Showing posts with label Financials. Show all posts
Showing posts with label Financials. Show all posts

Wednesday, October 9, 2019

ADTRAN trims Q3 estimates citing pause from 2 international customers

ADTRAN trimmed its preliminary estimates for the third quarter ended September 30, 2019, saying it now expects revenue for the quarter to be approximately $114 million. Earnings per share for the quarter, assuming dilution, is expected to be a loss of approximately $0.96. Non-GAAP earnings per share for the quarter, assuming dilution, is expected to be a loss of approximately $0.06.

ADTRAN Chief Executive Officer Tom Stanton stated, “Our revenue this quarter has been significantly impacted by a pause in shipments to a Tier 1 customer in Latin America and the continued slowdown in the spending at an international Tier 1 customer. With the exception of these two large customers, revenues generated from the rest of our business grew 20% over the previous quarter. Although we expect our Latin American customer sales to rebound, our current visibility regarding timing is limited. For the international Tier 1 customer, we expect that sales should resume with the new capital cycle in 2020.”

Our current expectation for revenue for the fourth quarter of 2019, is that it will be flat to slightly down from the third quarter. Additionally, we plan for our non-GAAP operating expenses during the fourth quarter to be approximately 10% below our second quarter non-GAAP expense rate.

Sunday, August 18, 2019

Telstra posts declining sales/profits, focuses on T22 strategy

Citing negative headwinds from nbn, Telstra last week reported total FY 2019 income of A$27.8 billion, down 3.6 percent year over year. EBITDA decreased by 21.7 percent to $8.0 billion.

Regarding the impact of the nbn, Telstra absorbed around $600 million of negative recurring EBITDA headwind in the period. Underlying EBITDA decreased approximately 4 percent excluding the in-year nbn headwind.

To date, Telstra estimates the nbn has adversely impacted EBITDA by approximately $1.7 billion since FY16, and estimates it is around 50 percent of the way through the recurring financial impact of the nbn.

Telstra CEO Andrew Penn said the company is fully committed to its T22 strategy one year in and that it is making strong progress on its implementation.

“FY19 has been a pivotal year for Telstra. Notwithstanding the intense competitive environment and the challenging structural dynamics of our industry, it is a year in which I believe we can start to see the turning point in the fortunes of the company from the changes we have embraced,” Mr Penn said. “We completed our strategic investment program announced in 2016 to digitise our business and create the networks for the future, delivering over $500 million of EBITDA benefits. We passed the halfway mark of customers migrating onto the nbn network. We launched 5G, the next generation of telco technology and the platform for future growth for us and our customers. And at the start of the year we commenced our T22 strategy, where we have made very significant progress."

Telstra said it has removed  $456 million in underlying costs in the year.

"This means we have achieved $1.17 billion in reductions since FY16 and we are on track to achieve our $2.5 billion net cost reduction target by FY22," Mr Penn said. “Our cost out drivers have included simplification and digitization and this has led to reductions in direct and indirect labour costs as well as non-labour related costs. Examples include 900,000 fewer truck rolls over the year enabling us to reduce our fleet vehicles by 14 percent, and we have also reduced our property footprint by 8 percent."




Some highlights:

