Seagate Technology (NYSE: STX) today reported disc drive unit shipments of 47 million, revenue of $3.3 billion, GAAP net income of $355 million, and diluted net income per share of $0.64 for the quarter ended September 28, 2007. GAAP net income and diluted net income per share includes approximately $30 million of purchased intangibles amortization and other charges associated with the Maxtor and EVault acquisitions. Excluding these charges, non-GAAP net income and diluted net income per share were $385 million and $0.69. Included in both GAAP and non-GAAP results are restructuring charges of approximately $5 million or approximately $0.01 per share.
“Our strong performance in the quarter reflects favorable industry conditions as well as the competitive strength of Seagate’s unique platform and commitment to innovation,” said Bill Watkins, Seagate chief executive officer. “The first fiscal quarter has historically been a strong one for Seagate, and this year, we benefited from unit demand greater than expected. We believe we are well positioned to continue driving year-over-year revenue growth, and these record quarterly results demonstrate the effectiveness of Seagate’s business model.”
Adjustments made to GAAP net income and diluted net income per share can be found with the financial statements included with this press release. Additional information relating to the financial results for the first fiscal quarter of 2008 can be found online at seagate.com.
Business Outlook
For the December quarter, Seagate expects to report revenue of $3.4 - $3.5 billion, and GAAP diluted net income per share of $0.66 - $0.70. Excluding approximately $26 million of purchased intangibles amortization and other charges associated with the Maxtor and EVault acquisitions, non-GAAP diluted net income per share for the December quarter is expected to fall within the range of $0.71 - $0.75.
This guidance does not include the impact of any future acquisitions, stock repurchases or restructuring activities the company may undertake.
About Seagate
Seagate is the worldwide leader in the design, manufacture and marketing of hard disc drives, providing products for a wide-range of applications, including Enterprise, Desktop, Mobile Computing, Consumer Electronics and Branded Solutions. Seagate's business model leverages technology leadership and world-class manufacturing to deliver industry-leading innovation and quality to its global customers, and to be the low cost producer in all markets in which it participates. The company is committed to providing award-winning products, customer support and reliability to meet the world's growing demand for information storage. Seagate can be found around the globe and at www.seagate.com.
