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Sandisk locks in buyers for half this year and two thirds of 2027 output
The company says long-term deals include price floors and minimum financial guarantees designed to support margins if flash prices fall.
SanDisk Corporation, now branded SNDK after being spun off from Western Digital in February 2025, has signed long-term agreements covering roughly half of its output for the current fiscal year and about two thirds of next year’s, the company said, aiming to reduce exposure to spot-market swings in flash memory pricing. The contracts include floor prices, as well as minimum financial guarantees, and the company says margins can remain attractive even at those floor levels.
Western Digital spun Sandisk out in February 2025, and Sandisk entered the S&P 100 on September 21, 2026. The outlet notes the near term debate is whether the supply-demand mismatch driven by AI data center demand can persist as flash pricing turns.
Yahoo Finance reports that in Sandisk’s most recent quarter ended July 3, revenue rose 372% year over year to $8.97 billion, with data center sales at about a third of total revenue. The company swung to a profit of nearly $7 billion from a loss a year earlier.
According to Yahoo Finance, Sandisk says it has signed ten agreements with eight customers under a new business model that commits volumes and sets price floors and ceilings instead of leaving the company exposed to the spot market. It set targets for fiscal 2028 through 2030 of mid to high teens revenue growth and adjusted gross margins around 80%, and it authorized an additional $14 billion buyback alongside its August results, while noting the stock trades at about eight times analysts’ expected earnings for the fiscal year ending in early July.