  • Telstra Consumer and Small Business - income decreased by 1.6 percent to $14,271 million, largely impacted by a 6.3 percent decline in fixed as a result of ongoing standalone fixed voice decline. Mobile services revenue decreased by 2.3 percent as declining Average Revenue Per User (ARPU) offset customer net additions. Network Applications and Services (NAS) revenue continued to grow, increasing by 13.9 percent, primarily driven by growth in unified communications.
  • Mobile broadband revenue decreased by 14.0 percent to $673 million after a decline in ARPU and reduction of 266,000 customer services in postpaid and prepaid. IoT revenue grew by 19.4 percent to $203 million, increasing customer services by 561,000 due to the introduction of new IoT products
  •  Telstra now serves a a total of 2,605,000 nbn connections, an increase of 659,000. nbn market share is now 49 percent (excluding satellite)
  • Telstra Enterprise - income increased by 0.3 percent to $8,243 million as growth in international offset a decline in domestic. Telstra Enterprise domestic income decreased by 2.1 percent as growth in NAS and mobility was offset by industry ARPU decline in Data & IP and ongoing decline in ISDN. Telstra Enterprise international income grew by 9.0 percent mainly due to growth in higher-margin Data & IP and a positive impact from the depreciation of the Australian dollar (AUD).
  • Networks and IT  - responsible for the overall planning, design, engineering architecture and construction of Telstra networks, technology and information technology solutions. It primarily supports the revenue-generating activities of other segments. Networks and IT income decreased by 6.7 percent to $70 million.
  • Telstra InfraCo - income excluding internal access charges decreased by 6.3 percent to $3,057 million due to expected declines from Telstra Wholesale fixed legacy and nbn commercial works, partly offset by increased recurring nbn DA receipts. Including internal access charges, income increased by 51.6 per cent to $4,948 million. Internal access charges were recognised from 1 July 2018 following the establishment of Telstra InfraCo as a standalone business unit, therefore there were no access charges in FY18.
  • Telstra InfraCo is now fully operational as a standalone infrastructure business unit within Telstra. Telstra InfraCo controls assets with a book value of around $11 billion and is responsible for key network assets including data centres and exchanges, most of the fibre network, the copper and hybrid fibre coaxial networks, international subsea cables, poles, ducts and pipes.

Wednesday, July 24, 2019

AT&T says its 5G rollout is on track

AT&T reported Q2 2019 consolidated revenues of $45.0 billion and adjusted EPS of $0.89 compared to $0.91 in the year-ago quarter. The company raised its free cash flow guidance to $28 billion range and reaffirmed its financial guidance for the rest of the year.

Declines in revenues from legacy wireline services, Vrio, domestic video and wireless equipment were more than offset by the addition of WarnerMedia and growth in domestic wireless services, strategic and managed business services, IP broadband and Xandr.

Net debt has been reduced by $18 billion over the past 12 months and now stands at about $150 billion.

AT&T says it is on track for nationwide 5G coverage by mid-2020.

“We’re halfway through the year and on track to deliver on all our 2019 priorities,” said Randall Stephenson, AT&T chairman and CEO. “We continue to pay down debt and are more confident than ever that we’ll meet our yearend deleveraging goal, and we’ll take a look at buying back stock.  Our FirstNet build is not only running ahead of schedule – it’s become a driver of our wireless network leadership in speed, reliability and network performance. It also sets us up to have nationwide commercially available 5G coverage in the first half of 2020."


Highlights:


  • In Mobility, service revenues were up 2.4%. There were 355,000 phone net adds, including 144,000 postpaid smartphone net adds and 72,000 postpaid phone net adds. There were 341,000 prepaid net adds of which 283,000 were phones.
  • For the Entertainment Group, there was a 2.6% operating income growth with solid video and broadband ARPU gains. AT&T now has 21.6 million premium TV subscribers, with a 778,000 net loss during the quarter. There are now 1.3 million DIRECTV NOW subscribers, with a 168,000 net loss in Q2.  AT&T TV, company’s new thin client video service, is expected to begin trials in the third quarter.
  • IP broadband revenue growth was 6.5% with 318,000 AT&T Fiber gains. AT&T now has nearly 14 million customer locations passed with fiber, and 22 million when business locations are included.

https://investors.att.com/

Wednesday, July 17, 2019

ADTRAN reports Q2 sales of $156.4 million, up 22% yoy

ADTRAN reported preliminary revenue of $156.4 million for Q2 2019, compared to $128.0 million for the second quarter of 2018. Net income is estimated to be $5.1 million compared to a net loss of $7.7 million for the second quarter of 2018. Earnings per share, assuming dilution, is estimated to be $0.11 compared to a loss per share of $0.16 for the second quarter of 2018. Non-GAAP net income is estimated to be $6.9 million compared to a net loss of $4.6 million for the second quarter of 2018. Non-GAAP earnings per share, assuming dilution, is estimated to be $0.14 compared to a loss per share of $0.10 for the second quarter of 2018.

ADTRAN Chairman and Chief Executive Officer Tom Stanton stated, “We are pleased with our continued progress and solid performance for the second quarter of 2019. Revenue for the quarter grew 22% year-over-year and 9% over the previous quarter. Our execution continues to be strong across North America, LATAM, EMEA, and the Pacific Rim with diverse and well-balanced material revenue contributions from each of these regions. This sustained progress underscores the Company’s global impact as we help our customers build their best networks.”

