Penguin Solutions, Inc. announced financial results for its fiscal fourth quarter and full year 2026, ending August 28, 2026. The company reported record net sales of $567 million for the fourth quarter, representing a 68% year-over-year increase. This growth was accompanied by record operating income of $69 million, a 458% rise from the prior year, and record net income of $93 million, which increased by 888% year-over-year.
For the full fiscal year 2026, total net sales reached $1.73 billion, up 26% compared to fiscal 2025. The company recorded record operating income of $166 million, up 185% year-over-year, and record net income of $181 million, up 611%.
On the business front, Penguin Solutions highlighted momentum in its AI Infrastructure segment. During the fourth quarter, the company won six new AI Infrastructure data center customers, including four neocloud providers. Notable wins included a partnership with a leading AI lab to deploy a 36,000-GPU AI factory in Norway and a multi-year engagement with a publicly traded neocloud customer backed by a South Korean technology company.
Regarding fiscal 2027, Penguin Solutions raised its outlook beyond the preliminary view provided during the third-quarter earnings call. The company now expects net sales of approximately $2.43 billion at the midpoint, representing growth of about 40% year-over-year. The company also anticipates diluted earnings per share of $3.50 and non-GAAP diluted EPS of $4.45 for fiscal 2027.
In other corporate developments, Penguin Solutions closed an oversubscribed $750 million convertible senior notes offering due in 2031 with a 0% coupon. The company also advanced its ClusterWareAI software with new agentic AI capabilities designed to automatically detect and remediate GPU performance issues.
