SanDisk Corporation (NASDAQ:SNDK) on Thursday laid out a plan to lean harder on multi-year customer supply deals after posting better-than-expected fiscal third-quarter 2026 results.
In the earnings call, CEO David Goeckeler said the memory chip maker has signed five long-term supply agreements (referred to as new business models (NBMs), with three signed in the fiscal third quarter and two more added early in the fiscal fourth quarter.
The agreements, tailored to customer needs, vary in duration, with the longest extending up to five years.
How Multi-Year Contracts Transform Revenue Forecasts?
Chief financial officer Luis Felipe Visoso said the three third-quarter agreements imply “minimum contractual revenue of approximately $42 billion,” and added that the five deals together carry financial guarantees above $11 billion.
Those protections include prepayments and other tools arranged through outside financial institutions, and Visoso said $0.4 billion of prepayments appeared on the third-quarter …