Strong Financial Performance: Seagate reported a revenue of $2.44 billion for the June quarter, a 30% year-over-year growth and a historical high gross margin of 37.9%. For fiscal year 2025, revenue grew by almost 40% to $9.1 billion, highlighting a significant rebound in demand, especially from cloud service providers.

HAMR Technology Momentum: The company is ramping up its heat-assisted magnetic recording (HAMR) drives, which are expected to significantly enhance capacity and lower costs per terabyte. Qualifications with multiple cloud service providers are proceeding well, with revenues from HAMR products expected to positively impact gross margins, although specific contributions remain undisclosed.

Positive Outlook Despite Market Challenges: Seagate believes it is well-positioned to grow in fiscal '26, forecasting continued demand strength, particularly in mass storage for cloud and edge data centers. However, they acknowledge potential trade policies and market fluctuations may pose risks to their growth trajectory.