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Callan Family Office LLC acquired a new stake in shares of Extreme Networks, Inc. (NASDAQ:EXTR – Free Report) during the second quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 26,848 shares of the technology company’s stock, valued at approximately $869,000.

A number of other institutional investors have also recently bought and sold shares of EXTR. Royal Bank of Canada raised its stake in shares of Extreme Networks by 20.8% in the 1st quarter. Royal Bank of Canada now owns 73,610 shares of the technology company’s stock valued at $974,000 after buying an additional 12,667 shares in the last quarter. AQR Capital Management LLC lifted its holdings in shares of Extreme Networks by 6.6% during the 1st quarter. AQR Capital Management LLC now owns 34,375 shares of the technology company’s stock worth $455,000 after acquiring an additional 2,122 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Extreme Networks by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 76,723 shares of the technology company’s stock valued at $1,015,000 after acquiring an additional 3,349 shares in the last quarter. Millennium Management LLC boosted its position in shares of Extreme Networks by 163.0% during the 1st quarter. Millennium Management LLC now owns 1,260,362 shares of the technology company’s stock valued at $16,675,000 after acquiring an additional 781,103 shares in the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in Extreme Networks by 7.5% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 319,434 shares of the technology company’s stock valued at $4,226,000 after acquiring an additional 22,209 shares during the period. Institutional investors and hedge funds own 91.05% of the company’s stock.

Insider Transactions at Extreme Networks In other news, insider Katayoun Motiey sold 30,000 shares of the firm’s stock in a transaction on Friday, June 12th. The stock was sold at an average price of $31.03, for a total value of $930,900.00. Following the completion of the sale, the insider directly owned 120,834 shares in the company, valued at approximately $3,749,479.02. This trade represents a 19.89% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this link. Also, CEO Edward Meyercord sold 50,000 shares of Extreme Networks stock in a transaction dated Monday, August 3rd. The shares were sold at an average price of $29.79, for a total value of $1,489,500.00. Following the completion of the transaction, the chief executive officer directly owned 1,596,475 shares of the company’s stock, valued at $47,558,990.25. This represents a 3.04% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last quarter, insiders have sold 301,825 shares of company stock worth $8,709,148. Insiders own 3.60% of the company’s stock.

Analyst Ratings Changes EXTR has been the subject of several recent research reports. B. Riley Financial increased their price target on shares of Extreme Networks from $28.00 to $34.00 and gave the stock a “buy” rating in a research report on Thursday, August 6th. Bank of America lifted their price objective on Extreme Networks from $28.00 to $33.00 and gave the company a “buy” rating in a report on Monday, June 8th. Lake Street Capital upped their price objective on Extreme Networks from $25.00 to $34.00 and gave the company a “buy” rating in a research note on Monday, June 15th. Craig Hallum reissued a “buy” rating and issued a $31.00 target price on shares of Extreme Networks in a report on Thursday, August 6th. Finally, Needham & Company LLC dropped their target price on Extreme Networks from $38.00 to $35.00 and set a “buy” rating for the company in a report on Wednesday, August 5th. Seven investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $32.25. Get Our Latest Stock Report on EXTR

Extreme Networks Stock Performance NASDAQ:EXTR opened at $22.38 on Tuesday. Extreme Networks, Inc. has a 1 year low of $13.48 and a 1 year high of $33.73. The firm has a 50 day moving average of $28.96 and a 200-day moving average of $22.59. The company has a current ratio of 0.93, a quick ratio of 0.81 and a debt-to-equity ratio of 1.63. The stock has a market capitalization of $2.92 billion, a P/E ratio of 72.20, a price-to-earnings-growth ratio of 1.52 and a beta of 1.79.

Extreme Networks (NASDAQ:EXTR – Get Free Report) last announced its earnings results on Wednesday, August 5th. The technology company reported $0.32 EPS for the quarter, topping the consensus estimate of $0.29 by $0.03. Extreme Networks had a return on equity of 88.88% and a net margin of 3.28%.The business had revenue of $338.55 million for the quarter, compared to the consensus estimate of $332.49 million. During the same period in the previous year, the business earned $0.25 EPS. Extreme Networks’s revenue was up 10.3% compared to the same quarter last year. Extreme Networks has set its FY 2027 guidance at 1.280-1.330 EPS and its Q1 2027 guidance at 0.270-0.290 EPS. As a group, sell-side analysts anticipate that Extreme Networks, Inc. will post 0.75 EPS for the current fiscal year.

Extreme Networks Profile (Free Report)

Extreme Networks, Inc (NASDAQ: EXTR) is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company’s product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme’s Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.

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Aurora Investment Counsel acquired a new stake in shares of Extreme Networks, Inc. (NASDAQ:EXTR – Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor acquired 75,864 shares of the technology company’s stock, valued at approximately $2,456,000. Extreme Networks accounts for about 1.3% of Aurora Investment Counsel’s holdings, making the stock its 19th largest holding. Aurora Investment Counsel owned 0.06% of Extreme Networks as of its most recent SEC filing.

Other hedge funds have also recently bought and sold shares of the company. Royal Bank of Canada boosted its holdings in shares of Extreme Networks by 20.8% during the first quarter. Royal Bank of Canada now owns 73,610 shares of the technology company’s stock worth $974,000 after purchasing an additional 12,667 shares during the last quarter. AQR Capital Management LLC boosted its stake in Extreme Networks by 6.6% in the 1st quarter. AQR Capital Management LLC now owns 34,375 shares of the technology company’s stock worth $455,000 after buying an additional 2,122 shares during the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its holdings in Extreme Networks by 4.6% in the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 76,723 shares of the technology company’s stock valued at $1,015,000 after buying an additional 3,349 shares during the period. Millennium Management LLC grew its holdings in Extreme Networks by 163.0% in the 1st quarter. Millennium Management LLC now owns 1,260,362 shares of the technology company’s stock valued at $16,675,000 after buying an additional 781,103 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of Extreme Networks by 7.5% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 319,434 shares of the technology company’s stock valued at $4,226,000 after acquiring an additional 22,209 shares during the last quarter. Institutional investors and hedge funds own 91.05% of the company’s stock.

Extreme Networks Stock Performance NASDAQ:EXTR opened at $22.79 on Thursday. The firm’s fifty day simple moving average is $29.48 and its 200 day simple moving average is $22.42. The company has a current ratio of 0.93, a quick ratio of 0.81 and a debt-to-equity ratio of 1.63. Extreme Networks, Inc. has a twelve month low of $13.48 and a twelve month high of $33.73. The firm has a market capitalization of $2.97 billion, a price-to-earnings ratio of 73.52, a PEG ratio of 1.56 and a beta of 1.79.

Extreme Networks (NASDAQ:EXTR – Get Free Report) last announced its quarterly earnings results on Wednesday, August 5th. The technology company reported $0.32 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.29 by $0.03. Extreme Networks had a return on equity of 88.88% and a net margin of 3.28%.The firm had revenue of $338.55 million during the quarter, compared to the consensus estimate of $332.49 million. During the same period in the prior year, the firm earned $0.25 EPS. The firm’s quarterly revenue was up 10.3% compared to the same quarter last year. Extreme Networks has set its FY 2027 guidance at 1.280-1.330 EPS and its Q1 2027 guidance at 0.270-0.290 EPS. As a group, equities research analysts expect that Extreme Networks, Inc. will post 0.75 earnings per share for the current fiscal year. Analyst Upgrades and Downgrades A number of research firms recently issued reports on EXTR. Needham & Company LLC lowered their target price on shares of Extreme Networks from $38.00 to $35.00 and set a “buy” rating for the company in a report on Wednesday, August 5th. Bank of America lifted their price target on shares of Extreme Networks from $28.00 to $33.00 and gave the company a “buy” rating in a report on Monday, June 8th. Oppenheimer reissued an “outperform” rating on shares of Extreme Networks in a research note on Thursday, August 6th. UBS Group set a $28.00 price objective on Extreme Networks in a report on Thursday, April 30th. Finally, Weiss Ratings lowered Extreme Networks from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Monday. Seven analysts have rated the stock with a Buy rating, one has given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $32.25.

Check Out Our Latest Research Report on EXTR

Insider Transactions at Extreme Networks In related news, CEO Edward Meyercord sold 100,000 shares of Extreme Networks stock in a transaction on Tuesday, May 26th. The shares were sold at an average price of $26.10, for a total transaction of $2,610,000.00. Following the sale, the chief executive officer owned 1,721,902 shares of the company’s stock, valued at $44,941,642.20. The trade was a 5.49% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Katayoun Motiey sold 30,000 shares of Extreme Networks stock in a transaction on Friday, June 12th. The stock was sold at an average price of $31.03, for a total transaction of $930,900.00. Following the sale, the insider directly owned 120,834 shares in the company, valued at $3,749,479.02. This trade represents a 19.89% decrease in their position. The SEC filing for this sale provides additional information. Over the last three months, insiders have sold 395,000 shares of company stock valued at $11,229,950. Corporate insiders own 3.60% of the company’s stock.

Extreme Networks Profile (Free Report)

Extreme Networks, Inc (NASDAQ: EXTR) is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company’s product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme’s Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.

