Western Digital Reports 45% Revenue Jump, 50.5% Margins in Third Quarter
Western Digital posted third-quarter revenue up 45% year over year and gross margin of 50.5%, with free cash flow of $978 million driven by AI hyperscaler demand and long-term HDD supply contracts through 2029.
Western Digital reported third-quarter revenue up 45% year over year, gross margin at 50.5%, and free cash flow of $978 million [1]. The company, now a pure-play hard disk drive manufacturer, attributed the performance to AI-driven demand from hyperscale cloud providers and long-term supply contracts.
Cloud revenue accounted for 90% of the total, with contracted demand visibility extending through 2029 supported by firm purchase orders [1]. The revenue gain and margin expansion reflect Western Digital's position as a concentrated supplier to large data center operators building out infrastructure for AI workloads.
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