NetApp: Fiscal 3Q08 Financial Results

(in US$ millions)	3Q07	3Q08	9mo 07	9mo 08
Revenues	279	884	2,003	2,365
*Growth*		+17%		*+18%*
Net income (loss)	66.5	101.8	208.1	219.9

NetApp reported results for the third quarter of fiscal year
2008. Revenues for the third fiscal quarter were $884.0 million, an
increase of 21% compared to revenues of $729.3 million for the same
period a year ago and an increase of 12% compared to $792.2 million in
the prior quarter.

For the third fiscal quarter, GAAP net income was $101.8 million, or
$0.29 per share compared to GAAP net income of
$66.5 million, or $0.17 per share for the same period in the prior year.
Non-GAAP net income for the third fiscal
quarter was $131.7 million, or $0.37 per share, compared to non-GAAP net
income of $111.1 million, or $0.29 per share for the same period a year
ago.

Revenues for the first nine months of the current fiscal year totaled
$2.4 billion, compared to revenues of $2.0 billion for the first nine
months of the prior fiscal year, an increase of 18% year over year.

GAAP net income for the first nine months of the current fiscal year
totaled $219.9 million, or $0.60 per share, compared to GAAP net income
of $208.1 million, or $0.53 per share for the first nine months of the
prior fiscal year. Non-GAAP net income for the first nine months of the
current fiscal year totaled $324.1 million, or $0.89 per share, compared
to non-GAAP net income of $316.5 million, or $0.81 per share for the
first nine months of the prior fiscal year.

“By providing customers with the best value in
the industry, NetApp again achieved record financial results this
quarter,” said Dan Warmenhoven, chief
executive officer. “Through our efforts to
increase our field coverage, expand our product portfolio and diversify
our revenue streams, NetApp continues to grow significantly faster than
the markets we serve.”

Outlook

NetApp expects revenue for the fourth quarter of fiscal year 2008 to
be between $915.0 million and $945.0 million, with year-over-year
growth of approximately 14% to 18% and sequential growth of
approximately 3.5% to 7%.
Including the effect of SFAS123(R) and with current information and
assumptions, the company estimates that the fourth quarter fiscal year
2008 GAAP earnings per share will be approximately $0.23 to $0.25 per
share.
NetApp expects fourth quarter fiscal year 2008 non-GAAP earnings per
share to be approximately $0.35 to $0.37 per share.

NetApp