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Did Extreme Networks, Inc. Insiders Breach their Fiduciary Duties to Shareholders? PR Newswire NEW YORK, Aug. 17,

Ciena Stock: Powering the AI Boom - A Network Infrastructure PlayExtreme Networks NASDAQ: EXTR is positioning its Wi-Fi 7 products, network automation software and expanding data center capabilities to benefit from an enterprise networking upgrade cycle tied to artificial intelligence, higher-bandwidth applications and security needs, according to Stan Kovler, the company’s senior vice president of corporate development and investor relations.

Speaking at an Oppenheimer event, Kovler said customers are increasingly moving to next-generation networking technology, including Wi-Fi 7, which offers greater bandwidth, reliability and more predictable connectivity. He said some customers are upgrading directly from Wi-Fi 4 or Wi-Fi 5 rather than moving through Wi-Fi 6 or Wi-Fi 6E.

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Wi-Fi 7 Demand Driven by Venues, Video and Connected Systems
Arista Networks Advances the Era of AI and Microperimeters Kovler highlighted large venues as a key use case for higher-capacity wireless networks. Stadium operators are deploying thousands of Wi-Fi access points to support growing concurrent usage, including live streaming, video sharing, digital concessions and security applications.

“Now pretty much everyone is on Wi-Fi at a lot of these events,” Kovler said, citing the need to support users at venues such as large college football stadiums. He said Wi-Fi remains less expensive to deploy than 5G in many venue environments, estimating that Wi-Fi can be three to four times cheaper to deploy than a cell-site-based alternative.

Extreme Networks Snags an Upgrade on Inventory NormalizationThe company is also seeing networking demand expand into locations and applications that historically had less connectivity, including manufacturing facilities, retail checkout systems and airport passenger-processing systems. Kovler pointed to facial recognition, 4K video, factory automation and connected devices as examples of workloads requiring more network capacity and upgraded switching infrastructure.

Security is another driver, particularly in manufacturing and regulated industries. Kovler said Extreme’s fabric technology can create separate virtual networks for individual production lines, potentially helping contain a cyberattack within a limited area rather than allowing it to spread across an organization.

He also cited demand for sovereign-cloud-style deployments, in which government and regulated-industry customers operate management systems in protected environments instead of relying on public cloud infrastructure.

Platform ONE Expands AI Automation Features
Extreme Networks plans to roll out an upgrade to its Extreme Platform ONE software later in the month, Kovler said. The company calls the next-generation capability “Agent ONE,” which is intended to expand the use of AI in network administration.

According to Kovler, the platform initially focused on knowledge-based searches and helping network engineers find information. Future capabilities are expected to provide greater automation, including a “Coworker mode” that can schedule tasks and automate processes. A subsequent offering planned for introduction in October, called “Operator mode,” is designed to address agent-to-agent workflows and more autonomous network operations.

Kovler said the primary near-term productivity benefit should be faster troubleshooting and reduced mean time to resolution. AI can analyze logs and network events in an automated way, potentially allowing IT teams to identify and resolve issues more quickly than through manual processes, he said.

He characterized the economic benefit primarily as cost avoidance rather than immediate workforce reductions. As organizations and their networks grow, automated management tools could reduce the need to add personnel, he said.

Subscription Transition and Data Center Investment
Kovler said Extreme Platform ONE bundles support with AI-driven subscription management capabilities. The bundle represented 30% of the company’s subscription bookings in fiscal 2026 and reached 50% of subscription bookings in the fourth quarter, according to his remarks.

Extreme is transitioning customers from a discrete support model toward a SaaS-oriented subscription model. Kovler said subscriptions accounted for 57% of deferred revenue in the latest quarter. The company aims to move roughly half of its customer base to Extreme Platform ONE by the end of fiscal 2027, compared with approximately 10% at the end of fiscal 2026, and expects to largely complete the transition by fiscal 2028.

He said fiscal 2027 will be a transition year, as the bundling of product lines affects the discrete support revenue line. However, he expects SaaS annual recurring revenue to reaccelerate as subscription revenue is recognized from deferred revenue, with an inflection anticipated toward the end of the fiscal year.

The company is also investing in data center offerings supporting speeds of 400 and 800, Kovler said. He expects enterprises to invest more in on-premises compute and AI workloads over time. Extreme aims to use Platform ONE as a common management layer for both campus networks and future data center switches.

Pricing, Supply and Market-Share Opportunity
Kovler said Extreme expects another year of double-digit product revenue growth and believes it can gain share from larger incumbents. He said aging customer equipment, end-of-life products and competitor product-line transitions may create opportunities, particularly in government and regulated markets where contracts can be reopened for bidding.

The company has raised prices twice during the past year, while some competitors have raised prices more frequently, Kovler said. Extreme is guaranteeing pricing for customers that register interest and deals through October and November, a strategy he said is intended to support orderly purchasing and supply-chain planning rather than encourage a short-term buying surge.

He added that the company has secured memory supply and has visibility into its memory pricing for the year. In certain product lines, he said, competitors are facing longer lead times, which Extreme believes can support additional share gains.

Kovler described current backlog as improving but remaining at “very reasonable levels,” rather than reaching the elevated levels seen during the prior supply-chain-driven cycle. He said the company prefers measured demand growth and is seeking to avoid customers placing orders far in advance of actual delivery needs.

About Extreme Networks (NASDAQ:EXTR)Extreme Networks, Inc NASDAQ: EXTR is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company's product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme's Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Ciena Stock: Powering the AI Boom - A Network Infrastructure PlayExtreme Networks NASDAQ: EXTR reported fourth-quarter fiscal 2026 revenue of $339 million, up 10% from a year earlier and 7% sequentially, as the networking company cited continued product demand, higher gross margins and growing adoption of its Extreme Platform ONE platform.

For the full fiscal year, revenue rose 13% to $1.28 billion, while non-GAAP earnings per share increased 26% to $1.06. President and CEO Ed Meyercord said the company’s performance reflected competitive wins, larger customer projects and operating leverage. The fourth quarter marked Extreme’s sixth consecutive quarter of double-digit growth, according to Meyercord.

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Fourth-Quarter Results and Margins Arista Networks Advances the Era of AI and Microperimeters Executive Vice President and CFO Kevin Rhodes said fourth-quarter product demand increased 14% year over year and 10% sequentially. The company reported its ninth consecutive quarter of sequential product-revenue growth. Recurring revenue was $116 million, up 6% from the prior-year quarter, while SaaS annual recurring revenue reached $244 million, an 18% year-over-year increase.

Non-GAAP gross margin was 62.7%, exceeding the company’s guidance range. Rhodes attributed the result to pricing actions and supply-chain cost management, which contributed to a 40-basis-point improvement in product margins. Non-GAAP earnings per share were $0.32, up 28% year over year and 23% sequentially; Rhodes noted that the figure included some tax favorability.

Extreme Networks Snags an Upgrade on Inventory NormalizationFourth-quarter operating margin was 15.7%, compared with 15.2% a year earlier. The company generated $59 million in EBITDA, representing a 17.5% margin, and produced $65 million in cash flow during the quarter. Extreme ended the period with $47 million in net cash.

Full-year non-GAAP operating margin expanded 60 basis points to 14.8%. Full-year EBITDA rose 20% to $210 million. The company repurchased $25 million of shares in the fourth quarter at an average price of $16.66 per share, bringing fiscal-year buybacks to $87 million. Extreme said its cash conversion cycle improved to 25 days from 41 days in the prior quarter, primarily because of lower inventory days outstanding. Platform Adoption and Larger Deals Meyercord said Extreme Platform ONE represented 30% of subscription bookings in its first year of general availability and nearly half of subscription bookings in the fourth quarter. The platform combines Extreme’s networking capabilities with AI-powered functions, including its Extreme Fabric technology.

The company said it expects half of its installed base to be on Extreme Platform ONE by the end of fiscal 2027. Management said the migration includes customers moving from traditional service and maintenance arrangements into subscriptions that combine those services with the platform, a transition that has affected recurring-revenue growth comparisons.

Extreme reported 187 customers with more than $1 million in bookings during fiscal 2026, compared with 168 in fiscal 2025. Meyercord said average deal size grew by one-third during the year and that the company’s pipeline of opportunities above $1 million was up in both volume and value by the mid-teens from a year earlier.

The company highlighted customer wins across regions and verticals, including a multiyear, multimillion-dollar Extreme Platform ONE agreement with a large Middle Eastern healthcare provider. Other cited deployments included Nottingham City Council in the U.K., Elisabeth-TweeSteden hospital in the Netherlands, Brunel University London, University of Technology Sydney and the University of Florida’s Ben Hill Griffin Stadium.

Extreme also said it won the Tennessee Titans’ new Nissan Stadium project with a Wi-Fi 7 multi-beam wireless solution developed through an exclusive partnership with MatSing. More than half of the company’s wireless bookings and revenue now come from Wi-Fi 7 products, Rhodes said.

Supply Position and Competitive Environment Management said Extreme has secured component supply into fiscal 2028 and beyond. Meyercord said the company has not yet seen the full benefit in its reported results from having product availability while some competitors experience longer lead times, but he expects that advantage to become more evident over the coming quarters.

The company has introduced a deal-registration program that provides partners with price and supply guarantees for registered opportunities. Meyercord said channel partners have reported supply constraints and extended lead times from competitors in different regions and product categories.

