Brocade (BRCD) Beats the Street in Q4; Shares Moving Higher
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Price: $12.73 --0%
Financial Fact:
Shares used in per share calculation - basic: 426.67M
Today's EPS Names:
BTTX, VAXX, ELYS, More
Financial Fact:
Shares used in per share calculation - basic: 426.67M
Today's EPS Names:
BTTX, VAXX, ELYS, More
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Brocade (NASDAQ: BRCD) Monday reported financial results for its fourth fiscal quarter ended October 29, 2011. Shares of Brocade fell 3.45 percent on the day, but are now trading up nearly 5 percent in the after hours session.
Brocade posted revenue of $550 million, representing an increase of roughly 1 percent year-over-year and topping the consensus of $527.38 million. Revenue for Brocade's Storage business fell 4 percent year over year while its revenue from its Ethernet business rose 11 percent from the year-ago quarter.
The total cost of product revenue fell 1 percent to $179.18 million while the cost of service revenue fell slightly to $43.77 million. Gross margin for the quarter totaled $327.52 million.
Income from operations rose just over 1 percent to total $54.7 million as Brocade's net loss totaled $4.32 million.
The company reported a diluted earnings loss of $0.01 per share on a GAAP basis and diluted earnings per share of $0.16 on a non-GAAP basis. The earnings consensus was $0.10 per share for the quarter.
Brocade generated strong operating cash flow of $206 million. At the end of the quarter, the company had $414.2 million in cash and cash equivalents.
"Brocade achieved outstanding results in Q4 that were led by record revenues for our Ethernet business, fast adoption of our 16 Gbps Fibre Channel products, improvements in profitability, and a record cash flow quarter from operations," said Michael Klayko, CEO of Brocade. "These strong performances demonstrate that we are executing well on our long-term strategy. Looking at FY 12, we plan to leverage this momentum along with our highly differentiated innovation strategy, expanding product portfolio, and our strong routes to market."
The company is looking for first-quarter earnings of 12-14 cents per share on sales of $530-$550 million. The Street is currently expecting quarterly EPS of 11 cents on sales of $535.3 million.
Brocade posted revenue of $550 million, representing an increase of roughly 1 percent year-over-year and topping the consensus of $527.38 million. Revenue for Brocade's Storage business fell 4 percent year over year while its revenue from its Ethernet business rose 11 percent from the year-ago quarter.
The total cost of product revenue fell 1 percent to $179.18 million while the cost of service revenue fell slightly to $43.77 million. Gross margin for the quarter totaled $327.52 million.
Income from operations rose just over 1 percent to total $54.7 million as Brocade's net loss totaled $4.32 million.
The company reported a diluted earnings loss of $0.01 per share on a GAAP basis and diluted earnings per share of $0.16 on a non-GAAP basis. The earnings consensus was $0.10 per share for the quarter.
Brocade generated strong operating cash flow of $206 million. At the end of the quarter, the company had $414.2 million in cash and cash equivalents.
"Brocade achieved outstanding results in Q4 that were led by record revenues for our Ethernet business, fast adoption of our 16 Gbps Fibre Channel products, improvements in profitability, and a record cash flow quarter from operations," said Michael Klayko, CEO of Brocade. "These strong performances demonstrate that we are executing well on our long-term strategy. Looking at FY 12, we plan to leverage this momentum along with our highly differentiated innovation strategy, expanding product portfolio, and our strong routes to market."
The company is looking for first-quarter earnings of 12-14 cents per share on sales of $530-$550 million. The Street is currently expecting quarterly EPS of 11 cents on sales of $535.3 million.
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