Investors Selling NetApp (NTAP) Shares as Q2 Solid, Outlook Weak
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Price: $192.27 -0.28%
Revenue Growth %: +17.3%
Financial Fact:
Cost of product: 376M
Today's EPS Names:
BTTX, VAXX, ELYS, More
Revenue Growth %: +17.3%
Financial Fact:
Cost of product: 376M
Today's EPS Names:
BTTX, VAXX, ELYS, More
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NetApp (NASDAQ: NTAP) reported Wednesday afternoon results for the second quarter of fiscal year 2012, which ended October 28, 2011. The stock is down about 6.5 percent in the after-hours session.
Revenue for the quarter totaled $1.507 billion, compared to sales of $1.251 billion for the same period one year ago, a 20 percent increase. The analyst consensus for the quarter was $1.53 billion in sales.
Total cost of products sold was $460.7 million, representing a 42 percent increase from last year. The total cost of revenue rose 36.7 percent year over year.
GAAP net income was $165.6 million, or $0.44 per share, compared to GAAP net income of $175.4 million, or $0.45 per share, for the year-ago period. Non-GAAP net income was $235.5 million, or $0.63 per share, compared to non-GAAP net income of $212.2 million, or $0.54 per share, for the same period a year ago. The earnings consensus for the quarter was $0.59 per share.
For next quarter, NetApp estimates revenue of $1.520 billion to $1.610 billion, which equates to approximately 18-25 percent year-over-year revenue growth. The revenue consensus for the third quarter is $1.64 billion.
The company forecasts GAAP earnings per share of $0.36-$0.40, and non-GAAP earnings per share of $0.56-$0.60 for the third quarter of 2012. The earnings consensus for the quarter is $0.63.
"NetApp produced record non-GAAP earnings per share in the second quarter. In aggregate, we saw strong revenue growth across most areas of our business, offset by some unexpected weakness in a handful of our largest accounts," said Tom Georgens, president and CEO. "NetApp achieved the highest number of net new customer wins in more than two and a half years this quarter, and in our 'Smart Decisions are Built on NetApp' campaign we just launched the new FAS2000 series platform built on our Data ONTAP 8.1 operating system-all of which will drive market share gains going forward."
Revenue for the quarter totaled $1.507 billion, compared to sales of $1.251 billion for the same period one year ago, a 20 percent increase. The analyst consensus for the quarter was $1.53 billion in sales.
Total cost of products sold was $460.7 million, representing a 42 percent increase from last year. The total cost of revenue rose 36.7 percent year over year.
GAAP net income was $165.6 million, or $0.44 per share, compared to GAAP net income of $175.4 million, or $0.45 per share, for the year-ago period. Non-GAAP net income was $235.5 million, or $0.63 per share, compared to non-GAAP net income of $212.2 million, or $0.54 per share, for the same period a year ago. The earnings consensus for the quarter was $0.59 per share.
For next quarter, NetApp estimates revenue of $1.520 billion to $1.610 billion, which equates to approximately 18-25 percent year-over-year revenue growth. The revenue consensus for the third quarter is $1.64 billion.
The company forecasts GAAP earnings per share of $0.36-$0.40, and non-GAAP earnings per share of $0.56-$0.60 for the third quarter of 2012. The earnings consensus for the quarter is $0.63.
"NetApp produced record non-GAAP earnings per share in the second quarter. In aggregate, we saw strong revenue growth across most areas of our business, offset by some unexpected weakness in a handful of our largest accounts," said Tom Georgens, president and CEO. "NetApp achieved the highest number of net new customer wins in more than two and a half years this quarter, and in our 'Smart Decisions are Built on NetApp' campaign we just launched the new FAS2000 series platform built on our Data ONTAP 8.1 operating system-all of which will drive market share gains going forward."
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