NetScout Systems Inc (NTCT) Q4 2025 Earnings Report

NetScout Systems delivered a solid Q4 2025 despite a seasonally weaker sequential backdrop, underscoring the company’s improving profitability and cash generation while navigating a modest revenue trajectory in a divested-backlog environment. For the full year, NetScout reported revenue of about $822.7 million, essentially flat year over year, with a non-GAAP diluted EPS of $2.22 and free cash flow of $211 million. The quarter showed resilience driven by Cybersecurity, even as Service Assurance revenue declined in the year, reflecting structural portfolio shifts and the impact of the Test Optimization divestiture in prior periods. Management emphasized cost discipline and AI-enabled product enhancements as key levers for FY2026, while guiding to modest revenue growth and margin expansion in a cautious macro environment. In addition, the company announced a leadership transition (retirements of the COO and CFO with internal succession) that is expected to sustain continuity and execution through the upcoming fiscal year. The market backdrop remains characterized by macro uncertainty and volatile IT spend, but NetScout positions itself with a high-margin software-enabled security and observability portfolio, a healthy balance sheet, and a growing emphasis on advanced DDoS protection and AI-driven monitoring.