Extreme said it has taken two product price increases, with the November and March increases now reflected in all quotes. Rhodes said management is seeking to retain the benefits of those increases while balancing discounts in what he characterized as a price-sensitive networking-equipment market.

The company’s managed service provider program ended the year with 74 active MSPs, up from 70 in the preceding quarter. MSP billings increased 16% sequentially and 112% year over year, and management said all participating MSPs are operating Extreme Platform ONE for MSP Workspace.

Fiscal 2027 Outlook For the first quarter of fiscal 2027, Extreme forecast revenue of $334 million to $339 million, non-GAAP gross margin of 62.2% to 62.7%, operating margin of 14.7% to 15.3%, and earnings per share of $0.27 to $0.29.

For the full year, the company projected revenue of $1.38 billion to $1.40 billion, implying continued growth supported by double-digit product-revenue growth. Extreme forecast gross margin of 62.2% to 62.7%, operating margin of 16.7% to 17.1%, and non-GAAP earnings per share of $1.28 to $1.33. The company expects a 23% non-GAAP tax rate for fiscal 2027.

Meyercord said Extreme expects earnings growth above 20% as the company pursues share gains and expands its platform adoption. He also said the company plans to release Agent ONE in “Coworker” mode by the end of the month and introduce an “Operator” mode at an AI summit in Amsterdam in October.

About Extreme Networks (NASDAQ:EXTR)Extreme Networks, Inc NASDAQ: EXTR is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company's product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme's Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected].

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Should You Invest $1,000 in Extreme Networks Right Now?Before you consider Extreme Networks, you'll want to hear this.

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FY26 Revenue Up 13%, SaaS ARR Up 18%, and Strong Platform ONE Bookings Demand and Supply Chain Management Drive Double-Digit Product Revenue Growth Outlook for FY27

MORRISVILLE, N.C.--(BUSINESS WIRE)--Extreme Networks, Inc. (“Extreme”) (Nasdaq: EXTR) today released financial results for its fourth quarter and fiscal year ended June 30, 2026.

“We closed Fiscal 2026 delivering 13% year-over-year revenue growth, and the fourth quarter marked our sixth consecutive quarter of double-digit growth. These results are fueled by accelerating demand for our AI platform, a differentiated portfolio, strong execution, and broad product availability. This quarter further validates the competitive advantages we’ve created through our innovation, nimbleness, and supply chain leadership. We’re winning more competitive deals, expanding with larger enterprises, and gaining share across our target markets. In Fiscal 2026, 187 customers ordered over one million dollars of Extreme solutions,” said Ed Meyercord, President and CEO of Extreme.

“Extreme Platform ONE™ reached over 30% of our subscription bookings in its first year of availability and doubled quarter-over-quarter in the fourth quarter. Each quarter, we’re adding new features like advanced security, AI-powered automation, and support for third-party solutions. And we’re winning competitive opportunities because customers recognize we’re building the platform they’ll standardize on now and well into the future,” said Meyercord.

Kevin Rhodes, Executive Vice President and Chief Financial Officer, noted, “The fourth quarter marked our ninth consecutive quarter of sequential product revenue growth and our third consecutive quarter of gross margin improvement, translating into operating leverage. With our supply secured into Fiscal 2028, we have broad product availability to meet growing demand. The targeted pricing actions we implemented are successfully offsetting the incremental supply chain costs the industry is facing and provide increased confidence and visibility into our margin outlook. Looking ahead at Fiscal 2027, we continue to expect double-digit product revenue growth and continued solid gross margin driving strong EPS growth.”

Fiscal Fourth Quarter Results:

Revenue $338.6 million, up 10.3% year-over-year and up 6.8% quarter-over-quarter SaaS ARR $244.3 million, up 17.7% year-over-year and 3.4% quarter-over-quarter GAAP diluted EPS $0.13, compared to GAAP diluted loss per share $0.06 last year and GAAP diluted EPS $0.08 last quarter Non-GAAP diluted EPS $0.32, compared to $0.25 last year and $0.26 last quarter GAAP gross margin 62.2%, compared to 61.6% last year and 61.7% last quarter Non-GAAP gross margin 62.7%, compared to 62.3% last year and 62.3% last quarter GAAP operating profit margin 6.2%, compared to GAAP operating loss margin 0.4% last year and GAAP operating profit margin 5.5% last quarter Non-GAAP operating margin 15.7%, compared to 15.2% last year and 15.2% last quarter Share repurchases of $25.0 million during the quarter with 1.5 million shares at an average price of $16.66 per share Fiscal Year 2026 Results:

Revenue $1,283.6 million, up 12.6% year-over-year GAAP diluted EPS $0.31, compared to GAAP diluted loss per share $0.06 last year Non-GAAP diluted EPS $1.06, compared to Non-GAAP diluted EPS $0.84 last year GAAP gross margin 61.5%, compared to GAAP gross margin 62.2% last year Non-GAAP gross margin 62.1%, compared to Non-GAAP gross margin 62.9% last year GAAP operating margin 4.9%, compared to GAAP operating margin 1.5% last year Non-GAAP operating margin 14.8%, compared to Non-GAAP operating margin 14.2% last year Liquidity:

Q4 ending cash balance was $211.8 million, an increase of $1.7 million from the end of Q3 2026 and a decrease of $20.0 million from the end of Q4 in the prior year. Q4 net cash was $46.8 million, as compared to net cash of $11.3 million at the end of Q3 2026 and net cash of $51.7 million at the end of Q4 in the prior year. Strengthened financial flexibility with a $500.0 million revolving credit facility entered into on July 29, 2026, which provides additional working capital to fuel growth with improved terms and rate structure. The company subsequently repaid its existing term loan and credit facility. Recent Key Highlights:

At Extreme Connect in May, we demonstrated the pace of innovation that sets Extreme apart, unveiling major new capabilities to nearly 800 customers and partners. We expanded Extreme Platform ONE with capabilities that simplify operations, strengthen security, and make adoption easier, while introducing Agent ONE to move customers from AI-assisted networking to AI-driven and autonomous operations. Extreme expanded its portfolio of Wi-Fi 7 Access Points introducing the AP5060, AP5022, AP3020, and AP3060, all engineered to power seamless connectivity for critical applications including real-time AI workloads, AR/VR experiences, smart manufacturing, telehealth, and high-density venues. The Tennessee Titans selected Extreme to power the new Nissan Stadium with Wi-Fi 7 and the industry’s first Multi-Beam Wireless technology. Enabled by Extreme’s strategic partnership with MatSing, the solution delivers unprecedented coverage and capacity with dramatically less infrastructure, creating a next-generation fan and operational experience. Extreme secured the largest win in Australia in company history as the University of Technology Sydney selected Extreme’s AI-powered wired and wireless networking, managed through Extreme Platform ONE, to build a smarter, more secure, and resilient campus. Extreme worked with Nexon Asia Pacific on the deal and the deployment will simplify operations, strengthen security, support uninterrupted teaching and collaboration, and scale for future growth. A top 10 global retailer headquartered in Europe selected Extreme Platform ONE to bring AI-driven automation to one of the world’s largest retail networks. By leveraging AI to proactively identify issues, automate routine operations, and accelerate troubleshooting, the company can reduce operational complexity, improve network resilience, and free IT teams to focus on higher-value initiatives that enhance the customer and associate experience. The University of Florida will deploy the first-ever Wi-Fi 7 network in a collegiate stadium at Ben Hill Griffin Stadium. Beyond enhancing the fan experience, Extreme Wi‑Fi 7 supports more reliable staff communications, faster point-of-sale transactions, enhanced security through HD video and AI-driven monitoring, and seamless integration of IoT technologies such as smart sensors, digital signage, and automated systems. Elisabeth-TweeSteden Hospital (ETZ), one of the largest hospitals in the Netherlands, expanded its investment in Extreme to power the network behind a major hospital transformation. As ETZ modernizes its campus, Extreme Platform ONE and Extreme Fabric will deliver the resilient, automated connectivity needed to seamlessly transition services while maintaining uninterrupted patient care. Nottingham City Council selected Extreme to replace a major competitor with a unified Fabric, SD-WAN, and cloud-managed networking solution spanning 74 sites. The win highlights the competitive differentiation of Extreme’s end-to-end networking portfolio and reinforces the company’s momentum in the strategic government sector while delivering customers a simpler, more resilient, and easier-to-manage network. Fiscal Q4 2026 and Full Year 2026 Financial Results:

(in millions, except percentages and per share information)

GAAP Results

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

Change

June 30, 2026

June 30, 2025

Change

Product

$

218.5

$

191.9

$

26.6

$

809.6

$

704.5

$

105.1

Subscription and support

120.1

115.1

5.0

474.0

435.6

38.4

Total net revenue

$

338.6

$

307.0

$

31.6

$

1,283.6

$

1,140.1

$

143.5

Gross margin

62.2

%

61.6

%

0.6

%

61.5

%

62.2

%

(0.7

)%

Operating margin

6.2

%

(0.4

)%

6.6

%

4.9

%

1.5

%

3.4

%

Net income (loss)

$

18.0

$

(7.8

)

$

25.8

$

42.1

$

(7.5

)

