$ANET

Arista Networks, Inc.

CIK:0001596532|SEC Filings

Condensed Consolidated Income Statements - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
Revenue:
Total revenue	$ 3,035.7	$ 2,204.8	$ 5,744.7	$ 4,209.6
Cost of revenue:
Total cost of revenue	1,125.4	766.2	2,157.6	1,494.9
Gross profit	1,910.3	1,438.6	3,587.1	2,714.7
Operating expenses:
Research and development	348.2	296.5	691.9	562.9
Sales and marketing	150.3	126.5	291.9	243.1
General and administrative	33.8	29.4	67.5	63.7
Total operating expenses	532.3	452.4	1,051.3	869.7
Income from operations	1,378.0	986.2	2,535.8	1,845.0
Other income (expense), net	126.3	94.0	239.9	190.2
Income before income taxes	1,504.3	1,080.2	2,775.7	2,035.2
Provision for income taxes	291.4	191.4	539.9	332.6
Net income	$ 1,212.9	$ 888.8	$ 2,235.8	$ 1,702.6
Net income per share:
Basic (in dollars per share)	$ 0.96	$ 0.71	$ 1.78	$ 1.35
Diluted (in dollars per share)	$ 0.95	$ 0.70	$ 1.75	$ 1.34
Weighted-average shares used in computing net income per share:
Basic (in shares)	1,260.1	1,256.3	1,258.9	1,258.2
Diluted (in shares)	1,276.0	1,271.2	1,274.9	1,275.2
Product
Revenue:
Total revenue	$ 2,605.2	$ 1,877.0	$ 4,916.5	$ 3,569.5
Cost of revenue:
Total cost of revenue	1,047.5	707.3	2,009.4	1,380.0
Service
Revenue:
Total revenue	430.5	327.8	828.2	640.1
Cost of revenue:
Total cost of revenue	$ 77.9	$ 58.9	$ 148.2	$ 114.9

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income	$ 2,235.8	$ 1,702.6
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	46.7	26.6
Stock-based compensation	241.3	178.2
Deferred income taxes	(213.1)	(337.9)
Other	(10.6)	(21.0)
Changes in operating assets and liabilities:
Accounts receivable, net	(379.3)	(483.1)
Inventories	(288.2)	(224.5)
Other assets	(619.7)	(403.2)
Accounts payable	40.9	160.0
Deferred revenue	1,493.5	1,141.4
Income taxes, net	198.4	152.4
Other liabilities	30.8	(49.7)
Net cash provided by operating activities	2,776.5	1,841.8
CASH FLOWS FROM INVESTING ACTIVITIES:
Proceeds from maturities of marketable securities	1,508.6	1,651.2
Proceeds from sale of marketable securities	494.4	15.9
Purchases of marketable securities	(4,328.9)	(2,705.7)
Purchases of property and equipment	(84.2)	(52.4)
Cash paid for business combinations, net of cash acquired	0.0	(300.0)
Other	(35.0)	0.0
Net cash used in investing activities	(2,445.1)	(1,391.0)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of common stock under equity plans	33.4	31.3
Tax withholding paid on behalf of employees for net share settlement	(31.2)	(39.3)
Repurchases of common stock	0.0	(983.0)
Other	(3.7)	0.0
Net cash used in financing activities	(1.5)	(991.0)
Effect of exchange rate changes	(3.6)	3.3
NET INCREASE (DECREASE) IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	326.3	(536.9)
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —Beginning of period	1,965.3	2,763.8
CASH, CASH EQUIVALENTS AND RESTRICTED CASH —End of period	$ 2,291.6	$ 2,226.9

Condensed Consolidated Balance Sheets - USD ($) $ in Millions	Jun. 30, 2026	Dec. 31, 2025
CURRENT ASSETS:
Cash and cash equivalents	$ 2,290.2	$ 1,963.9
Marketable securities	11,053.1	8,779.1
Accounts receivable, net	2,266.2	1,886.9
Inventories	2,535.3	2,247.1
Prepaid expenses and other current assets	2,018.6	1,510.0
Total current assets	20,163.4	16,387.0
Property and equipment, net	312.5	203.1
Goodwill	416.1	416.1
Deferred tax assets	2,001.6	1,773.6
Other assets	826.5	668.8
TOTAL ASSETS	23,720.1	19,448.6
CURRENT LIABILITIES:
Accounts payable	692.7	651.7
Accrued liabilities	486.6	475.4
Deferred revenue	5,100.7	4,002.6
Other current liabilities	538.4	246.8
Total current liabilities	6,818.4	5,376.5
Deferred revenue, non-current	1,765.2	1,369.8
Other long-term liabilities	338.8	331.8
TOTAL LIABILITIES	8,922.4	7,078.1
Commitments and Contingencies (Note 5)
STOCKHOLDERS’ EQUITY:
Preferred stock, $0.0001 par value—100 shares authorized and no shares issued and outstanding as of June 30, 2026 and December 31, 2025	0.0	0.0
Common stock, $0.0001 par value—4,000 shares authorized as of June 30, 2026 and December 31, 2025; 1,261.2 and 1,256.5 shares issued and outstanding as of June 30, 2026 and December 31, 2025	0.1	0.1
Additional paid-in capital	3,155.3	2,911.8
Retained earnings	11,682.8	9,446.6
Accumulated other comprehensive income (loss)	(40.5)	12.0
TOTAL STOCKHOLDERS’ EQUITY	14,797.7	12,370.5
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY	$ 23,720.1	$ 19,448.6