Filing Flows › Arista Networks (ANET) › Q1 2025
Arista Networks (ANET) Q1 2025 earnings results (first quarter 2025)
10-Q filed May 7, 2025
Arista Networks (ANET) reported revenue of $2.0B for the first quarter 2025 (Q1 2025), +28% from a year earlier and +4% from the quarter before. Operating margin was 42.8%, net earnings $814M (40.6% of revenue).
Arista Networks, Q1 2025: revenue $2.0B (+28% year over year), operating margin 42.8%, net earnings $814M, operating cash flow $642M. The chart follows the revenue to costs, profit and cash.
| Q1 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $2.0B | +4% | +28% |
| Gross profit | $1.3B | +4% | +27% |
| Operating profit | $859M | +7% | +30% |
| Net earnings | $814M | +2% | +28% |
| Operating cash flow | $642M | -38% | +25% |
| Free cash flow | $613M | -40% | +22% |
What changed
Revenue was $2.0B in Q1 2025, up 28% year over year and up 4% from the previous quarter. Product was the largest line at 84% of revenue. Product added $0.36B year over year (up 27%), 84% of the total change.
Gross margin was 63.7%, down 0.1 points from a year earlier. Operating profit was $0.86B, a 42.8% margin (up 0.8 points year over year). Of the extra revenue versus a year earlier, 46% reached operating profit, above the 42% margin then. Operating expenses grew 22% against revenue growth of 28%. The fastest-growing cost line was Research & development (+28%). Net earnings were $0.81B, up 28% year over year. The effective tax rate was 14.8%.
Operating cash flow was $0.64B (up 25% year over year), 79% of net earnings. Non-cash charges added back $0.01B of depreciation and amortization and $0.09B of share-based compensation. Working capital and other items used $0.28B. Capital expenditures of $0.03B left free cash flow of $0.61B.
Questions
What was Arista Networks' revenue in the first quarter 2025?
Arista Networks (ANET) reported revenue of $2.0B for the first quarter 2025 (Q1 2025), +28% from a year earlier and +4% from the quarter before.
Was Arista Networks profitable in the first quarter 2025?
Operating profit was $859M (42.8% of revenue) and net earnings $814M.
Source: Arista Networks 10-Q on SEC EDGAR.