How does Arista Networks (ANET) make money?

Arista Networks (ANET) generates revenue primarily from Product, which accounted for 84.4% of total revenue in TTM through Q1 2026. The company reported $9.71B in revenue and converted 38.3% of it into net profit, equivalent to roughly $3.72B in net income — what's left after the cost of revenue, operating expenses, interest, and income taxes.

What is the gross profit margin of Arista Networks (ANET)?

Arista Networks (ANET) reported a gross profit margin of 63.5% in TTM through Q1 2026, equivalent to $6.17B in gross profit on $9.71B in revenue. Gross margin measures how much of each dollar of revenue remains after the direct cost of producing or delivering the product — a higher figure typically signals pricing power, scale, or a less capital-intensive business model.

What is the operating profit margin of Arista Networks (ANET)?

Arista Networks (ANET) reported an operating profit margin of 42.8% in TTM through Q1 2026, equivalent to $4.16B in operating income. Operating margin captures profitability after research & development, sales & marketing, and general & administrative expenses — but before interest, taxes, and one-off items — and is the cleanest single read on the underlying business's efficiency.

What is the net profit margin of Arista Networks (ANET)?

Arista Networks (ANET) reported a net profit margin of 38.3% in TTM through Q1 2026, equivalent to $3.72B in net income. Net margin is the bottom-line share of revenue that survives every expense — operating costs, interest, and income taxes — and is the figure that flows directly into earnings per share.

Is Arista Networks (ANET) profitable?

Yes. Arista Networks (ANET) reported $3.72B in net income for TTM through Q1 2026, with a net profit margin of 38.3%. The company earned more from its operations than it paid out in costs, interest, and income taxes, leaving positive earnings on the bottom line.

How much does Arista Networks (ANET) invest in research and development?

Arista Networks (ANET) invested $1.31B in research and development during TTM through Q1 2026, roughly 13.5% of total revenue. R&D spending funds the company's future product pipeline and is expensed in full on the income statement rather than capitalised, which makes the operating margin sensitive to how aggressively management chooses to reinvest in innovation.

How much does Arista Networks (ANET) spend on capital expenditures?

Arista Networks (ANET) spent $146M on capital expenditures (CapEx) during TTM through Q1 2026, roughly 1.5% of total revenue. CapEx represents long-lived investment in property, equipment, data centres, and other physical infrastructure, and is subtracted from operating cash flow to arrive at free cash flow.

How much free cash flow does Arista Networks (ANET) generate?

Arista Networks (ANET) generated $5.28B in free cash flow during TTM through Q1 2026, a free-cash-flow margin of 54.4%. Free cash flow is the cash left after capital expenditures and represents the discretionary pool the company can use to pay dividends, repurchase shares, repay debt, or fund acquisitions without raising external capital.

What is the effective tax rate of Arista Networks (ANET)?

Arista Networks (ANET) had an effective tax rate of 18.5% in TTM through Q1 2026. The effective rate is the actual share of pre-tax income paid as income taxes and can differ materially from the statutory rate due to foreign earnings mix, tax credits (such as R&D), share-based compensation deductions, and one-off discrete items.

What are the main business segments of Arista Networks (ANET)?

Arista Networks (ANET) reports revenue across 2 reportable product segments, led by Product at 84.4% of total revenue in TTM through Q1 2026. See the revenue-by-segment table on this page for the full breakdown and how each segment feeds into the income-statement waterfall above.

Where does Arista Networks (ANET) generate most of its revenue?

Americas is the largest geographic market for Arista Networks (ANET), accounting for 80.5% of revenue in the most recent annual filing. The complete regional split — including international markets and any Rest-of-World rollup — is shown in the revenue-by-geography table on this page.

How Arista Networks Makes Money: 2026 Visual Revenue Map

Arista Networks (ANET) Income Statement Flow — TTM through Q1 2026

Calculated from the four most recent reported quarters, ending March 31, 2026 (reported May 6, 2026).

Arista Networks (ANET) Revenue by Product Segment — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported segments changed mid-year.

Revenue contribution by product segment for Arista Networks (ANET), TTM through Q1 2026.
Segment	Revenue (USD)	% of total
Product	$8.2B	84.4%
Service	$1.51B	15.6%
Total	$9.71B	100%

Product$8.2B
Service$1.51B
Total$9.71B

Arista Networks (ANET) Revenue by Geography — TTM through Q1 2026

Aggregated from the four quarterly disclosures behind this TTM. Minor differences vs the company's annual filing can occur if reported regions changed mid-year.

Revenue contribution by geographic region for Arista Networks (ANET), TTM through Q1 2026
Region	Revenue (USD)	% of total
Americas	$7.81B	80.5%
EMEA	$1.13B	11.6%
Asia Pacific	$766M	7.9%
Total	$9.71B	100%

Americas
EMEA
Asia Pacific
Total

Revenue Breakdown — TTM through Q1 2026

In TTM through Q1 2026, Arista Networks (ANET) reports revenue across 2 reportable product segments; the largest segment was Product at 84.4%, followed by Service (15.6%). Geographically, Americas accounted for 80.5% of revenue, followed by EMEA (11.6%) and Asia Pacific (7.9%).

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