Seagate Q3: $3.1B revenue, 47% margin on AI-driven demand; $105M legal hit, $641M debt retired

Filed April 29, 2026 · Period ending April 3, 2026 · ~1 min read

Key Changes

• high

  Q3 revenue $3.1B with 47% gross margin (up 12 points YoY) driven by pricing power, favorable mix, and strong data center demand for high-capacity nearline drives serving AI workloads.

  MD&A: Q3 FY2026 results & gross margin verify on EDGAR →
• high

  Generated $1.1B operating cash flow; retired $641M debt and paid $161M dividends. 2028 convertible notes now exchangeable through June 2026, reclassified to current liabilities.

  MD&A: Debt retirement & liquidity verify on EDGAR →
• high

  Recorded $105M legal settlement charge (3% of quarterly revenue). Total accrued legal settlements now $240M, with $150M due within one year.

  MD&A: Legal settlement verify on EDGAR →