FQ1 2027 key numbers:

Revenue: $4.233B, up 61% YoY from $2.629B and up 17% QoQ

Gross margin: 57.3%

Operating margin: 48.8%

Net income: $1.761B vs $549M a year ago

EPS: $7.59 vs $2.43 a year ago

Operating cash flow: $1.7B

Free cash flow: $1.5B, a record

Debt retired: about $1.2B, lowering gross debt to $2.4B

Returned $568M to shareholders and raised the quarterly dividend about 3% to $0.76

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Segments

Data center: $3.4B, up 63% YoY, now 81% of revenue

Record 198 exabytes of nearline capacity shipped

Most nearline supply is allocated under long-term agreements through calendar 2028, with some cloud customer contracts running to 2030

Microsoft Azure qualified the HAMR-based Mozaic drive platform

Vs expectations

EPS was $7.68 vs about $7.40 expected and above Seagate's own $7.30 guide, with revenue above the roughly $4.1B consensus

It was below the $7.75 whisper number, and this was the fifth straight consensus beat

Guidance (FQ2 2027)

Revenue: $4.8B ± $0.1B, about 13% sequential growth

EPS:…