$

49.6

Net income (loss) per diluted share

$

0.13

$

(0.06

)

$

0.19

$

0.31

$

(0.06

)

$

0.37

Non-GAAP Results

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

Change

June 30, 2026

June 30, 2025

Change

Product

$

218.5

$

191.9

$

26.6

$

809.6

$

704.5

$

105.1

Subscription and support

120.1

115.1

5.0

474.0

435.6

38.4

Total net revenue

$

338.6

$

307.0

$

31.6

$

1,283.6

$

1,140.1

$

143.5

Gross margin

62.7

%

62.3

%

0.4

%

62.1

%

62.9

%

(0.8

)%

Operating margin

15.7

%

15.2

%

0.5

%

14.8

%

14.2

%

0.6

%

Net income

$

43.4

$

33.5

$

9.9

$

143.1

$

112.4

$

30.7

Net income per diluted share

$

0.32

$

0.25

$

0.07

$

1.06

$

0.84

$

0.22

Extreme uses the non-GAAP free cash flow metric as a measure of operating performance. Free cash flow represents GAAP net cash provided by operating activities, less purchases of property, equipment and capitalized software development costs. Extreme considers free cash flow to be useful information for management and investors regarding the amount of cash generated by the business after the purchases of property, equipment and capitalized software development costs, which can then be used to, among other things, invest in Extreme’s business, make strategic acquisitions, and strengthen the balance sheet. A limitation of the utility of this non-GAAP free cash flow metric as a measure of financial performance is that it does not represent the total increase or decrease in the Company’s cash balance for the period. The following table shows the non-GAAP free cash flow calculation (in millions):

Free Cash Flow

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

Cash flow provided by operations

$

72.9

$

81.9

$

123.2

$

152.0

Less: Capital expenditures for property, equipment and capitalized software development costs

(7.6

)

(6.6

)

(27.9

)

(24.7

)

Total free cash flow

$

65.3

$

75.3

$

95.3

$

127.3

SaaS ARR: SaaS ARR is an operating metric used by management to measure the annualized value of customer arrangements for our software solutions, which are delivered via cloud-based subscription (such as Extreme Platform ONE, generally available July 2025 and ExtremeCloud IQ) or term-based software deployed on-premises by the customer. We include term-based license arrangements in SaaS ARR because they provide time-bound access to our software solutions and are operationally and economically similar to our cloud-based subscriptions, even though they are accounted for differently under U.S. GAAP.

SaaS ARR is calculated using the annualized value of quarterly subscription revenue plus the trailing twelve months of the software license portion of term-based license arrangements, which includes revenue recognized during the applicable period with respect to multi-year term-based license arrangements. The Company has not adjusted SaaS ARR to allocate revenue from these multi-year term-based license arrangements over their contractual term because they have historically been immaterial to SaaS ARR and doing so would not be expected to materially affect reported SaaS ARR or related growth rates. For those software solutions that include embedded support as part of a bundled offering, including Extreme Platform ONE and term-based license arrangements, the quarterly revenue recognized in the period with respect to the support portion of the offering is annualized and included in SaaS ARR.

SaaS ARR excludes perpetual licenses, professional services revenue, support revenue associated with hardware or standalone maintenance contracts, and other non-recurring or non-subscription revenue streams. Management evaluates and manages support revenues from maintenance contracts primarily through analysis of the related GAAP revenue trends, renewal activity, and customer support operations, together with broader business performance indicators, rather than through a single standalone metric, in part due to the Company’s go-to-market model in which many customers transact through distributors and resellers, limiting consistent visibility into end-customer usage and renewals.

Management uses SaaS ARR to evaluate the scale and trajectory of the Company’s subscription-based offerings and progress against customer adoption initiatives. We believe this metric is useful to investors for the same reasons, as it provides insight into our ability to acquire new customers and to maintain and expand our existing customer relationships. SaaS ARR should be considered independently of revenue or deferred revenue under U.S. GAAP, does not have a standardized meaning, and is not a substitute for, or a forecast of, revenue.

Gross debt: Gross debt is defined as long-term debt and the current portion of long-term debt as shown on the balance sheet plus unamortized debt issuance costs, if any.

Net cash: is defined as cash and cash equivalents minus gross debt, as shown in the table below (in millions):

June 30, 2026

Cash and cash equivalents

Gross debt

Net cash

$

211.8

$

165.0

$

46.8

Business Outlook:

Extreme’s business outlook is based on current expectations. The following statements are forward-looking, and actual results could differ materially based on various factors, including market conditions and the factors set forth under “Forward-Looking Statements” below.

For its first quarter of fiscal 2027, ending September 30, 2026, the Company is targeting:

(in millions, except percentages and per share information)

Low-End

High-End

FQ1'27 Guidance – GAAP

Total net revenue

$

334.0

$

339.0

Gross margin

61.6

%

62.1

%

Operating margin

1.6

%

2.4

%

Earnings per share

$

0.00

$

0.02

FQ1'27 Guidance – Non-GAAP

Total net revenue

$

334.0

$

339.0

Gross margin

62.2

%

62.7

%

Operating margin

14.7

%

15.3

%

Earnings per share

$

0.27

$

0.29

The following table shows the GAAP to non-GAAP reconciliation for Q1 FY'27 guidance:

FQ1'27

Gross Margin

Operating Margin

Earnings per Share

GAAP

61.6% - 62.1%

1.6% - 2.4%

$0.00 - $0.02

Estimated adjustments for:

Share-based compensation

0.5%

7.4% - 7.5%

0.19

Amortization of intangibles

0.1%

0.1%

0.00

Restructuring and related charges

—

1.5%

0.04

Litigation charges

—

3.4% - 3.5%

0.08

System transition costs

—

0.5%

0.01

Debt refinancing charges

—

—

0.01

Tax adjustment

—

—

(0.06)

Non-GAAP

62.2% - 62.7%

14.7% - 15.3%

$0.27 - $0.29

The total percentage rate changes may not equal the total change in all cases due to rounding.

For the full year fiscal 2027, ending June 30, 2027, the Company is targeting:

(in millions, except percentages and per share information)

Low-End

High-End

FY'27 Guidance – GAAP

Total net revenue

$

1,380.0

$

1,400.0

Gross margin

61.6

%

62.1

%

Operating margin

8.4

%

8.9

%

Earnings per share

$

0.68

$

0.74

FY'27 Guidance – Non-GAAP

Total net revenue

$

1,380.0

$

1,400.0

Gross margin

62.2

%

62.7

%

Operating margin

16.7

%

17.1

%

Earnings per share

$

1.28

$

1.33

The following table shows the GAAP to non-GAAP reconciliation for FY'27 guidance:

FY'27

Gross Margin

Operating Margin

Earnings per Share

GAAP

61.6% - 62.1%

8.4% - 8.9%

$0.68 - $0.74

Estimated adjustments for:

Share-based compensation

0.5%

7.6% - 7.7%

0.79

Amortization of intangibles

0.1%

0.1%

0.01

Restructuring and related charges

—

0.5%

0.05

Litigation benefit, net

—

(0.3)%

(0.03)

System transition costs

—

0.3%

0.03

Debt refinancing charges

—

—

0.01

Tax adjustment

—

—

(0.27) - (0.26)

Non-GAAP

62.2% - 62.7%

16.7% - 17.1%

$1.28 - $1.33

The total percentage rate changes may not equal the total change in all cases due to rounding.

Conference Call:

Extreme will host a conference call at 8:00 a.m. Eastern (5:00 a.m. Pacific) today to review the fourth quarter and full year results of fiscal 2026 as well as the business outlook for the first quarter of fiscal 2027 and the full year fiscal 2027, ending June 30, 2027, including significant factors and assumptions underlying the targets noted above. The conference call will be available to the public through a live audio web broadcast via the internet at http://investor.extremenetworks.com and a replay of the call will be available on the website for at least 7 days following the call. To access the call, please go to this link (Registration Link) and you will be provided with dial-in details. If you would like to participate in the Q&A, please register here: Q&A Registration Link. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the scheduled start time.

About Extreme:

Extreme Networks, Inc. (EXTR) is a leader in AI-powered cloud networking, focused on delivering simple and secure solutions that help businesses address challenges and enable connections among devices, applications, and users. We push the boundaries of technology, leveraging the powers of artificial intelligence, analytics, and automation. Tens of thousands of customers globally trust our AI-driven cloud networking solutions and industry-leading support to enable businesses to drive value, foster innovation, and overcome extreme challenges. For more information, visit Extreme’s website at https://www.extremenetworks.com/ or LinkedIn, YouTube, X (Formerly Twitter), Facebook or Instagram

Extreme Networks, ExtremeCloud, Extreme Platform ONE, and the Extreme Networks logo are trademarks of Extreme Networks, Inc. or its subsidiaries in the United States and/or other countries. Other trademarks shown herein are the property of their respective owners.

