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Seagate Technology’s HAMR Push: Can Mozaic Power The Next Storage Cycle?

Seagate Technology reported a robust finish to its fiscal 2026 year, exceeding revenue and earnings expectations while demonstrating sustained margin expansion. For the fourth quarter, revenue reached $3.6 billion, reflecting a 48% year-over-year increase and a 17% sequential rise, driven by strong demand in the data center market. Non-GAAP gross margin stood at 52.7%, up 570 basis points sequentially, while non-GAAP operating margin expanded to 44.6%. Non-GAAP earnings per share rose to $5.71, a 121% increase year-over-year, supported by favorable product mix and disciplined cost management. Free cash flow for the quarter exceeded $1.1 billion, marking the strongest quarterly cash generation in over a decade. Seagate’s business was primarily propelled by cloud customers, accounting for approximately 90% of nearline exabyte shipments and driving a 34% exabyte shipment increase year-over-year.