WD Anticipates 1Q08 Revenues Greater Than $2 billion

And globally better results than anticipated

By Jean Jacques Maleval | February 28, 2008 at 4:34 pm

WD expects revenues in the March 2008 quarter in the range of $2.0 billion to $2.075 bililon – including around $75 million in media and substrate sales – and gross margin of approximately 22% with earnings per share of between $1.05 and $1.11.

This compares with revenues of $1.4 billion, gross margin of 15.8% and earnings per share of $0.53 in the year-ago quarter.

The company reported revenue of $2.2 billion, comprised of
$2.084 billion of hard drive revenue and $120 million of revenue from
media and substrate sales for the formerly quarter ending in December 2007.

In all segments of the HDD market addressed by WD, overall demand and pricing in the March quarter are reflecting seasonality, compared with the typically stronger December quarter.