ADTRAN's Board of Directors also declared a cash dividend for the second quarter of 2019 of $0.09 per common share to be paid to holders of record at the close of business on August 1, 2019.

Thursday, February 14, 2019

Arista posts Q4 sales of $596 million, up 27% YoY

Arista Networks reported fevenue of $595.7 million for Q4 2018, an increase of 5.8% compared to the third quarter of 2018, and an increase of 27.3% from the fourth quarter of 2017. GAAP gross margin was 62.9%, compared to GAAP gross margin of 64.2% in the third quarter of 2018 and 65.7% in the fourth quarter of 2017. GAAP net income was $170.3 million, or $2.10 per diluted share, compared to GAAP net income of $103.8 million, or $1.29 per diluted share, in the fourth quarter of 2017. Non-GAAP net income was $182.2 million, or $2.25 per diluted share, compared to non-GAAP net income of $137.3 million, or $1.71 per diluted share, in the fourth quarter of 2017.

"We are pleased with our solid 2018 financial performance and continued momentum across cloud titan and enterprise verticals. Arista is earning a strategic role with customers deploying transformative cloud networking,” stated Jayshree Ullal, Arista President and CEO.

Supermicro sales exceed guidance

Super Micro Computer, which supplies server and storage solutions, expects to report the following financial results for the quarter ended December 31, 2018:


  • Net sales in a range of $915 million to $925 million compared to its previous guidance range of $830 million to $890 million
  • GAAP and non-GAAP gross margin in the range of 13.9% to 14.1%
  • GAAP fully diluted earnings per share in the range of $0.25 to $0.30; non-GAAP fully diluted earnings per share in the range of $0.57 to $0.61
  • Cash flow from operations of $42 million and capital expenditures of $4 million
  • GAAP gross margin for the fiscal second quarter of 2019 that the Xompany expects to report is in the range of 13.9% to 14.1% and GAAP fully diluted earnings per share is in the range of $0.25 to $0.30.

Wednesday, February 13, 2019

Equinix sees record bookings for its 200 global data centers

Equinix reported 2018 annual revenues of $5.072 billion, an increase of 16% year-over-year; 9% growth on a normalized and constant currency basis. Net income amounted to $365 million, a 57% increase over the previous year.

Some highlights:
  • Achieved record global gross and net bookings in the 4th quarter
  • Equinix has 36 expansion projects underway and has entered Hamburg, Muscat and Seoul as new markets
  • Strong bookings across all three regions (Americas, EMEA and Asia-Pacific) in Q4 with record EMEA bookings, and the second-best booking performance to date in the Americas and Asia-Pacific regions. 
  • Equinix bookings this quarter spanned across more than 3,000 customers, with a quarter of those customers buying across multiple metros.
  • Enterprises continue to leverage Equinix's highly distributed and cloud-enabled global platform to locate their infrastructure closer to the interconnected digital edge. 
  • In Q4, 60% of total recurring revenues came from customers deployed across all three regions, and 86% of total recurring revenues came from customers deployed across multiple metros. 
  • Interconnection revenues continued to outpace colocation revenues in Q4, growing 10% year-over-year on an as-reported basis and 12% on a normalized and constant currency basis




http://investor.equinix.com

Tuesday, February 12, 2019

Twilio posts Q4 revenue of $204.3 million, up 77%

Twilio, which operates a cloud communications platform,  reported revenue of $204.3 million for the fourth quarter of 2018, up 77% from the fourth quarter of 2017 and 21% sequentially from the third quarter of 2018. GAAP loss from operations of $44.0 million for the quarter. GAAP net loss per share attributable to common stockholders, basic and diluted, was $0.47 based on 99.4 million weighted average shares outstanding in the fourth quarter of 2018, compared with GAAP net loss per share attributable to common stockholders, basic and diluted, of $0.20 based on 93.2 million weighted average shares outstanding in the fourth quarter of 2017. Non-GAAP net income per share attributable to common stockholders, diluted, was $0.04 based on 110.6 million non-GAAP weighted average shares outstanding in the fourth quarter of 2018.

