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Western Digital WDC HDD — Business realignment charges

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Other financials

Income statement

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Revenue$3.7B+43.8%
Gross profit$2.0B+90.1%
Operating income$1.6B+130%
Net income$3.2B+1,033%
EPS (diluted)$8.21+995%

Balance sheet

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Cash & equivalents$1.6B-25.3%
Total debt$1.1B-78.3%
Total equity$8.9B+66.9%
Total assets$13.9B-1.0%

Cash flow

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Operating cash flow$672.0M+1,876%
CapEx$73.0M-24.0%
Free cash flow$599.0M+1,066%

Valuation

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Market cap$178.95B+595%
Enterprise value$178.42B+527%
P/E19×+5.4×
P/S13.9×+11.1×

Profitability

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Gross margin48.9%+10.1pp
Operating margin34.5%+10.0pp
Net margin72.9%+53.1pp
FCF margin-7.2%-14.6pp

Returns & leverage

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Return on equity133%+110pp
Debt / equity0.1×-0.8×
Current ratio1.3×+0.2×

Where this comes from

Reported directly by Western Digital in its filing.

Tagged under the XBRL concept wdc:BusinessRealignmentCharges.

The source filing: Western Digital’s 10-Q, filed April 30, 2026.

Filed
Apr 30, 2026, 6:13 PM EDT
Fiscal quarter
Q3 FY2026
Calendar quarter
Q2 2026
Accession
0001628280-26-029054
Line itemThree Months Ended / April 3,2026Three Months Ended / March 28,2025Nine Months Ended / April 3,2026Nine Months Ended / March 28,2025
Research and development(1)272228807680
Selling, general and administrative(1)12596343398
Litigation matter(207)(179)
Business realignment charges4095(7)
Stock-based compensation5335159122
Interest expense, net2681110257
(Gain) loss on retained interest in Sandisk(2,734)606(4,448)606
Costs in connection with debt-for-equity exchange545545

Item 1. Financial Statements (unaudited)

FAQ

What is Western Digital's HDD — business realignment charges?
Western Digital (WDC) reported HDD — business realignment charges of $40M in Q1 2026.
What does HDD — business realignment charges mean?
These are costs associated with restructuring, workforce reductions, or facility consolidations within the HDD segment. Such charges are typically incurred to improve long-term operational efficiency and cost structures. Investors monitor these to gauge the scale of organizational transformation efforts.

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