Non-GAAP Financial Measures:

Extreme provides all financial information required in accordance with U.S. generally accepted accounting principles (“GAAP”). The Company is providing with this press release non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating margin, non-GAAP operating income, non-GAAP net income, non-GAAP net income per diluted share, adjusted EBITDA (calculated as GAAP net income excluding interest, income taxes, depreciation and amortization as well as costs or benefits that are not reflective of the Company’s ongoing or expected future operational performance as noted below), net cash and free cash flow. In preparing non-GAAP information, the Company has excluded, where applicable, the impact of share-based compensation, amortization of intangibles, restructuring and related charges (benefit), system transition costs, litigation charges, other non-recurring costs, debt refinancing charges and the tax effect of non-GAAP adjustments. The Company believes that excluding these items provides both management and investors with additional insight into its current operations, the trends affecting the Company, the Company’s marketplace performance, and the Company’s ability to generate cash from operations. Please note the Company’s non-GAAP measures may be different than those used by other companies. The additional non-GAAP financial information the Company presents should be considered in conjunction with, and not as a substitute for, the Company’s GAAP financial information.

The Company has provided a non-GAAP reconciliation of the results for the periods presented in this release, which are adjusted to exclude certain items as indicated. These measures should only be used to evaluate the Company’s results of operations in conjunction with the corresponding GAAP measures for comparable financial information and understanding of the Company’s ongoing performance as a business. Extreme uses both GAAP and non-GAAP measures to evaluate and manage its operations.

Forward-Looking Statements:

This press release contains ‘forward-looking statements’ within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements regarding our outlook, targets, and guidance; our expectations regarding demand, product adoption, competitive dynamics, revenues, margins, cash flow and other operating or financial results; and our plans, objectives and assumptions. These forward-looking statements speak only as of the date of this release. There are several important factors that could cause actual results and other future events to differ materially from those suggested or indicated by such forward-looking statements. These include, among others, risks related to global macroeconomic, industry and business trends; variability in demand, sales cycles and pipeline conversion; the Company’s failure to achieve targeted financial metrics; a highly competitive business environment for network switching equipment and cloud management of network devices; supply chain challenges and component shortages; the Company’s effectiveness in controlling expenses; the possibility that the Company might experience delays in the development or introduction of new technology and products; customer response to the Company’s new technology and products; risks related to pending or future litigation; political and geopolitical factors, including the possible impact of tariffs and changes to U.S. tax regulations; and a dependency on third parties for certain components and for the manufacturing of the Company’s products.

For more information about factors that could cause actual results and other future events to differ materially from those suggested or indicated by such forward-looking statements, see “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Risk Factors” included in the Company’s Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and other documents of the Company on file with the Securities and Exchange Commission (available at www.sec.gov). As a result of these risks and others, actual results could vary significantly from those anticipated in this press release, and the Company’s financial condition and results of operations could be materially adversely affected. Except as required under the U.S. federal securities laws and the rules and regulations of the Securities and Exchange Commission, Extreme disclaims any obligation to update any forward-looking statements after the date of this release, whether as a result of new information, future events, developments, changes in assumptions or otherwise.

EXTREME NETWORKS, INC.

CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except per share amounts)

(Unaudited)

June 30, 2026

June 30, 2025

ASSETS

Current assets:

Cash and cash equivalents

$

211,758

$

231,745

Accounts receivable, net

164,593

126,708

Inventories

69,950

102,578

Prepaid expenses and other current assets

103,495

74,265

Total current assets

549,796

535,296

Property and equipment, net

58,095

44,366

Operating lease right-of-use assets, net

25,700

38,655

Goodwill

397,769

399,574

Intangible assets, net

3,066

6,541

Other assets

143,395

128,786

Total assets

$

1,177,821

$

1,153,218

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current liabilities:

Accounts payable

$

89,389

$

63,939

Accrued compensation and benefits

69,827

62,895

Accrued warranty

10,953

9,684

Current portion of deferred revenue

329,713

325,078

Current portion of long-term debt, net of unamortized debt issuance costs of $659 and $729, respectively

19,341

14,271

Current portion of operating lease liabilities

11,341

11,456

Other accrued liabilities

62,109

100,552

Total current liabilities

592,673

587,875

Deferred revenue, less current portion

323,077

292,415

Long-term debt, less current portion, net of unamortized debt issuance costs of $618 and $1,276, respectively

144,382

163,724

Operating lease liabilities, less current portion

19,502

33,991

Deferred income taxes

7,404

7,033

Other long-term liabilities

2,193

2,596

Commitments and contingencies

Stockholders’ equity:

Convertible preferred stock, $0.001 par value, issuable in series, 2,000 shares authorized; none issued

—

—

Common stock, $0.001 par value, 750,000 shares authorized; 157,203 and 152,673 shares issued, respectively; 131,216 and 132,064 shares outstanding, respectively

157

153

Additional paid-in capital

1,373,689

1,298,791

Accumulated other comprehensive loss

(16,011

)

(8,137

)

Accumulated deficit

(907,310

)

(949,429

)

Treasury stock at cost, 25,987 shares and 20,609 shares, respectively

(361,935

)

(275,794

)

Total stockholders’ equity

88,590

65,584

Total liabilities and stockholders’ equity

$

1,177,821

$

1,153,218

EXTREME NETWORKS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(In thousands, except per share amounts)

(Unaudited)

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

Net revenues:

Product

$

218,473

$

191,857

$

809,624

$

704,462

Subscription and support

120,076

115,146

473,969

435,605

Total net revenues

338,549

307,003

1,283,593

1,140,067

Cost of revenues:

Product

92,316

82,766

351,650

300,831

Subscription and support

35,745

35,149

142,802

130,109

Total cost of revenues

128,061

117,915

494,452

430,940

Gross profit:

Product

126,157

109,091

457,974

403,631

Subscription and support

84,331

79,997

331,167

305,496

Total gross profit

210,488

189,088

789,141

709,127

Operating expenses:

Research and development

59,419

56,469

233,878

221,459

Sales and marketing

97,010

86,440

364,305

327,563

General and administrative

31,857

47,419

125,277

139,621

Restructuring and related charges (benefit)

727

(379

)

1,265

1,492

Amortization of intangible assets

407

515

1,721

2,043

Total operating expenses

189,420

190,464

726,446

692,178

Operating income (loss)

21,068

(1,376

)

62,695

16,949

Interest income

841

1,656

4,153

4,313

Interest expense

(3,518

)

(3,530

)

(13,780

)

(15,928

)

Other expense, net

(484

)

(616

)

(1,594

)

(1,061

)

Income (loss) before income taxes

17,907

(3,866

)

51,474

4,273

Provision for (benefit from) income taxes

(135

)

3,937

9,355

11,740

Net income (loss)

$

18,042

$

(7,803

)

$

42,119

$

(7,467

)

Basic and diluted income (loss) per share:

Net income (loss) per share – basic

$

0.14

$

(0.06

)

$

0.32

$

(0.06

)

Net income (loss) per share – diluted

$

0.13

$

(0.06

)

$

0.31

$

(0.06

)

Shares used in per share calculation – basic

131,179

132,808

132,752

132,331

Shares used in per share calculation – diluted

133,672

132,808

134,970

132,331

EXTREME NETWORKS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)

(Unaudited)

Year Ended

June 30, 2026

June 30, 2025

Cash flows from operating activities:

Net income (loss)

$

42,119

$

(7,467

)

Adjustments to reconcile net income (loss) to net cash provided by operating activities:

Depreciation

15,809

14,704

Amortization of intangible assets

3,390

4,514

Amortization of cloud computing implementation costs

5,212

—

Reduction in carrying amount of right-of-use asset

10,325

9,887

Provision for credit losses

565

157

Share-based compensation

88,261

82,314

Deferred income taxes

(2,074

)

(820

)

Provision for excess and obsolete inventory

4,160

2,618

Non-cash interest expense

1,206

1,214

Other

2,659

3,532

Changes in operating assets and liabilities:

Accounts receivable, net

(38,450

)

(37,347

)

Inventories

24,313

27,181

Prepaid expenses and other assets

(53,648

)

(23,118

)

Accounts payable

24,607

12,709

Accrued compensation and benefits

3,962

18,685

Operating lease liabilities

(11,929

)

(11,056

)

Deferred revenue

40,094

37,722

Other current and long-term liabilities

(37,399

)

16,602

Net cash provided by operating activities

123,182

152,031

Cash flows from investing activities:

Capital expenditures for property, equipment and capitalized software development costs

(27,941

)

(24,713

)

Net cash used in investing activities

(27,941

)

(24,713

)

Cash flows from financing activities:

Borrowings under revolving facility

55,000

—

Payments on revolving facility

(55,000

)

—

Payments on debt obligations

(15,000

)

(10,000

)

Payments on debt financing costs

—

(695

)

Repurchase of common stock including accelerated share repurchases

(87,000

)

(37,993

)

Payments for tax withholdings, net of proceeds from issuance of common stock

(12,500

)

(3,898

)

Net cash used in financing activities

(114,500

)

(52,586

)

Foreign currency effect on cash and cash equivalents

(728

)

314

Net increase (decrease) in cash and cash equivalents

(19,987

)

75,046

Cash and cash equivalents at beginning of period

231,745

156,699

Cash and cash equivalents at end of period

$

211,758

$

231,745

Extreme Networks, Inc.

Non-GAAP Measures of Financial Performance

To supplement the Company’s consolidated financial statements presented in accordance with U.S. generally accepted accounting principles (“GAAP”), Extreme uses non-GAAP measures of certain components of financial performance. These non-GAAP measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating margin, non-GAAP operating income, non-GAAP net income, non-GAAP net income per diluted share, adjusted EBITDA (calculated as GAAP net income excluding interest, income taxes, depreciation and amortization as well as costs or benefits that are not reflective of the Company’s ongoing or expected future operational performance as noted below), net cash and free cash flow.

