooled pluggable optics designed for the next-generation AI data centers. XPO is said to reduce networking racks by up to 75% and save up to 44% of floor space.
The company also introduced the universal AI spine to help power AI centers.
What's Next for Arista Networks
The company is guiding for second-quarter revenue of $2.8 billion. The current Street consensus estimate is $2.77 billion, according to data from Benzinga Pro.
Arista expects second-quarter adjusted earnings per share to be 88 cents per share. The current Street consensus estimate if 85 cents per share.
Arista Networks Stock Price Action
Arista Networks stock is down 13.26% to $146.65 in after-hours trading Tuesday, versus a 52-week trading range of $82.80 to $179.80.
The after-hours sell-off comes with a double beat and guidance ahead of estimates. This could signal investors expecting a larger guidance number than reported.
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