ExaGrid logs record Q4 as customer and booking growth continue

Backup target appliance supplier ExaGrid had a record fourth 2025 quarter with its highest-ever overall revenue and bookings, record revenue and bookings for new customers, and existing customers repeat orders.

ExaGrid provides a tiered appliance with a non-deduping, fast restore, ingress tier, and a non-network-facing, deduplicated, retention tier with immutability. The company has been announcing record results for many quarters.

President and CEO Bill Andrews said: “We have signed our first ‘Top 10’ worldwide Global Systems Integrator and will be signing with the second soon. We continue to replace primary storage behind the backup application as well as inline scale-up deduplication appliances”

He’s said pretty much the same thing for many of the past quarters. The only new technology added by his competitors has been all-flash backup target appliances. We wouldn’t be at all surprised if ExaGrid responded in kind so as to maintain its technology advantage.

On the competitive front, Andrews told us: ”We continue to replace – 65 percent of the time – primary storage disk behind the backup app from Dell, HPE, NetApp and Hitachi.” ExaGrid replaces deduplication appliances from Dell Data Domain (PowerProtect), HPE StoreOnce, and NetBackup appliances 35 percent of the time. ”We had a record quarter of Dell Data Domain replacements,” he added.

ExaGrid brought on 202 new customers in the quarter, a record, to a total of just under 5,000 active, installed customers, with a greater than 70 percent competitive win rate. There were 88 six-figure new customer deals and three seven-figure new customer deals – its highest-ever quarterly big deal count. Over half of its business came from outside the US, thanks to sales and support teams in 30 countries and customer installations in over 80 countries. ExaGrid enjoyed a ”very strong Latin America, Europe and MEA (Middle East and Africa) quarter.”

It hopes to pass 5,000 customers next month. For comparison, Dell has more than 15,000 PowerProtect (Data Domain) customers.

Andrews said: “We continue to invest in our channel partnerships and worked with more reseller partners in 2025 than ever before. We released new features for our Managed Service Provider (MSP) partners in particular, so that MSPs can set up a specific share per customer, with data usage tracked and reported for billing per share, and so that ransomware recovery is available by customer.”

ExaGrid has maintained positive P&L, EBITDA, and free cash flow for the past 20 quarters. Andrews said: “We have no debt of any kind not even an accounts receivable line. We have plenty of cash to weather any storm and the cash builds every quarter We had our best overall gross margin percentage quarter as well (blend of product gross margin and support gross margin). We were very pleased with the results… We had a very successful 2025 and are looking to maintain the momentum with double-digit top line growth for 2026.”

Comment

ExaGrid has has reported positive growth numbers for over five years. It was founded in 2002 and raised a total of just under $97 million in funding, with the last round of $10.6 million in 2011. It’s been effectively self-funding from its organic growth since then and puts out quarterly growth numbers like clockwork.

There are no public Purpose-Built Backup Appliance (PBBA) market numbers. We understand Dell leads the market with an approximate 27 percent share and its 15,000-plus customer count. HPE, we think, is in second place with around 10,000-plus customers and an 18-19 percent share. The third spot is either ExaGrid or Quantum with its DXi appliance. As Quantum doesn’t release DXi customer numbers, we don’t know how its market share compares to ExaGrid.

Our assessment is that it and ExaGrid will occupy the number three and four slots in PBBA market share. If ExaGrid is currently number four, we could see it becoming number three this year, but it will be a tussle. Quantum has new and energized management.

Update

Our comment focussed on the PBBA revenue amount. ExaGrid’s CEO looks at the total backup storage revenue amount and he told us: “Backup Storage Revenue in most to least order, to my best research and knowledge is:

• Dell primary storage behind the backup app and Data Domain
• HPE primary storage behind the backup app and HPE StoreOnce
• NetBackup appliances behind NetBackup
• NetApp primary storage behind the backup Application
• Probably Pure Storage
• Then either Hitachi (Vantara) storage or ExaGrid
• Then Commvault HyperScaleX

Then there is a big drop to some other players such as the Quantum DXi.