"The power of our platform model was evident in our results once again, as Q4’s exceptional results capped off an incredible 2018,” said Jeff Lawson, Twilio’s Co-Founder and Chief Executive Officer. “We are excited to add email to our platform through the acquisition of SendGrid and look forward to helping our customers drive their customer engagement strategies across all of the important communication channels - voice, messaging, video, and, now email.”

Key metrics

  • 64,286 Active Customer Accounts as of December 31, 2018, compared to 48,979 Active Customer Accounts as of December 31, 2017.
  • Dollar-Based Net Expansion Rate was 147% for the fourth quarter of 2018, compared to 118% for the fourth quarter of 2017.
  • 1,440 employees as of December 31, 2018.
  • Closed the acquisition of SendGrid, the leading email API platform

Wednesday, February 6, 2019

Marvell warns on Q4 citing weaker cloud capital spending

Marvell Technology Group updated its financial guidance for its fourth quarter of fiscal 2019, which ended on February 2, 2019. The company now expects its fourth-quarter fiscal 2019 preliminary unaudited revenue to be in the range of $735 million to $745 million, below its previously announced guidance range of $790 million to $830 million.

Marvell said the majority of its fourth-quarter revenue shortfall was due to a weaker than expected storage controller business. The company believes demand for its products was impacted primarily by macroeconomic uncertainty, reduction in cloud capital spending and PC CPU shortages. The exception was embedded processors for networking and 4G & pre-5G wireless infrastructure which met expectations.

The company expects the weakness in demand that it saw in the fourth quarter of fiscal 2019 to continue in the first quarter of fiscal 2020.

"Although we are disappointed with our fourth quarter revenue, we continued to run the business efficiently under difficult end market conditions and are satisfied with gross margin execution and operating expense management," said Matt Murphy, President and CEO. "We are optimistic that demand will begin to improve later this year, as inventory levels adjust in customer's supply chains, and capital spending picks up. While we will prudently manage our operating expenses to reflect this softer demand environment, we remain committed to the key initiatives that we outlined at our Investor Day and are on track to launch our 5G base station products later this fiscal year. We have conviction in our strategy to drive long-term growth and we remain focused on execution."

Tuesday, January 29, 2019

Verizon looks to 5G transformational change

Verizon posted flat overall sales for the last quarter of 2018, continued growth in retail postpaid net mobile customer lines, continued growth in FiOS services, and a steeper loss in its media business. For 2019, the big hope is on 5G. The company's guidance is for overall revenue (GAAP) to remain a low single digit.

"Verizon finished 2018 by delivering solid financial and operational performance, as evidenced by our strong wireless service revenue and earnings growth," said CEO Hans Vestberg. "2018 was a remarkable year full of 5G firsts, including being first in the world to commercially deploy 5G with our 5G Home product. As we head into 2019 and the 5G era, we're beginning a period of transformational change. We are laser focused on delivering customers a best-in-class and game-changing experience on our networks."

Verizon reported Q4 2018 revenue $34.3 billion, up 1.0 percent from fourth-quarter 2017.  EPS for the quarter was 47 cents, compared with $4.56 in fourth-quarter 2017.

Some highlights:



