Ubiquiti Inc. (NYSE:UI) shares gained 3.3% after the networking equipment company delivered stronger-than-expected fourth-quarter fiscal 2026 results, supported by continued growth across its Enterprise Technology platform.
Adjusted earnings came in at $4.73 per share, exceeding the analyst consensus of $4.48 by $0.25. Quarterly revenue reached $937.3 million, comfortably ahead of expectations of $868.35 million.
Revenue increased 23.5% year on year from $759.2 million in the fourth quarter of fiscal 2025, helping drive the positive reaction in Ubiquiti shares.
Enterprise Technology platform drives quarterly growth
The Enterprise Technology business was the main contributor to Ubiquiti’s revenue expansion during the quarter, generating $868.3 million compared with $680.1 million in the corresponding period last year.
“The growth in revenues over the prior quarter and the comparable prior year periods were driven by increase in revenue from our Enterprise Technology platform,” the company stated in its press release.
Gross margin improved on a year-on-year basis to 45.8% from 45.1%, although it declined from 47.0% in the preceding quarter.
Ubiquiti said higher costs for certain components affected the business during the period. The company cautioned that component prices could continue rising while supply availability may remain constrained, creating potential pressure on gross margins in the near term.
Full-year revenue climbs 27%
For the full 2026 fiscal year, Ubiquiti generated revenue of $3.3 billion, representing growth of 27.2% from $2.6 billion in fiscal 2025.
Adjusted earnings per share increased sharply to $15.95 from $10.96 in the previous year, reflecting the company’s strong revenue expansion and improved annual profitability.
The results underline the momentum within Ubiquiti’s Enterprise Technology platform, although investors will also be monitoring whether higher component costs begin to weigh more heavily on margins during fiscal 2027.
Ubiquiti maintains dividend and extends share buyback programme
Alongside its results, Ubiquiti’s board declared a quarterly dividend of $1.00 per share, payable on September 8, 2026.
The company also indicated that it intends to maintain regular quarterly dividends of at least $1.00 per share throughout fiscal 2027.
Ubiquiti additionally extended its share repurchase programme, authorising up to $500 million of stock buybacks through September 30, 2027.
The combination of stronger-than-expected quarterly results, substantial full-year growth and continued shareholder returns helped lift Ubiquiti shares following the earnings announcement.