Friday, January 12, 2018

Seagate Technology Announces Preliminary Financial Information For Q2 2018

Seagate Technology, a world leader in digital storage solutions, today announced selected preliminary financial information for its fiscal second quarter 2018, which ended on December 29, 2017. Seagate expects to report revenue of approximately $2.9 billion, and GAAP and non-GAAP gross margin of approximately 30%. The Company expects to report record exabyte shipments of approximately 88 exabytes, reflecting drive shipments of approximately 40 million and record average capacity per drive of 2.2 terabytes. 

GAAP and Non-GAAP operating expenses for the December quarter are expected to be approximately $444 million and $390 million respectively. The Company ended the quarter with approximately $2.6 billion in cash and cash equivalents. These preliminary results compare to the Company’s previous forecast for fiscal second quarter 2018 revenue growth of 3-5% sequentially, non-GAAP gross margin improvement sequentially and non-GAAP operating expenses down 2-3%. The strength in the Company’s revenue and gross margin for the quarter was driven primarily by better-than-expected demand for the Company’s HDD mass-storage solutions portfolio and operational execution.