Wireless results

  • Verizon reported 1.2 million retail postpaid net additions in fourth-quarter 2018, consisting of 653,000 phone net additions, 11,000 tablet additions and 556,000 other connected devices, primarily wearables. Postpaid smartphone net additions were 873,000, compared with 647,000 in fourth-quarter 2017, a 34.9 percent increase.
  • Verizon reported full-year 2018 postpaid net additions of 2.5 million, consisting of phone net additions of 1.1 million, tablet losses of 181,000 and 1.6 million other connected device additions. Postpaid smartphone net additions for full-year 2018 were 2 million, up 13 percent year over year.
  • Total revenues were $24.4 billion, an increase of 2.7 percent year over year. For full-year 2018, operating revenues totaled $91.7 billion, an increase of 4.8 percent year over year. Excluding the impact of the revenue recognition standard, total revenues grew 2.1 percent year over year in fourth-quarter 2018 and 4.4 percent for the full year, compared with 2017, to $24.3 billion and $91.3 billion, respectively.
  • Service revenues increased 0.1 percent in fourth-quarter 2018, driven by ongoing customer growth, step-ups to unlimited plans and the benefits of customers customizing their experience through mix-and-match plans. Full-year service revenues decreased 0.2 percent year over year. Excluding the impact of the revenue recognition standard, service revenues increased 1.9 percent in fourth-quarter 2018 and 1.7 percent for the full year, on a year over year basis.
  • Total retail postpaid churn was 1.08 percent in fourth-quarter 2018, and retail postpaid phone churn was 0.82 percent.
  • Segment EBITDA (non-GAAP) totaled $10.4 billion in fourth-quarter 2018, an increase of 9.7 percent year over year. Excluding the impact of the revenue recognition standard, segment EBITDA totaled $9.8 billion in fourth-quarter 2018. Segment EBITDA margin on total revenues (non-GAAP) was 42.5 percent. Excluding the impact of the revenue recognition standard, segment EBITDA margin was 40.5 percent. For the full year, segment EBITDA margin was 46.4 percent in 2018, compared with 44.1 percent in 2017.

Wireline results

  • Total wireline revenues decreased 3.2 percent year over year in fourth-quarter 2018 and 3.0 percent for the full year, compared with 2017, to $7.4 billion and $29.8 billion, respectively.
  • Total Fios revenues grew 2.5 percent year over year, excluding the impact of the revenue recognition standard. In fourth-quarter 2018, Verizon added a net of 54,000 Fios Internet connections and lost a net of 46,000 Fios Video connections, continuing to reflect the shift from traditional linear video to over-the-top offerings. At year-end 2018, Verizon had 6.1 million Fios Internet connections and 4.5 million Fios Video connections.
  • Wireline operating loss was $273 million in fourth-quarter 2018, and segment operating loss margin was 3.7 percent. Full-year 2018 segment operating loss was $273 million, and segment operating loss margin was 0.9 percent.
  • Segment EBITDA (non-GAAP) was $1.3 billion in fourth-quarter 2018. Excluding the impact of the revenue recognition standard, segment EBITDA was $1.2 billion. Segment EBITDA margin (non-GAAP) was 17.6 percent in fourth-quarter 2018, compared with 20.9 percent in fourth-quarter 2017. Excluding the impact of the revenue recognition standard, segment EBITDA margin was 16.9 percent. For the full year, segment EBITDA margin was 19.9 percent in 2018, compared with 21.1 percent in 2017.


Thursday, December 13, 2018

Ciena hits Q4 revenue $899.4 million, up 21% YoY

Ciena reported revenue of $899.4 million for its fiscal fourth quarter ended October 31, 2018, up 20.8% year over year. Q4 net income per share was $0.34 GAAP, or $0.53 adjusted (non-GAAP).

For fiscal year 2018, Ciena reported revenue of $3.09 billion, as compared to $2.80 billion for fiscal year 2017.
“We achieved outstanding financial results in our fourth quarter and fiscal 2018 due to continued execution of our proven strategy," said Gary B. Smith, president and CEO, Ciena. "The combination of our innovation strength, successful interception of market trends and sustained ability to take share and outperform the market, along with a thriving industry environment, gives us tremendous confidence in both the near and longer term outlook for our business.”

Some highlights:

  • North America represented 61.7% of overall revenue
  • Europe, Middle East and Africa represented 13.7% of overall revenue
  • Caribbean and Latin America represented 5.9% of overall revenue
  • Asia Pacific represented 18.7% of overall revenue
  • Three 10%-plus customers represented a total of 33.1% of revenue
  • Cash and investments totaled $953.4 million
  • Cash flow from operations totaled $68.0 million
  • Average days' sales outstanding (DSOs) were 79
  • Headcount totaled 6,013




https://investor.ciena.com/news/press-release-details/2018/Ciena-Reports-Fiscal-Fourth-Quarter-2018-and-Year-End-Financial-Results/default.aspx

Monday, December 3, 2018

Arlo cuts guidance after missing product launch

Arlo Technologies, the wireless networking company that spun out of Netgear earlier this year, trimmed its business outlook and guidance for the fourth quarter of 2018 .