Reconciliation to the nearest GAAP measure of all historical non-GAAP measures included in this press release can be found in the tables included with this press release.

Non-GAAP measures presented in this press release are not in accordance with or alternative measures prepared in accordance with GAAP and may be different from non-GAAP measures used by other companies. In addition, these non-GAAP measures are not based on any comprehensive set of accounting rules or principles. Non-GAAP measures have limitations in that they do not reflect all of the amounts associated with Extreme’s results of operations as determined in accordance with GAAP. These non-GAAP measures should only be used to evaluate Extreme’s results of operations in conjunction with the corresponding GAAP measures.

Extreme believes these non-GAAP measures, when shown in conjunction with the corresponding GAAP measures, enhance investors’ and management’s overall understanding of the Company’s current financial performance and the Company’s prospects for the future, including cash flows available to pursue opportunities to enhance stockholder value. In addition, because Extreme has historically reported certain non-GAAP results to investors, the Company believes the inclusion of non-GAAP measures provides consistency in the Company’s financial reporting.

For its internal planning process, and as discussed further below, Extreme’s management uses financial statements that do not include share-based compensation expense, amortization of intangibles, restructuring and related charges (benefit), system transition costs, litigation charges, other non-recurring costs, debt refinancing charges, and the tax effect of non-GAAP adjustments. Extreme’s management also uses non-GAAP measures, in addition to the corresponding GAAP measures, in reviewing the Company’s financial results.

As described above, Extreme excludes the following items from one or more of its non-GAAP measures when applicable.

Share-based compensation. Share-based compensation consists of associated expenses for stock options, restricted stock awards and the Company’s Employee Stock Purchase Plan. Extreme excludes share-based compensation expenses from its non-GAAP measures primarily because they are non-cash expenses that the Company does not believe are reflective of ongoing cash requirement related to its operating results. Extreme expects to incur share-based compensation expenses in future periods.

Amortization of intangibles. Amortization of intangibles includes the monthly amortization expense of intangible assets such as developed technology, customer relationships and trademarks. The amortization of the developed technology is recorded in cost of goods sold, while the amortization for the other intangibles is recorded in operating expenses. Extreme excludes these expenses since they result from an intangible asset and for which the period expense does not impact the operations of the business and are non-cash in nature.

Restructuring and related charges (benefit). Restructuring and related charges (benefit) consist of severance costs for employees, asset disposal costs and other charges related to excess facilities that do not provide economic benefit to our future operations. Extreme excludes restructuring expenses since they result from events that occur outside of the ordinary course of continuing operations.

System transition costs. System transition costs consist of costs related to direct and incremental costs incurred in connection with our multi-phase transition of enterprise-wide business systems (e.g., our customer relationship management solution, our configure, price, quote solution, and our enterprise resource planning and human capital management solutions) that were not capitalizable. Extreme excludes these costs because we believe that these costs do not reflect future operating expenses and will be inconsistent in amount and frequency, making it difficult to contribute to a meaningful evaluation of our operating performance.

Litigation charges. Litigation charges consist of estimated settlement and related legal expenses for non-recurring litigations offset by any proceeds received or expected to be received from insurance.

Debt refinancing charges. Debt refinancing charges consist of costs that were not capitalizable and are included in other expense, net, incurred in connection with amendments to, refinancings of, or terminations of the Company’s current and prior credit facilities. Extreme excludes these amounts because they are incurred in connection with discrete financing transactions rather than the ongoing operation of the Company’s business.

Other non-recurring costs. Other non-recurring costs consist of certain external advisory and professional fees incurred for various non-recurring transactions and activities that occur outside of the normal course of business. Extreme excludes these costs because we believe that these costs do not reflect future operating expenses and will be inconsistent in amount and frequency, making it difficult to contribute to a meaningful evaluation of our operating performance.

Tax effect of non-GAAP adjustments. We calculate our non-GAAP provision for income taxes in accordance with the SEC guidance on non-GAAP Financial Measures Compliance and Disclosure Interpretation. We have assumed our U.S. federal and state net operating losses would have been fully consumed by the historical non-GAAP financial adjustments, eliminating the need for a full valuation allowance against our U.S. deferred tax assets which, consequently, enables our use of research and development tax credits. The non-GAAP tax provision consists of current and deferred income tax expense commensurate with the non-GAAP measure of profitability using our blended U.S. statutory tax rate of 24.6%.

The non-GAAP provision for income taxes has typically been and is currently higher than the GAAP provision given the Company has a valuation allowance against its US deferred tax assets due to historical losses. Once this valuation allowance is released, the non-GAAP and the GAAP provision for income taxes will be more closely aligned.

Over the next year, our cash taxes will be driven by US federal and state income taxes and the tax expense of our foreign subsidiaries, which amounts have not historically been significant, with the exception of the Company’s Canadian, German and Indian subsidiaries which perform research and development and sales and marketing activities for the Company, as well as the Company’s Irish trading subsidiaries.

EXTREME NETWORKS, INC.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

GAAP TO NON-GAAP RECONCILIATION

(In thousands, except percentages and per share amounts)

(Unaudited)

Revenues

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

Revenues – GAAP

$

338,549

$

307,003

$

1,283,593

$

1,140,067

  Non-GAAP Gross Margin

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

Gross profit – GAAP

$

210,488

$

189,088

$

789,141

$

709,127

Gross margin – GAAP percentage

62.2

%

61.6

%

61.5

%

62.2

%

Adjustments:

Share-based compensation expense, Product

722

700

3,025

2,661

Share-based compensation expense, Subscription and support

691

719

2,900

2,912

Amortization of intangibles, Product

334

625

1,598

2,400

Total adjustments to GAAP gross profit

$

1,747

$

2,044

$

7,523

$

7,973

Gross profit – non-GAAP

$

212,235

$

191,132

$

796,664

$

717,100

Gross margin – non-GAAP percentage

62.7

%

62.3

%

62.1

%

62.9

%

Non-GAAP Operating Margin

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

GAAP operating income (loss)

$

21,068

$

(1,376

)

$

62,695

$

16,949

GAAP operating margin

6.2

%

(0.4

)%

4.9

%

1.5

%

Adjustments:

Share-based compensation expense, cost of revenues

1,413

1,419

5,925

5,573

Share-based compensation expense, R&D

4,112

4,296

17,465

17,154

Share-based compensation expense, S&M

7,966

6,952

31,052

28,393

Share-based compensation expense, G&A

8,323

8,074

33,819

31,194

Restructuring and related charges (benefit)

727

(379

)

1,265

1,492

Litigation charges

5,715

22,006

8,849

34,722

System transition costs

3,432

4,631

22,380

21,550

Amortization of intangibles

741

1,140

3,319

4,443

Other non-recurring costs (benefit)

(231

)

—

3,648

—

Total adjustments to GAAP operating income

$

32,198

$

48,139

$

127,722

$

144,521

Non-GAAP operating income

$

53,266

$

46,763

$

190,417

$

161,470

Non-GAAP operating margin

15.7

%

15.2

%

14.8

%

14.2

%

Non-GAAP Net Income

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

GAAP net income (loss)

$

18,042

$

(7,803

)

$

42,119

$

(7,467

)

Adjustments:

Share-based compensation expense

21,814

20,741

88,261

82,314

Restructuring and related charges (benefit)

727

(379

)

1,265

1,492

Litigation charges

5,715

22,006

8,849

34,722

System transition costs

3,432

4,631

22,380

21,550

Amortization of intangibles

741

1,140

3,319

4,443

Other non-recurring costs (benefit)

(231

)

—

3,648

—

Debt refinancing charges

—

—

—

79

Tax effect of non-GAAP adjustments

(6,832

)

(6,843

)

(26,719

)

(24,709

)

Total non-GAAP adjustments to GAAP net income

$

25,366

$

41,296

$

101,003

$

119,891

Non-GAAP net income

$

43,408

$

33,493

$

143,122

$

112,424

Earnings per share

GAAP net income (loss) per share – diluted

$

0.13

$

(0.06

)

$

0.31

$

(0.06

)

Non-GAAP net income per share – diluted

$

0.32

$

0.25

$

1.06

$

0.84

Shares used in net income (loss) per share – diluted:

Shares used in per share calculation – basic

131,179

132,808

132,752

132,331

Potentially dilutive equity awards

2,493

1,492

2,218

1,676

Shares used in per share calculation – diluted

133,672

134,300

134,970

134,007

Adjusted EBITDA

Three Months Ended

Year Ended

June 30, 2026

June 30, 2025

June 30, 2026

June 30, 2025

GAAP net income (loss)

$

18,042

$

(7,803

)

$

42,119

$

(7,467

)

Adjustments:

Depreciation expense

4,024

3,443

15,624

14,704

Amortization expense

3,123

1,158

8,602

4,514

Share-based compensation expense

21,814

20,741

88,261

82,314

Restructuring and related charges (benefit)

727

(379

)

1,265

1,492

Litigation charges

5,715

22,006

8,849

34,722

System transition costs

3,432

4,631

22,380

21,550

Other non-recurring costs (benefit)

(231

)

—

3,648

—

Debt refinancing charges

—

—

—

79

Interest income

(841

)

(1,656

)

(4,153

)

(4,313

)

Interest expense

3,518

3,530

13,780

15,928

Provision for (benefit from) income taxes

(135

)

3,937

9,355

11,740

Total adjustments to GAAP net income

41,146

57,411

167,611

182,730

Adjusted EBITDA

$

59,188

$

49,608

$

209,730

$

175,263

More News From Extreme Networks, Inc.

