Quantum Corp. (QTM) Provides Mixed Q3 Guidance

Quantum Corp. (NYSE: QTM) announced preliminary results for the fiscal third quarter 2015 ended Dec. 31, 2014 (unless otherwise noted, all comparisons are relative to the fiscal third quarter 2014.

Total revenue was approximately $142 million, slightly below the low end of the company's October guidance range of $145 million to $150 million. (consensus is $148.4 million)

Non-GAAP net income was approximately $11 million, or $0.04 per diluted share, which was in line with the company's guidance (consensus is $0.04.)

"Our preliminary third quarter results again demonstrate the leverage in our financial model – while total revenue was slightly below our guidance, we still delivered bottom line results in line with guidance," said Jon Gacek, president and CEO of Quantum. "In fact, GAAP net income was the highest in more than five years as we continued to capitalize on the strategic improvements we've made over the last 18 months and drive further operational efficiencies throughout the business.

"We're also pleased with the growth in our branded business, which makes up an increasing percentage of our total revenue. A key driver of our branded growth is the tremendous market momentum our scale-out storage solutions continue to achieve. With year-over-year revenue increasing almost 80 percent for the quarter, scale-out storage revenue in the first three quarters of our fiscal year grew nearly 60 percent over the comparable period the year before. In addition, we had our second consecutive quarter of year-over-year growth in DXi revenue."

Quantum will provide more details on its third quarter results in its earnings announcement on Jan. 29,

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