The company cited delays in shipping its new flagship wire-free security camera system, Arlo Ultra, which had been expected to hit the market in late November 2018. However, Arlo discovered a quality issue with the battery from one of its suppliers, leading to a delay in shipments. The company now anticipates that Ultra will begin global commercial distribution in January of 2019.

“While we are disappointed to delay sales of our exciting new product, Ultra, customer satisfaction is our number one priority and we took action to ensure we continue to bring the best products to the market. Arlo is a leader in the market not only because of our incredible product feature set and ease-of-use, but also our quality and reliability,” said Matthew McRae, Chief Executive Officer of Arlo Technologies, Inc.

Thursday, August 30, 2018

Ciena posts strong quarter as revenue rises to $818.8m

Ciena reported revenue of $818.8 million for its fiscal third quarter 2018,  as compared to $728.7 million for the fiscal third quarter 2017.

Ciena's GAAP net income for the fiscal third quarter 2018 was $50.8 million, or $0.34 per diluted common share, which compares to a GAAP net income of $60.0 million, or $0.39 per diluted common share, for the fiscal third quarter 2017.

Ciena's adjusted (non-GAAP) net income for the fiscal third quarter 2018 was $74.3 million, or $0.48 per diluted common share, which compares to an adjusted (non-GAAP) net income of $56.4 million, or $0.35 per diluted common share, for the fiscal third quarter 2017.

"The combination of continued execution against our strategy and robust, broad-based customer demand resulted in outstanding fiscal third quarter performance," said Gary B. Smith, president and CEO of Ciena. "With our diversification, global scale and innovation leadership, we remain confident in our business model and our ability to achieve our three-year financial targets.”

Some highlights:

  • U.S. customers contributed 57.3% of total revenue
  • Three customers accounted for greater than 10% of revenue and represented 33% of total revenue
  • 37% of revenue comes from non-telco customers; In Q3, three of the top ten revenue accounts were webscale customers, including one that exceeded 10% of total quarterly sales – a first for Ciena.
  • Secured wins with tier one global service providers – many of whom are new to Ciena – including Deutsche Telekom in support of its international wholesale business entity. The project includes a Europe-wide network deployment leveraging our WaveLogic technology.
  • APAC sales were up nearly 50%, with India once again contributing greater than 10% of global revenue. India grew 100% year-over-year, and Japan doubled in the same period. Australia also remained a strong contributor to quarterly results.
  • The subsea segment was up 23% year-over-year, largely driven webscale company demand. Ciena noted several new and significant wins in Q3, including four new logos, and Ciena was selected as the preferred vendor for two large consortia cables.
  • The Networking Platforms business was up more than 14% year-over-year.
  • Adjusted gross margin was 43.4%
  • Headcount totaled 5,889
https://investor.ciena.com/events-and-presentations/default.aspx




At this

Wednesday, August 8, 2018

Equinix now has an 82% utilization rate across its global data centers

Equinix reported quarterly revenue of $1.262 billion, up 18% year-over-year or up 9% yoy on a normalized and constant currency basis. Net income amounted to $68 million and adjusted EBITDA was $604 million, with a 48% adjusted EBITDA margin.

Peter Van Camp, Executive Chairman and Interim CEO and President, Equinix: “Equinix delivered another strong quarter with record bookings across all three regions and virtually all key operating metrics showing solid momentum in our go-to-market engine and interconnection strategy. Our unique global platform of 200 data centers, and the customer ecosystems within them, remain at the heart of our strategy, as evidenced by strong cross-regional sales and healthy interconnection activity in Q2."

Some highlights for the quarter:

  • Interconnection revenue continued to outpace colocation revenue, reflecting the rapid adoption of hybrid, multicloud as the preferred IT deployment model
  • Cross connects between customers increased to more than 288,000
  • The Equinix Cloud Exchange Fabric platform now serves more than 1,200 customers. 
  • Completed expansions in the Amsterdam, Denver and London metros
  • Achieved a utilization rate of 82% across the platform
  • There is an active pipeline of 32 expansion projects currently underway, including a partnership with Omantel
  • Key customer wins and expansions included China Mobile, Lithia Motors and Tencent
  • Customer deployments across multiple metros increased to 85% of total recurring revenue.

