Sandisk Corporation

Good afternoon and welcome to SanDisk's fourth quarter fiscal year 2026 earnings conference call. All participants will be in a listen-only mode. Should you need assistance, please signal a conference specialist by pressing the star key followed by zero on your telephone keypad. After today's presentation, there will be an opportunity to ask questions. To ask a question, you may press star then one on your telephone keypad. To withdraw your question, please press star then two. Please note this event is being recorded. I would now like to turn the conference over to Ivan Donaldson, Vice President of Investor Relations. Please go ahead.

Before we begin, please note that today's discussion will contain forward-looking statements based on management's current assumptions and expectations, which are subject to various risks and uncertainties. These forward-looking statements include expectations for our technology and product portfolio, our business plans and performance, our capital allocation priorities, market trends and opportunities, and our future financial results. We assume no obligation to update these statements. Please refer to our annual report on Form 10-K and our other filings with the SEC for more information on the risks and uncertainties that could cause actual results to differ materially from expectations. We will also make references to non-GAAP financial measures today. Reconciliations between the non-GAAP and comparable GAAP financial measures are included in the written materials posted in the investor relations section of our website. With that, I'll turn the call over to David.

Thanks, Ivan. Good afternoon, and thank you for joining SanDisk's fiscal fourth quarter earnings call. As we close fiscal year 26, we believe SanDisk is in a strong strategic position The strategic actions we have taken over the past year have established a stronger foundation through technology leadership, longer-term customer partnerships, financial flexibility, and operational capabilities, which collectively position us well for the next stage of execution, growth, and shareholder returns. Over the past year, we strengthened our portfolio with BICS leadership across both TLC and QLC and a continued advancement of high bandwidth flash. Established data center as a major pillar of growth, deepened customer relationships through multi-year partnerships enabled by our new business models, our NBMs, with momentum continuing to build during the quarter. We reinforced our supply chain and transformed our business model with a net cash balance sheet and a capital allocation framework designed to generate growing and durable free cash flow to reinvest in the business and return excess capital to shareholders. The fiscal fourth quarter provided our clearest proof point yet. We delivered record revenue, gross margin and earnings per share, each above the high end of our guidance and repurchased and more. We are encouraged by this progress and believe the long-term earnings power, cash generation and resilience of this business will become increasingly evident as we execute against this new foundation. Underlying our performance is the most important force in our market, the era of inference. AI is fundamentally a memory-centric Thank you for joining us. NAND is the most scalable semiconductor technology in the world, and it has become a critical component of the AI architecture. This demand is anchored in strategic long-term infrastructure investments by the world's largest technology companies, which are increasingly working with suppliers who can scale, partner with them, and secure a supply that ensures performance and reliability years in advance. These enduring and mutually beneficial partnerships give customers greater confidence in long-term supply while giving Sandisk clearer visibility into demand and a stronger foundation for planning, investment, and more durable cash flow generation. Our technology leadership is how we are capturing this opportunity. BIX has become recognized as an industry gold standard for NAND, and this year we ramped BIX 8 to the majority of our BIT production. delivering industry-leading performance, density, and power efficiency across both TLC and QLC. FIX-8 was enabled by innovations like CBA, hybrid wafer bonding, and our roadmap builds on that same fundamental approach with future generations extending performance and cost leadership through continued innovation across multiple dimensions of scaling. Our leadership is translating directly into customer adoption across our various end markets. We scaled our compute-focused TLC enterprise SSDs across a broad set of hyperscale and AI infrastructure customers. And this quarter, we began shipping our QLC Stargate platform for revenue, giving us a complete complementary portfolio spanning performance-intensive compute workloads and high-capacity AI data lakes. A year ago, data center represented roughly 12% of our bits. Exiting fiscal year 26, it represents 38% of our portfolio and is our fastest growing end market. Our technology leadership also extends well beyond data center. Edge remains a large and strategically important end market for SanDisk, spanning smartphones, PCs, tablets, and an expanding set of emerging use cases in the realm of physical AI, including automotive, robotics, and on-device agentic AI. Near-term, both PCs and smartphones are working through a period of adjustment as demand is shifting towards AI-enabled devices and premium configurations, driving higher storage content, particularly in smartphones. In the PC market, OEMs are growing revenue and expanding margin on a more profitable mix, reflecting demand for higher-end devices. We expect these markets to return to growth in calendar year 27, and over the longer term, on-device AI, richer content and entirely new form factors will continue to expand the role of high performance flash at the edge. Our ability to deliver high performance density and power efficiency positions us well as these platforms evolve and we expect increases in content per device through future refresh cycles. Sandisk's global consumer presence remains a meaningful differentiator within the industry, giving us a unique connection with end users and channel partners. We continue to invest behind the brand, sharpen our go-to-market capabilities, and innovate around the products, capabilities, and experiences that consumers value. Our ability to innovate at this level is enabled by our operational excellence. Sandisk manages the entire value chain, from the design of the NANDi through front-end wafer manufacturing at some of the largest fab complexes in the world with our JV partner to system level design including our world-class controllers and final back-end assembly and test all the way to the hands of our customers. This end-to-end integration combined with our R&D depth, proprietary BICS systems expertise, and the market diversity that gives us the optionality to direct our technology where it delivers the most value is what enables us to serve customers at attractive returns. Just as important, we grow supply primarily through nodal transitions rather than wafer additions, delivering mid to high teens bid growth from the productivity of our technology roadmap with capital intensity that continues to decline as a percentage of revenue. This is a structural advantage and what makes this franchise such a powerful cash generator. With that, I'll turn the call over to Luis for an update on our new business models and a deeper dive into our financial performance and guidance.