Quantum: Fiscal 1Q27 Financial Results

Quantum Corp., announced financial results for its fiscal first quarter of 2027 ended June 30, 2026.Fiscal First Quarter 2027 Financial Summary

• Revenue was $80.8 million, exceeding the guidance range of $75.0 million, plus or minus $2.0 million
• GAAP operating expenses were $26.7 million; non-GAAP adjusted operating expenses were $25.1 million, reflecting a YoY reduction of approximately $4.9 million
• GAAP net loss was $155.3 million, or ($7.06) per share primarily due to one-time charges related to successful efforts to restructure its balance sheet and eliminate all debt
• Non-GAAP adjusted net income was $4.0 million, or $0.18 per share
• Non-GAAP adjusted EBITDA was $8.0 million

“Quantum delivered another strong quarter with revenue of approximately $81 million, above the high-end of our guidance, along with better-than-expected gross margin and EBITDA results. In addition, we delivered our first non-GAAP profitable quarter since 2023,” commented Hugues Meyrath, CEO, Quantum. “Our backlog also increased to record levels, reflecting continued robust demand for our tiered storage solutions as organizations confront explosive data growth, cost pressures and increasing power constraints. With our ActiveScale object storage and modern tape architecture, we are helping customers optimize existing environments with the right data in the right place at the right cost – solving real business problems that are critical in the AI era.

Although supply constraints continue to limit our ability to fully meet demand, our growing revenue and backlog is clear evidence of order strength. We have secured several multimillion-dollar deals in both APAC and the Americas, underscoring renewed momentum for our solutions globally. With the company’s debt eliminated and a strong cash position, we are operating from a position of financial strength and remain focused on procuring additional supply in support of our sales momentum and delivering sustainable growth and profitability.”

Fiscal First Quarter 2027 vs. Prior Year Fiscal Quarter
Revenue for the fiscal first quarter of 2027 was $80.8 million, compared to $64.3 million in the prior year first quarter, an increase of 26%. GAAP gross profit in 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.

Total GAAP operating expenses in the fiscal first quarter of 2027 were $26.7 million, or 33.0% of revenue, compared to $35.3 million, or 54.9% of revenue, in the prior year. Total operating expenses on a non-GAAP basis for the fiscal first quarter of 2027 were $25.1 million, compared to $30.0 million in the fiscal first quarter of 2026.

GAAP net loss in the fiscal first quarter of 2027 was $155.3 million, or ($7.06) per share, compared to a net loss of $17.2 million, or ($1.87) per share, in the fiscal first quarter of 2026. The first quarter net loss includes one-time items related to the extinguishment of the Company’s debt and convertible notes. These include charges of $129.7 million related to the fair value of our convertible notes, $16.3 million related to our outstanding warrants, and $11.7 million of loss on debt extinguishment.

Excluding these debt-related items and $0.8 million of other nonrecurring costs as well as stock-based compensation, non-GAAP adjusted net income in the fiscal first quarter of 2027 was $4.0 million, or $0.18 per diluted share, compared to adjusted net loss of $14.5 million, or ($1.58) per share, in the prior year first quarter.

Non-GAAP adjusted EBITDA in the fiscal first quarter of 2027 was a positive $8.0 million, compared to negative $6.5 million in the fiscal first quarter of 2026.

For a reconciliation of GAAP to non-GAAP financial results, please see the financial reconciliation tables below.

Liquidity and Debt (as of June 30, 2026)

• Cash, cash equivalents and restricted cash were $54.6 million, compared to $37.5 million as of June 30, 2025
• Total interest expense for the quarter was $2.1 million, compared to $6.5 million for the same period a year ago
• Total outstanding debt is zero, as a result of the successful completion of the Company’s debt elimination transactions, compared to $104.3 million as of June 30, 2025

Business Outlook
Fiscal second quarter 2027 guidance is as follows:

• Revenue of $82.0 million, plus or minus $2 million
• Non-GAAP adjusted operating expenses of $27 million, plus or minus $1 million
• Non-GAAP adjusted basic net income per share of $0.12, plus or minus $0.10
• Non-GAAP adjusted EBITDA of $6 million, plus or minus $1 million

This assumes an effective annual tax rate of 3%; non-GAAP adjusted net loss per share assumes an average basic share count of approximately 39.4 million in the fiscal second quarter of 2027.