Monday, August 6, 2018

Acacia is cautiously optimistic with recent lifting of ZTE ban

On August 2, Acacia Communications reported Q2 revenue of $65.0 million, a decrease of 18% year-over-year. The GAAP gross margin was 38.8%; and there was a GAAP net loss of $3.2 million. Non-GAAP net loss amounted to $3.2 million.

“During the second quarter, we stayed focused on execution, particularly around new product development and revenue diversification,” said Raj Shanmugaraj, President and Chief Executive Officer of Acacia Communications. “We are pleased with the ramp of our newer products and the revenue growth opportunities we are seeing in the second half of 2018 over the first half.  As we continue to execute on our strategic vision, we believe we are well positioned with our differentiated product portfolio to further diversify our customer and revenue base and benefit from growth in the overall coherent market.”

“Our second quarter results were in-line with our expectations, despite being negatively impacted by the imposition of the ZTE denial order in April,” said John Gavin, Chief Financial Officer of Acacia Communications. “As a result of our ongoing focus on operational efficiencies, we were able to further strengthen our balance sheet while continuing to fund our core strategic projects. Additionally, with the recent lifting of the ZTE ban, we are cautiously optimistic that our re-engagement with ZTE will become more ordinary course over the next few quarters.”

http://ir.acacia-inc.com/news-releases/news-release-details/acacia-communications-reports-second-quarter-2018-results




Tuesday, July 31, 2018

Huawei's first half sales were up 15%

Huawei reported revene of CNY 325.7 billion (US$47.80 billion), an increase of 15% over the same period last year. The company's operating margin in 2018 H1 was 14%.

In its carrier business, Huawei said it continues to focus on end-to-end 5G solutions, driving the continuous evolution of LTE – as well as Intent-Driven Networks, cloud data centers, etc.

In its enterprise business, Huawei remains committed to building integrated, innovative, and open digital platforms for its customers. The company said its focus is on cloud computing, IoT, artificial intelligence (AI), and big data.

In its consumer business, Huawei has maintained a tight focus on technological innovation, including its P20 series smartphones, its GPU Turbo graphics processing acceleration, and its MateBook X Pro notebooks.

In the cloud domain, Huawei has picked up the pace of its innovation in cloud infrastructure. Two major focuses include providing stable, reliable, secure, trusted, and sustainable cloud services for customers, and building an AI platform that is affordable, intuitive, and secure for all users.

MACOM's quarterly sales drop to $137.9m

MACOM Technology Solutions, which supplies high-performance RF, microwave, millimeterwave and lightwave semiconductor products, reported revenue of $137.9 million for its 3rd fiscal quarter, a decrease of 29.1% compared to $194.6 million in the previous year fiscal third quarter and a decrease of 8.3% compared to $150.4 million in the prior fiscal quarter. Fiscal third quarter revenue included $0.4 million compared to $12.4 million in the fiscal second quarter from the LR4 subassembly business divested on May 10, 2018.

Gross profit was $48.2 million, a decrease of 48.0% compared to $92.6 million in the previous year fiscal third quarter and a decrease of 26.6% compared to $65.6 million in the prior fiscal quarter. The net loss from continuing operations was $85.2 million, or $1.31 loss per diluted share, compared to net loss from continuing operations of $14.0 million, or $0.22 loss per diluted share, in the previous year fiscal third quarter and net loss from continuing operations of $15.5 million, or $0.50 loss per diluted share, in the prior fiscal quarter.

"Overall the quarter played out largely as expected," commented John Croteau, President and CEO of MACOM. "We made tangible progress in yield improvements for our 25G lasers and are now starting to execute a controlled ramp, scaling into high volume production. Based on our expected higher production volumes of 25G lasers, we added a new white-box transceiver customer, thereby launching our Data Center solutions business model. This business model provides dedicated transceiver manufacturing capacity and a ready-made supply chain to the end markets, and for MACOM, a dedicated customer which we anticipate will consume our Data Center semiconductor components as we scale production in the second half of calendar 2018. With increasing availability of our lasers, we believe that we are well positioned to step and repeat, scaling our solutions business model by enabling multiple, high-volume manufacturing customers to begin production ramps to meet industry demand over the course of the coming quarters.

