What are you looking for ?
Infinidat
Articles_top

WD: Fiscal 4Q13 Financial Results

Revenue down 22% quarterly and up 23% yearly

 (in $ million) 4Q12  4Q13 FY12  FY13
 Revenue 4,754 3,728 12,478 15,351
 Growth    -22%    23%
 Net income (loss) 745 416  1,612 1,661

Western Digital Corp. reported revenue of $15.4 billion and net income of $1.7 billion, or $6.75 per share for fiscal year 2013, compared to fiscal 2012 revenue of $12.5 billion and net income of $1.6 billion, or $6.58 per share.

On a non-GAAP basis, fiscal 2013 net income was $2.1 billion or $8.53 per share, compared to fiscal 2012 net income of $2.1 billion or $8.61 per share.

For its fourth fiscal quarter ended June 28, 2013, the company reported revenue of $3.7 billion, hard drive shipments of 59.9 million and net income of $416 million, or $1.71 per share.

On a non-GAAP basis, net income was $477 million or $1.96 per share. In the year-ago quarter, the company reported revenue of $4.8 billion, net income of $745 million, or $2.87 per share, and shipped 71.0 million HDDs. Non-GAAP net income in the year-ago quarter was $872 million, or $3.35 per share.
 
The company generated $684 million in cash from operations during the June quarter, ending with total cash and cash equivalents of $4.3 billion. For fiscal year 2013, the company generated $3.1 billion in cash from operations and its free cash flow totaled $2.2 billion.

During the quarter, the company utilized $235 million to buy back 4.4 million shares of common stock. On May 15, the company declared a $0.25 per common share dividend, which was paid on July 15.

"I am pleased with our performance in fiscal year 2013 and the June quarter, reflecting our expanding participation in the storage market, including the cloud and personal storage as we address the ongoing growth in digital data," said Steve Milligan, president and CEO, Western Digital. "Our financial results were strong with significant free cash flow generation, we continued to forecast the market accurately and we had outstanding execution by our HGST and WD subsidiaries."

Comments

Western Digital, including HGST, keeps its ≠1 position in the HDD market in front of Seagate, both of them with bad quarter.

CEO Steve Milligan is optimistic in term of capacity demand: "We anticipate that the demand for exabytes of storage will grow by at least 34% per year through 2020, with exabytes shipped rising from 600 in 2012 to 5,900 in 2020."

CFO Wolfgang Nickl about next quarter of the company:" I will now provide our guidance for the September quarter, which does not include the estimated impact of the proposed sTec acquisition. For the September quarter, we are cautiously optimistic about a modest increase in the TAM, and we anticipate sustained strong performance within our business model. We expect a TAM of 135 million to 140 million units, up from the June quarter, primarily due to a seasonal uptick in gaming and branded products. Revenue in the range of $3.7 billion to $3.8 billion, reflecting modest price declines and a seasonal change in business mix."

To read the earnings call transcript

                   Units Shipped by Western Digital by Market
                                            (in million)

  Enterprise  Desktop Notebook  CE Branded
Exabyte
Shipped
 Average
GB/drive
ASP
1Q12
     2.4    21.6     19.6  7.1     7.1    36.7     634  $46
2Q12      1.7    11.4      9.8  2.4     3.2    16.5     578  $69
3Q12      3.6    16.0     18.1  3.6     2.9    25.7     581  $68
4Q12      7.9
   21.2     32.8  4.2     5.0    47.4     668  $65
1Q13      6.0    16.8     25.9  8.0     5.8    44.3     708  $62
2Q13      6.6    17.7     21.3  6.5     7.1    47.6     804  $62
3Q13      7.2    18.4     21.5  6.5     6.5    48.4     807  $61
4Q13      7.9    16.2     24.0  6.5     5.3    47.7     797  $60

                                 Volume and Market Share
wd_4q13

Articles_bottom
AIC
ATTO
OPEN-E