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PENG

Penguin Solutions, Inc.

PENG

Penguin Solutions, Inc. • NASDAQ
$20.23 ▼ -0.39% (-0.08)
Market Cap $1.07 B
52w High $29.80
52w Low $14.20
Dividend Yield 0%
P/E 72.25
Volume 527.94K
Outstanding Shares 52.86M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2025 $337.922M ▲ $84.283M ▼ $9.431M ▲ 2.791% ▲ $0.11 ▲ $10.519M ▼
Q3-2025 $324.251M ▼ $85.24M ▼ $2.661M ▼ 0.821% ▼ $-0.007 ▼ $25.284M ▼
Q2-2025 $365.519M ▲ $86.237M ▲ $8.082M ▲ 2.211% ▲ $0.093 ▼ $32.734M ▲
Q1-2025 $341.102M ▲ $80.456M ▲ $5.217M ▲ 1.529% ▲ $0.098 ▲ $31.681M ▲
Q4-2024 $311.148M $78.295M $-24.547M -7.889% $-0.46 $3.201M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2025 $453.754M ▼ $1.617B ▼ $1.009B ▼ $595.956M ▲
Q3-2025 $735.547M ▲ $1.803B ▼ $1.208B ▲ $584.771M ▼
Q2-2025 $647.005M ▲ $1.811B ▲ $1.199B ▲ $602.528M ▲
Q1-2025 $393.725M ▲ $1.583B ▲ $1.174B ▲ $400.375M ▲
Q4-2024 $389.484M $1.475B $1.075B $391.381M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2025 $10.55M ▲ $-67.065M ▼ $23.295M ▼ $-211.025M ▼ $-256.117M ▼ $-70.304M ▼
Q3-2025 $3.45M ▼ $92.821M ▲ $25.877M ▲ $-30.509M ▼ $88.189M ▼ $90.905M ▲
Q2-2025 $8.871M ▲ $72.877M ▲ $-4.349M ▲ $182.859M ▲ $251.387M ▲ $70.542M ▲
Q1-2025 $5.964M ▲ $13.819M ▲ $-18.922M ▼ $-7.763M ▲ $-12.866M ▲ $11.983M ▲
Q4-2024 $-23.792M $-12.156M $-8.278M $-49.88M $-70.314M $-17.951M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025
Product
Product
 $270.00M ▲$300.00M ▲$260.00M ▼
Service
Service
 $70.00M ▲$60.00M ▼$70.00M ▲

Five-Year Company Overview

Income Statement

Income Statement Over the last five years, Penguin has steadily grown its sales, with only a brief pause in that growth two years ago. Gross profitability has improved meaningfully compared with earlier years, suggesting the core business is becoming more efficient. Operating profit has remained positive in most years but at fairly thin levels, which points to a business still scaling and absorbing costs. Net income has been volatile, swinging from meaningful losses to modest profits, reflecting integration costs, investment phases, and the inherent lumpiness of large infrastructure projects. Overall, the income statement shows a company that is finding its footing in profitability but has not yet delivered consistently smooth earnings.

Balance Sheet

Balance Sheet Penguin’s asset base and cash holdings have generally trended upward, which supports its ability to fund ongoing operations and growth. Debt increased significantly a few years ago, likely tied to acquisitions and expansion, but has started to come down more recently, which is a constructive sign for balance sheet health. Shareholders’ equity dipped at one point—consistent with the period of heavier losses—but has since recovered, suggesting that profitability and retained earnings are slowly rebuilding the capital base. In simple terms, the balance sheet shows a company that used leverage to grow and is now gradually strengthening its financial foundation.

Cash Flow

Cash Flow The most recent year shows the business generating positive cash from operations and positive free cash flow after investment spending, which is an encouraging sign of economic viability beyond accounting earnings. Capital spending appears modest relative to operating cash flow, indicating Penguin is not currently in a cash-intensive build-out phase. However, the lack of a longer cash-flow history in the data makes it hard to judge how stable this performance is across cycles. For now, cash flow looks healthy and supportive of day-to-day needs, with some room left over for debt reduction or reinvestment.

Competitive Edge

Competitive Edge Penguin occupies a focused niche in the AI and high‑performance computing infrastructure market, positioning itself as a full‑stack provider rather than just a hardware vendor. Its combination of pre‑validated AI systems (OriginAI), specialized cluster management software (ICE ClusterWare), and services gives it a differentiated, end‑to‑end offering that reduces complexity for customers. Longstanding expertise in high‑performance computing, together with partnerships with major chip and server makers, and the Stratus edge-computing acquisition, deepen its credibility and widen its reach. At the same time, Penguin operates in a very competitive space with large, well‑funded rivals, so maintaining this edge will depend on continued execution, software differentiation, and the strength of its partner ecosystem.

Innovation and R&D

Innovation and R&D Innovation is clearly central to Penguin’s strategy. The company has evolved from selling components to delivering integrated AI “factories” backed by proprietary software that automates and optimizes cluster operations. Features like anomaly detection, automated remediation, and secure multi‑tenancy in ICE ClusterWare show a push toward intelligent, value‑added software rather than commodity hardware alone. The Stratus acquisition adds fault‑tolerant platforms for edge AI, and the roadmap includes GPU‑enabled edge systems and new optical memory technologies aimed at tackling AI performance bottlenecks. Overall, Penguin is investing to stay in front of fast‑moving AI infrastructure needs, but success will depend on turning these advanced concepts into widely adopted, commercially scalable products.

Summary

Penguin Solutions looks like a growing AI‑infrastructure specialist transitioning from a hardware‑centric past to a more integrated, software‑ and services‑driven future. Revenues and gross margins have improved over time, while earnings remain uneven as the company absorbs growth and integration costs. The balance sheet shows the imprint of leveraged expansion but also early signs of repair, supported by positive recent free cash flow. Competitively, Penguin is differentiated by its end‑to‑end AI factory model, proprietary cluster‑management software, and fault‑tolerant edge offerings, all reinforced by strong industry partnerships. The main opportunities lie in scaling these solutions into the broader AI build‑out, while the key risks involve execution in a capital‑intensive, highly competitive, and rapidly evolving market.

NEWS

November 18, 2025 · 10:50 AM UTC

Penguin Solutions to Provide OriginAI Pre-Validated Cluster Architectures Featuring NVIDIA DGX B300 and NVIDIA RTX PRO 6000 GPUs

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November 17, 2025 · 11:00 AM UTC

Penguin Solutions Releases ICE ClusterWare Management Software 13.0 for Optimizing AI Infrastructure

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November 12, 2025 · 10:56 AM UTC

CreeLED, Inc. Files Patent Infringement Lawsuit Against Promier Products, Inc. (d/b/a LitezAll) and Tractor Supply Co.

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November 4, 2025 · 11:15 AM UTC

Penguin Solutions to Demonstrate Optimized AI Infrastructure Solutions at SC25

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October 29, 2025 · 11:00 AM UTC

Penguin Solutions Fault Tolerance Platforms Now Support Oracle Database Applications

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