MORRISVILLE, N.C.--(BUSINESS WIRE)--Extreme plans to release financial results for its fourth fiscal quarter and fiscal year 2026, ended June 30, 2026, before market open on August 5.

Did Extreme Networks, Inc. Insiders Breach their Fiduciary Duties to Shareholders? PR Newswire NEW YORK, July 3,

MORRISVILLE, N.C.--(BUSINESS WIRE)--Extreme today expanded its wireless portfolio with the addition of Extreme Multi-Beam Wireless, the industry's first multi-beam Wi-Fi solution.

Key Takeaways AEIS is set to report Q1 2026 results in May with revenue seen around $500M and strong YoY growth. AEIS is benefiting from semiconductor and AI-driven data center demand, boosting shares sharply YTD. AEIS faces supply chain constraints and tariff-driven cost pressures that may weigh on margins. Advanced Energy Industries (AEIS - Free Report) is scheduled to release first-quarter 2026 results on May 4.

For the first quarter of 2026, Advanced Energy expects revenues of $500 million (+/- $20 million). The company expects non-GAAP earnings of $1.94 per share (+/- 25 cents).

The Zacks Consensus Estimate for first-quarter revenues is currently pegged at $508.20 million, indicating growth of 25.61% from the figure reported in the year-ago quarter. The consensus mark for earnings is currently pegged at $1.96 per share, unchanged over the past 30 days. The figure indicates a 59.35% increase from the year-ago quarter’s reported figure.

Advanced Energy beat the Zacks Consensus Estimate for earnings in the trailing four quarters, delivering an average surprise of 15.86%.

Let us see how things have shaped up for the upcoming announcement.

Factors Likely to Have Influenced AEIS’s Q1 PerformanceAEIS shares have surged 85% in the year-to-date period, driven by higher demand for its solutions in the semiconductor and data center computing markets. In the latter end-market, the company has been benefiting from strong AI-driven demand from hyperscalers, a trend expected to have continued in the to-be-reported quarter.

AEIS expects sequential revenue growth primarily from the semiconductor segment in the first quarter of 2026. Customer forecasts have improved, and new product revenue is anticipated to increase throughout the year, underpinned by investments in advanced logic and memory capacity. The company has achieved significant design wins, especially with its eVerest, eVoS, and NavX technologies, which are solving critical customer challenges at advanced nodes (sub-2nm).

The company projects first-quarter 2026 data center computing revenues to be similar to the fourth quarter of 2025, with expectations for revenue to strengthen through the year as new programs ramp up. An expanded capacity driven by facilities in the Philippines and Mexico has been helping the company keep up with strong demand in the data center computing end market.

The Industrial and Medical segment is expected to be flattish in the to-be-reported due to typical seasonality, but the outlook remains positive for continued growth over the next several quarters.

However, AEIS is expected to have suffered from ongoing supply chain constraints, especially in processors and memory, which could limit growth, as well as potential margin pressure from tariffs and higher operating expenses.

What Our Model SaysAccording to the Zacks model, the combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here.

AEIS currently has an Earnings ESP of 0.00% and a Zacks Rank #2. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Stocks to ConsiderHere are some companies worth considering, as our model shows that these have the right combination of elements to beat on earnings in their upcoming releases:

Sandisk (SNDK - Free Report) has an Earnings ESP of +4.96% and a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. Sandisk is set to report third-quarter fiscal 2026 results on April 30. Sandisk shares have increased 317.1% in the year-to-date period.

Audioeye (AEYE - Free Report) has an Earnings ESP of +9.62% and a Zacks Rank #2 at present. Audioeye is likely to report its first-quarter 2026 results on May 13. Audioeye shares have decreased 27.4% in the year-to-date period.

Extreme Networks (EXTR - Free Report) has an Earnings ESP of +1.41% and a Zacks Rank #2. Extreme Networks is set to report its third-quarter 2026 results on April 29. Extreme Networks' shares have increased 5.7% in the year-to-date period.

KLAC Q3 earnings are likely to gain on the back of AI-driven demand and strong process control momentum amid export controls and tariffs.

Extreme Networks (EXTR) came out with quarterly earnings of $0.26 per share, beating the Zacks Consensus Estimate of $0.24 per share. This compares to earnings of $0.21 per share a year ago.

Extreme Networks delivered a double beat in Q3 '26, with revenues up 11.2% to $316.9M and EPS of $0.26. SaaS ARR accelerated to 29% y/y, with Extreme Platform One adoption driving recurring revenues to 36% of total; EMEA revenue surged 43%. Gross margins remained stable at 61.7% GAAP, while operating margins improved; the Wi-Fi 7 refresh cycle and Platform One adoption are key forward growth drivers.

-

NEW YORK CITY & NEW ORLEANS--(BUSINESS WIRE)--Former Attorney General of Louisiana, Charles C. Foti, Jr., Esq., a partner at the law firm of Kahn Swick & Foti, LLC (“KSF”), announces that KSF continues its investigation into Extreme Networks, Inc. (NasdaqGS: EXTR).

On January 31, 2024, the Company disclosed disappointing financial results and operational trends for 2Q24 including, among other things, that its revenues for the quarter were $296.4 million, down 7% year-over-year, and that it generated just $186.6 million in product revenue, a decline of 37% year-over-year.

Thereafter, the Company and certain of its executives were sued in a securities class action lawsuit, charging them with failing to disclose material information during the Class Period in violation of federal securities laws. Specifically, the case alleges that Defendants made false and misleading statements about Extreme’s product revenue and backlog between July 27, 2022 and January 30, 2024. Recently, the Court presiding over the case denied the Company’s motion to dismiss the case, allowing the case to move forward.

KSF’s investigation is focusing on whether Extreme’s officers and/or directors breached their fiduciary duties to its shareholders or otherwise violated state or federal laws.

If you have information that would assist KSF in its investigation, or have been a long-term holder of Extreme shares and would like to discuss your legal rights, you may, without obligation or cost to you, call toll-free at 1-833-938-0905 or email KSF Managing Partner Lewis Kahn ([email protected]), or visit https://www.ksfcounsel.com/cases/nasdaqgs-extr/ to learn more.

About Kahn Swick & Foti, LLC

KSF, whose partners include former Louisiana Attorney General Charles C. Foti, Jr., is one of the nation's premier boutique securities litigation law firms. This past year, KSF was ranked by SCAS among the top 10 firms nationally based upon total settlement value. KSF serves a variety of clients, including public and private institutional investors, and retail investors - in seeking recoveries for investment losses emanating from corporate fraud or malfeasance by publicly traded companies. KSF has offices in New York, Delaware, California, Louisiana, Chicago, New Jersey, and a representative office in Luxembourg.

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New Wi-Fi 7 APs provide reliable, high-speed connectivity, from packed indoor venues to extreme outdoor environments

MORRISVILLE, N.C.--(BUSINESS WIRE)--Extreme Networks, Inc. (Nasdaq: EXTR), a leader in AI-powered automation for networking, has introduced several new Wi-Fi 7 solutions to deliver fast, secure connectivity for critical use cases including real-time AI workloads, AR/VR experiences, smart manufacturing, telehealth, and high-density venues. Organizations worldwide including Baylor University, Henry Ford Health, Six Flags, University Hospitals Birmingham NHS Foundation Trust, and multiple NFL teams already rely on Extreme’s Wi-Fi 7 solutions to power high-density connectivity, real-time applications, and next-generation digital experiences.

Extreme offers the industry’s most complete, deployment-ready Wi-Fi 7 portfolio, delivering Access Points (APs) that combine optimized performance with practical efficiency and support everything from demanding environments like hospitals and stadiums to cost-effective deployments in schools, retail, and hospitality. Easily managed through Extreme Platform ONE™, they deliver secure, reliable connectivity without the power tradeoffs common in competing solutions. Support for both low and standard power 6 GHz enables customers to benefit from Wi-Fi 7 performance gains without switch or power upgrades, delivering built-in compliance for global regulations.

The AP5060 series outdoor and AP5022 series indoor APs deliver premium performance with three 4x4 radios, a dedicated tri-band security sensor, and integrated IoT radios to support growing device demands. The AP5060 is engineered for harsh environments, combining a ruggedized design with the durability and resilience needed to deliver reliable, long-term connectivity in demanding settings such as hospitals, industrial facilities, and stadiums. Both series support flexible tri-band operation on standard PoE+ (802.3at), allowing customers to deploy broadly while choosing the right balance of radio performance, scanning, and functionality for each environment. The AP3020 series indoor and AP3060 weatherized outdoor series deliver full-feature Wi-Fi 7 at a competitive cost, with 2x2 radio designs optimized for space and power-constrained environments like schools, retail, and hospitality. The AP3020W features a low-profile wall plate design that balances aesthetics and functionality, making it a natural fit for hospitality, education, and multi-dwelling environments. The AP3020X includes support for external antennas, enabling more flexible designs for environments that benefit from directional Wi-Fi like high-density venues. The AP3060 is IP67-rated and offers a compact design with an extended temperature range, built to withstand harsh conditions from high winds to sub-zero temperatures. “Wi-Fi 7 adoption is accelerating as organizations scale IoT and real-time AI workloads. Extreme’s cloud-managed Wi-Fi 7 solutions combine high-performance hardware with intelligent management to simplify operations and keep networks ready for what’s next,” said Siân Morgan, Research Director at Dell’Oro Group.

