Ubiquiti reported revenue of $1.03B for its fiscal first quarter ended Sept. 30, the first quarter in company history above $1B.
Revenue rose 39.9% from $733.8M a year earlier and 9.5% from $937.3M in the prior quarter, according to the company's results.
Enterprise Technology, the UniFi platform spanning networking, physical security, storage, and building technology, did the heavy lifting at $941.3M, up 43.2% from $657.1M. Service Provider Technology added $84.9M, up from $76.6M.
North America led the regions with $541.7M, up 41.5%. Europe, the Middle East and Africa contributed $378.1M, up from $263.1M, Asia Pacific $67.1M and South America $39.3M, so the growth was not confined to one region.
Gross profit was $485.3M. Gross margin reached 47.3%, against 46.0% a year earlier, a 1.3 point improvement. The company attributed the wider margin to lower indirect costs, offset in part by higher component costs. Operating income climbed 49.6% to $391.5M, and net income rose 54.2% to $320.5M.
Non-GAAP EPS came to $5.32, up 53.8% from $3.46, and GAAP EPS was $5.29.
A hardware maker growing faster than its giant rivals
The incumbents are growing too, only slower. Cisco grew networking product revenue 28% in its quarter to July 25, and HPE grew Campus & Branch networking revenue 31.0% in its quarter to July 31, a line worth $1.4B. HPE reports later this month. HPE's networking business has its own coverage.
Demand across the category looks broad. Cisco's networking product orders rose 40% in that quarter, its eighth straight quarter of double-digit growth.
Ubiquiti's edge is in how little it spends to sell the gear. Total operating expenses were $93.9M, or 9.1% of revenue, against 30.4% for Cisco on its adjusted basis.
Ubiquiti sells UniFi with no license or subscription fees, much of it through its own webstores. Research and development spending rose to $53.2M from $48.5M, and sales, general and administrative costs rose to $40.6M from $27.1M, reflecting higher professional fees and credit card processing fees on incremental webstore sales. The R&D increase reflected higher software, employee-related and facility costs.
Components, not customers, are the stated risk
Ubiquiti said certain component costs have risen since the fourth quarter of fiscal 2026 and may keep rising, with availability possibly constrained. That combination could pressure gross margins if pricing does not offset it, and ongoing supply constraints could limit the company's ability to meet customer demand. Chipflation has its own hardware scorecard.
Ubiquiti's revenue clears $1B for the first time
Quarterly revenue, $M
Bar chart. Revenue ($M). 1Q26: Revenue ($M) $734. 4Q26: Revenue ($M) $937. 1Q27: Revenue ($M) $1K.
Source: Ubiquiti Inc. fiscal Q1 2027 results, Nov. 6, 2026
Next quarter's gross margin is where any component squeeze shows up first.
The board declared a $1.00 quarterly cash dividend, unchanged from the prior quarter, payable Nov. 23 to holders of record Nov. 16.
Ubiquiti is headquartered in New York, and its shipments have topped 126M devices across more than 200 countries and territories, a base built through direct webstores and a worldwide partner community rather than a large sales force.
