History (1995): Revenue and Net Down for EMC in 3FQ95

Reporting preliminary results for 3FQ95, EMC (Hopkington, MA) indicated that demand for its products is at a record level, but that pricing pressures have adversely impacted the company’s revenue and net income, which should reach $433 million and $71 million, respectively.

Both figures are less than those of 2FQ95, $435 million and $80 million, respectively.

Are EMC’s golden days over?

“We are planning for sequential growth in EMC’s revenue and net income in the fourth quarter. Going forward, EMC’s goal is to achieve an average annual growth rate of at least 25% in revenue and income in the 1996-98 period,” said president and CEO Michael Ruettgers.

“Mainframe storage prices in the quarter declined at a rate greater than the traditional rate. This is a direct result of competitor’s attempt to maintain market share through pricing in the face of delays in their new product and feature introductions,” according to EMC, which has never minced words where IBM and Storage Technology are concerned.

This article is an abstract of news published on the former paper version of Computer Data Storage Newsletter on issue 93, published on October 1995.