Seagate sold a lot more storage and kept far more of the money.
For the twelve months ended July 3, revenue rose 34% to $12.2 billion, while operating income more than doubled to $4.1 billion. Net income reached $3.2 billion, and operating cash flow climbed from $1.1 billion to $3.7 billion.
That is the clean reading. The less tidy detail is where the cash came from and where the balance sheet moved. Accounts receivable rose 60% to $1.5 billion, well ahead of revenue growth, while inventory increased only 9%. Seagate does not give a new-period explanation for the receivables increase in the supplied filing receipts.
Management attributes the sales increase to both volume and price. The company says nearline exabytes shipped increased as demand rose, with pricing actions adding to revenue.
"Fiscal Years Ended (Dollars in millions) July 3, 2026 June 27, 2025 Change % Change Revenue $ 12,195 $ 9,097 $ 3,098 34 % Revenue in fiscal year 2026 increased approximately 34%, or $3.1 billion, from fiscal year 2025, primarily due to an increase in nearline exabytes shipped reflecting higher demand for nearline products and favorable pricing actions undertaken by the Company."
Seagate Technology Holdings PLC 10-K, Aug. 4, 2026
The filing therefore points to a specific combination: more units of nearline storage, plus favorable pricing. It is not merely a volume rebound.
The margin change makes that distinction matter. Gross margin rose to 46% from 35%, which Seagate attributes to pricing actions and a shift toward higher-capacity products. Operating margin reached 33.6%, up from 20.8% a year earlier. Those gains turned a 34% sales increase into a 117% increase in operating income.
"For fiscal year 2026, gross margin increased by 11 percentage points compared to the prior fiscal year primarily driven by pricing actions undertaken by the Company and product mix shift to higher capacity products."
Seagate Technology Holdings PLC 10-K, Aug. 4, 2026
That is the filing's central operating fact: the company sold into stronger demand while its reported economics improved faster than its top line. Cash conversion moved from 0.74x to 1.15x, giving the profit increase a larger cash component rather than leaving it mostly on the income statement.
There was also a larger bill for building the business. Capital spending rose to $569 million from $265 million, more than doubling as Seagate spent on property, equipment, and leasehold improvements. Cash still rose to $1.7 billion, but the year required more investment alongside the stronger margins and cash flow.
The annual record shows revenue rising from $6.6 billion in fiscal 2024 to $9.1 billion in fiscal 2025 and then $12.2 billion in fiscal 2026. At the latest close, the stock was up 429.5% over twelve months, with a reported P/E of 122.8x, so the current filing arrives alongside a sharp stock rise and a high reported P/E.
That leaves a comparison for subsequent reporting: whether accounts receivable has moved from the $1.5 billion reported at year-end. The figure provides a comparison point for a year in which sales, margins, cash flow, and investment all moved sharply higher.
Source: Seagate Technology Holdings PLC's 2026 Form 10-K, filed Aug. 4, 2026.