“Our customers need reliable, high-speed Wi-Fi more than ever, especially as mobility, real-time applications, and device density continue to increase and we move further into the era of 6 GHz connectivity,” said David Coleman, Director of Wireless in the Office of the CTO at Extreme Networks. “These Wi-Fi 7 solutions will help customers meet those demands with stronger performance for modern AI-driven environments, improved power efficiency, and simpler deployment and operations at scale.”

About Extreme Networks

Extreme Networks, Inc. (EXTR) is a leader in AI-powered cloud networking, focused on delivering simple and secure solutions that help businesses address challenges and enable connections among devices, applications, and users. We push the boundaries of technology, leveraging the powers of artificial intelligence, analytics, and automation. Tens of thousands of customers globally trust our AI-driven cloud networking solutions and industry-leading support to enable businesses to drive value, foster innovation, and overcome extreme challenges.

For more information, visit Extreme's website at www.extremenetworks.com or follow us on LinkedIn, YouTube, X, Facebook, or Instagram.

Extreme Networks, Extreme Platform ONE, and the Extreme Networks logo are trademarks or registered trademarks of Extreme Networks, Inc. in the United States, and other countries. Other trademarks shown herein are the property of their respective owners.

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Shareholders are urged to contact the firm immediately at no cost or obligation, as there may be limited time to enforce your rights. 

We would handle the matter on a contingent fee basis, whereby you would not be responsible for out-of-pocket payment of our legal fees or expenses.

, /PRNewswire/ -- Halper Sadeh LLC, an investor rights law firm, is investigating whether certain officers and directors of Extreme Networks, Inc. (NASDAQ: EXTR) breached their fiduciary duties to shareholders.

If you currently own Extreme Networks stock and are a long-term shareholder, you may be able to seek corporate governance reforms, the return of funds back to the company, a court-approved financial incentive award, or other relief and benefits. Please click here to learn more about your legal rights and options or contact Daniel Sadeh or Zachary Halper at (212) 763-0060 or [email protected] or [email protected].

Why Your Participation Matters:

Shareholder involvement can help improve a company's policies, practices, and oversight mechanisms to create a more transparent, accountable, and effectively managed organization, which can enhance shareholder value.

Halper Sadeh LLC represents investors all over the world who have fallen victim to securities fraud and corporate misconduct. Our attorneys have been instrumental in implementing corporate reforms and recovering millions of dollars on behalf of defrauded investors.

Attorney Advertising. Prior results do not guarantee a similar outcome.

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CSCO, EXTR and LTRX ride on multiple tailwinds amid macro headwinds and margin pressures.

Ciena Stock: Powering the AI Boom - A Network Infrastructure PlayExtreme Networks NASDAQ: EXTR is positioning its AI-driven networking platform as a central part of its push into larger enterprise and government accounts, Chief Executive Officer Ed Meyercord said during a JPMorgan fireside chat hosted by analyst Samik Chatterjee.

Meyercord said the company recently used a user conference in Orlando to announce its second-generation AI platform, following the initial Platform ONE launch in July. The update includes Agent ONE, which he described as an “agentic” platform that can function as a coworker for IT networking teams by handling tasks such as troubleshooting and firmware upgrades under customer control.

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Arista Networks Advances the Era of AI and Microperimeters The company also announced an operator mode, or agent exchange, which Meyercord said would allow customers and partners to build workflows and tools alongside Extreme. He pointed to Kroger, Korean Air and other customers as examples of enterprises that want to integrate their own development work with Extreme’s network platform.

“The big part of the evolution for Extreme” is moving beyond a license tied to a networking device and toward a platform where the company co-develops with customers and partners, Meyercord said. Agent ONE is expected to be released in July, while the exchange capability is expected to reach general availability in the October timeframe, he said.

AI Seen as a Driver of Enterprise Network Investment Extreme Networks Snags an Upgrade on Inventory NormalizationMeyercord said customer conversations around AI have changed significantly over the past year. At the company’s user conference a year ago, he said customers were skeptical about whether AI would affect networking. This year, he said the discussion shifted toward how quickly AI use cases could be deployed and where customers are in their adoption journeys.

Asked about network refresh activity tied to AI, Meyercord said the industry is benefiting from broader refresh cycles, including Cisco’s announced multiyear network refresh as its Catalyst platform reaches end of life. He said that dynamic gives Extreme more opportunities to compete as customers evaluate alternatives.

He also said agent traffic is expected to develop on enterprise networks, while frontier and reasoning models remain in hyperscale cloud environments. However, he cautioned that it remains difficult to quantify the impact.

“We all know it’s coming,” Meyercord said, adding that enterprise customers are actively exploring AI and agentic AI use cases but do not yet have a full understanding of what that will mean for network traffic.

Large Customer Wins Support Growth Outlook Chatterjee asked about the company’s stated target of a 10% revenue compound annual growth rate through fiscal 2029. Meyercord said Extreme’s confidence is tied to its move upmarket and the types of customers it is winning.

He cited the government of Japan as a major example, calling it the company’s largest project to date in Asia-Pacific. Meyercord said the project began at about $40 million and could be closer to $80 million in network investment when complete. He said Extreme won after entering the process as a fourth participant, citing its campus fabric technology, use of fabric across the wide area network, private cloud capabilities and network segmentation features.

Meyercord also said the win has helped Extreme develop relationships with larger ecosystem partners in Japan, including NTT East, KDDI and Net One Systems. He described those channel relationships as important because partners deploy the technology and bring additional opportunities.

Other large customers discussed included Kroger and Korean Air. Meyercord said Korean Air’s network transformation project is expected to last nine years, underscoring the long-term nature of some networking deployments.

Memory Supply Positioned as Potential Advantage Meyercord said Extreme has addressed memory supply risks through calendar 2027 and could benefit if competitors face longer lead times. He said the company reorganized its supply relationships, including working with Micron through Avnet, qualifying Samsung chips for its platforms with help from Broadcom, and sourcing chips originally intended for other industrial segments such as automotive.

He said Broadcom treated Extreme as a strategic partner during the shortage and helped the company identify additional vendors and qualify alternative components. While Meyercord said the company has not included a competitive supply benefit in its forecasts, he said stretched lead times elsewhere could create opportunities for Extreme on time-sensitive projects.

Wi-Fi 7 Adoption and Recurring Revenue Meyercord said Wi-Fi 7 now accounts for roughly half of Extreme’s wireless booking dollars. He said he does not necessarily view Wi-Fi 7 alone as a trigger for faster network refreshes, but said the technology is important because customers increasingly view it as capable of supporting mission-critical applications.

He noted that Extreme introduced Wi-Fi 7 at the end of December 2023 and said the University of Florida’s football stadium, The Swamp, will be the first college stadium with Wi-Fi 7.

On recurring revenue, Meyercord said recurring revenue recently represented 36% of total revenue, while subscription revenue tied to Platform ONE adoption rose 29% year over year. He said the company is combining services and subscriptions in Platform ONE, which should become more visible in fiscal 2027 and especially fiscal 2028.

Meyercord said recurring revenue should rise above 40% over the next few years, driven by Platform ONE subscription growth. He also said service revenue combined with subscription revenue can produce a 10% to 15% uplift.

Extreme has several thousand customers on Platform ONE, Meyercord said. He said the platform combines nine systems into one and should soon be able to support about 80% of customers’ needs. By the end of next year, he said the company expects roughly 70% of customers to be fully on Platform ONE.

Execution Focus Remains on Larger Channels Asked about execution risks over the next three to five years, Meyercord said Extreme’s main challenge is gaining more attention as it moves upmarket through larger channel partners. He cited Cisco as a strong competitor with established channel relationships, strong marketing and significant capital.

For Extreme, Meyercord said the focus is on building brand recognition, securing more competitive opportunities and expanding with larger channel partners.

About Extreme Networks NASDAQ: EXTRExtreme Networks, Inc NASDAQ: EXTR is a global provider of end-to-end networking solutions designed to support enterprise, data center, and service provider environments. The company's product portfolio encompasses high-performance wired and wireless access switches, routers, network security appliances, and software-defined networking (SDN) tools. Driven by a cloud-native management architecture, Extreme's Intelligent Edge Platform integrates network analytics, automation and orchestration capabilities to help organizations optimize performance, reduce operational complexity and strengthen security.

Since its founding in the mid-1990s and subsequent public listing in 1999, Extreme Networks has expanded its technology footprint through targeted acquisitions.

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Extreme Networks, Inc. (EXTR) Presents at Bank of America 2026 Global Technology Conference Transcript