Wednesday, April 20, 2016

Mellanox Posts Record Q1

Mellanox reported record Q1 revenue of $196.8 million, up 11.2 percent, compared to $176.9 million in the fourth quarter of 2015. GAAP gross margins of 64.2 percent in the first quarter compared to 70.7 percent in the fourth quarter of 2015. There was a GAAP net loss of $7.2 million, compared to net income of $43.2 million in the fourth quarter of 2015.

“We are pleased to report the fourth consecutive quarter of record revenue. Our profitability grew 37.2 percent year-over-year. During the quarter we closed the acquisition of EZchip Semiconductor Ltd. We see great promise in the combination of EZchip’s intelligent processors, and Mellanox’s leading interconnect technology. We believe the combined company can deliver compelling value to current and future customers,” said Eyal Waldman, president and CEO of Mellanox Technologies.

“We recorded strong growth in our Ethernet business, supported by adoption of our 40 Gigabit Ethernet adapters. We are seeing strong interest in the Spectrum product line and expect revenues to accelerate in the coming quarters. Tests demonstrate superior performance, costs, resiliency, and power of Spectrum compared to alternative products. We are pleased to see our InfiniBand business grow year-over-year. We see additional hyperscale entities deployed InfiniBand in their data centers.”