SUBSCRIBE TO OUR NEWSLETTER
Stay informed! Sign up to get expert advice and insight delivered direct to your inbox
Emulex Reports Results
Emulex Corporation announced results for its third fiscal quarter ended April 1, 2007
April 27, 2007
2 Min Read
COSTA MESA, Calif. -- Emulex Corporation (NYSE:ELX), today announced results for its third fiscal quarter ended April 1, 2007.
Third Quarter Financial Highlights
Revenues of $120.2 million, a 35% increase year over year and a 1% sequential decrease which exceeded January guidance of $115-$119 million
GAAP gross margins of 59% and non-GAAP gross margins of 65%
GAAP net income of $11.4 million, or 9% of revenue, and non-GAAP net income of $23.8 million, or 20% of revenue
GAAP net income per diluted share of $0.13 and non-GAAP net income per diluted share of $0.27, exceeding January guidance of $0.24 to $0.26
Accounts and other receivables decreased sequentially by $3.8 million to $60.2 million and Days Sales Outstanding improved sequentially to 42 days from 47 days
Inventories of $27.7 million and inventory turns of 7.2
Cash and investments at the end of the quarter totaled $275 million, after using $38 million to repurchase approximately two million shares of outstanding common stock during the quarter
Financial Results
Third quarter revenues of $120.2 million, represented a 35% increase over the same period a year ago and a decrease of 1% from the second quarter of fiscal 2007. Third quarter GAAP net income totaled $11.4 million, or $0.13 per diluted share compared to $11.6 million or $0.13 per diluted share in the comparable prior year period, and a GAAP net loss of $10.1 million or $0.12 per share in the prior quarter. The GAAP net loss in the prior quarter was due to a $21.6 million in-process R&D charge primarily associated with the Sierra Logic, Inc. acquisition during that quarter. Non-GAAP net income for the third quarter was$23.8 million, or $0.27 per diluted share or flat with the prior quarter and an increase of 23% over the same period a year ago.Reconciliations between GAAP and non-GAAP results are included in the accompanying financial data. The Company's GAAP numbers are still preliminary as the Company hasn't completed its evaluation of all intangible assets for possible impairments. During the quarter, the company repurchased approximately two million shares of outstanding common stock at a cost of approximately $38 million.
Jim McCluney, President and CEO of Emulex commented, "I'm very pleased with our solid execution across the entire organization in what historically has been a challenging quarter. With 64% of our Host Server Product revenues coming from 4Gb/s products combined with great leverage from our integrated supply chain operations, we also saw a meaningful improvement in gross margins during the quarter."
Emulex Corp.
Read more about:
2007You May Also Like
More Insights
