Ubiquiti’s revenue grows 39.9 per cent as component costs rise
US networking equipment company Ubiquiti increased revenue by 39.9 per cent to 1,026.2 million dollars in its fiscal first quarter, which ended September 30. Profit and gross margin also rose. Management warned that further component price increases and supply constraints could weigh on revenue and profitability if pricing or other measures fail to offset them.
Economics & Markets··Midday
Quarterly revenue exceeds 1 billion dollars
Ubiquiti, a US networking equipment company, reported fiscal first-quarter revenue of 1,026.2 million dollars for the period ended September 30. Revenue increased 39.9 per cent from a year earlier and 9.5 per cent from the preceding quarter. The November 6 filing covers the first quarter of fiscal 2027. Enterprise technology revenue rose to 941.3 million dollars from 657.1 million dollars, while service provider technology revenue reached 84.9 million dollars from 76.6 million dollars.[1], [2]
Component costs constrain margin gains
Gross margin improved to 47.3 per cent from 46.0 per cent a year earlier. Ubiquiti attributed the improvement to lower indirect costs, partly offset by higher component costs, which began rising in the final quarter of fiscal 2026. Management warned that further price increases and supply constraints could adversely affect revenue and profitability if pricing or other measures cannot offset them.[1]
Profit rises and dividend is declared
Operating income increased to 391.5 million dollars from 261.7 million dollars despite higher operating expenses. Net income reached 320.5 million dollars, up from 207.9 million dollars, and diluted earnings per share rose to 5.29 dollars from 3.43 dollars. The board declared a dividend of 1 dollar per share, payable November 23 to shareholders recorded on November 16.[1]
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