Monday, July 2, 2018

Dell plots return to public market, VMware to pay $11 billion dividend

Dell Technologies will return to the public equity market by offering a new class of publicly listed common stock in exchange for existing Dell Technologies Class V tracking stock. The Class V stockholders will have the option to elect $109 in cash consideration per Class V share, up to $9 billion in aggregate, which represents a 29% premium to the Class V closing share price immediately prior to announcement.

As part of the plan, the Board of Directors of VMware announced an $11 billion one-time special dividend pro-rata to all VMware stockholders.

Michael Dell, who currently owns 72% of Dell Technologies common shares, stated: “I am proud to lead this great company into its next chapter as we continue to evolve and grow to the benefit of our customers, partners, investors and team members. Unprecedented data growth is fueling the digital era of IT, and we are uniquely positioned with our portfolio of technologies and services to enable the digital, IT, security and workforce transformations of our customers. Most importantly, I remain deeply committed to this company and working with our world-class team to build the long-term value of Dell Technologies and its businesses.”

Pat Gelsinger, chief executive officer, VMware commented, “We are pleased to be in a position to return capital to stockholders through this one-time special dividend, which is the result of the exceptional performance of our business and our broad-based portfolio’s strong cash flow generation. We remain laser focused on our strategy to deliver innovative software that drives customer success as a strategic and growing independent entity.”

Regarding VMware's status, Michael Dell, who is chairman of the VMware Board as well as the Dell Board, stated: “VMware has thrived as part of the Dell Technologies family and has seen tremendous traction and strategic relevance with all customers, resulting in significant revenue growth and financial performance. After the transaction concludes, I am looking forward to VMware’s continued independent status, strategy and capital allocation policy for organic investment, M&A and shareholder returns."

https://www.vmware.com/company/news/releases/vmw-newsfeed.VMware-Announces-One-Time-Special-Dividend-to-Stockholders.2205706.html

Thursday, May 24, 2018

Nutanix posts revenue of $289.4 million, up 41%


Nutanix reported revenue of $289.4 million for its third quarter of fiscal 2018, ended April 30, 2018, up 41% year-over-year, and reflecting the elimination of approximately $52 million in pass-through hardware revenue in the quarter as the company executes its shift toward increasing software revenue.


GAAP gross margin was 67.0%, up from 59.5% in the third quarter of fiscal 2017.  GAAP net loss was $85.7 million, compared to a GAAP net loss of $96.8 million in the third quarter of fiscal 2017. Non-GAAP net loss amounted to $34.6 million, compared to a non-GAAP net loss of $45.7 million in the third quarter of fiscal 2017.

“Demand for our solutions remains strong as we saw 67 percent growth in software and support billings and 55 percent growth in software and support revenue. We had strong success in our hiring in the quarter that positions us to deliver on our future growth plans, as we outlined at our March Investor Day,” said Duston Williams, CFO of Nutanix. “The continued growth in our software and support billings and gross margin expansion in the quarter demonstrates we are successfully executing on our transition to a software-defined business model.”

Some highlights:


  • During the quarter, Nutanix grew software and support billings by 67 percent year-over-year, including three software and support deals worth more than $5 million each. Pass-through hardware billings decreased to 17 percent of total billings in the quarter, down from 25 percent in the year-ago quarter.
  • Improved AHV Penetration: Grew adoption of AHV, the company’s built-in hypervisor, to 33%, based on a four-quarter rolling average of nodes using AHV as a percentage of NX nodes sold.
  • Nutanix ended the third quarter of fiscal 2018 with 9,690 end-customers, adding 820 new end-customers during the quarter and growing deals greater than $1 million by 28 percent year-over-year.


Monday, May 21, 2018

Pure Storage hits quarterly revenue of $255.9 million, up 40% yoy

Pure Storage posted revenue of $255.9 million for its quarter ended April 30, 2018., up 40% yoy, exceeding the high end of previously issued guidance. The was a GAAP operating loss of $61.9 million, compared to a loss of $58.2 million in the same period a year ago.

"Pure has delivered another strong quarter as we lead the industry in delivering new data-centric architectures that enable enterprises to succeed both today and tomorrow," said Pure Storage CEO Charles Giancarlo. "The combination of our innovative business model, first-to-market technology innovations, and focus on customer success drove continued momentum in Q1."

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