ALAB Astera Labs, Inc.

Overview and Growth

In fiscal 2025, Astera Labs, Inc. recorded $852.52M of revenue, net income of $219.13M, and an operating cash inflow of $319.31M. Revenue of $852.52M sets the scale for evaluating how effectively sales translated into profit and cash during the year. Compared with $396.29M in fiscal 2024, revenue recorded a 115.1% year-over-year increase. On a per-share basis, diluted EPS was $1.22, which connects the reported earnings outcome with the company’s diluted share count. Total assets stood at $1.53B, showing the scale of resources supporting revenue, earnings, liquidity, and financing. Asset turnover was 0.56x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

After reported cost of revenue, the company retained $645.26M as gross profit before recognizing operating expenses and other items. Gross profit represented 75.7% of revenue, showing how much of the top line remained after direct costs. The reported operating result was $173.42M, capturing profitability after direct costs and the operating expenses reflected in the statements. Relative to revenue, operating income represented 20.3%, showing how efficiently sales converted into operating profit. After all reported below-operating-line items, the company recorded net income of $219.13M for the fiscal year. Measured against reported revenue, net income produced a 25.7% margin after operating costs and the remaining recognized items. Pretax income was $218.15M, isolating the reported earnings outcome before the income-tax provision recognized for the fiscal year. The pretax margin was 25.6%, relating income before taxes directly to revenue. An income-tax benefit of $981.00K improved the final result relative to pretax income or loss. Relative to positive pretax income, the tax benefit measured 0.4%. Return on period-end equity was 16.1%, relating annual net income to the equity capital on the balance sheet. Net income represented 14.3% of period-end assets, placing the company’s bottom-line result against the total resource base employed.

Liquidity and Capital Structure

At period end, the $1.53B asset base was financed through $168.19M of liabilities and $1.36B of equity. At period end, current assets of $1.36B compared with current liabilities of $133.04M, defining the company’s short-term resource position. Current assets covered current liabilities by 10.24x, leaving a positive buffer for near-term obligations. The company held $167.61M in cash and equivalents, a narrower liquidity measure than total current assets. Cash and equivalents represented 126.0% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. The liabilities-to-assets relationship was 11.0%, placing reported obligations against the full positive asset balance. The cash-to-assets relationship was 10.9%, comparing reported cash and equivalents with the full positive asset balance. Total assets were 45.3% higher than fiscal 2024 assets of $1.05B, measuring the company’s own balance-sheet change. Book equity was 41.3% higher than fiscal 2024 equity of $964.80M, showing how shareholder capital changed year over year. Compared with $79.55M in fiscal 2024, the current cash balance moved 110.7% and finished higher.

Cash Flow and Earnings Quality

Cash flow from operations was $319.31M, a reported cash inflow that can be compared directly with net income and capital spending. Against net income, operating cash flow measured 1.46x, showing the relationship between accrual earnings and operating cash. Capital spending was $37.54M, absorbing part of the cash generated from operations before free cash flow. Relative to operating cash flow, capital expenditures measured 11.8%, connecting investment intensity with the company’s cash-generation base. Free cash flow came to $281.76M, leaving a positive amount after capital expenditures. Relative to revenue, free cash flow equaled 33.1%, showing how much sales converted into cash after investment. The free-cash-flow-to-assets relationship was 18.4%, comparing post-investment cash with the balance-sheet asset base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Sep 24, 2026.