January 29th, 2018 by Adam Armstrong
Seagate Reports 2Q18 Earnings
Today Seagate Technology reported its financial results for the quarter ended December 29, 2017. Overall the numbers are looking good, continuing on the path we saw in the last earnings report. For the quarter, Seagate has seen its stock climb slowly but steadily to a high it hasn’t seen since 2015.
Looking at the numbers, Seagate is reporting a revenue of $2.9 billion, up from last quarter’s $2.6 billion and up slightly from last year’s $2.89 billion. The company is reporting a GAAP gross margin of 30.1% and a non-GAAP gross margin was 30.4%. For net income, Seagate is reporting $159 million (or $0.55 diluted earnings per share) GAAP and $431 million (or $1.48 diluted earnings per share) non-GAAP. The company is also reporting $850 million in cash flow from operations and $773 million in free cash flow.
Seagate has shipped 87.5EB (exabytes) of HDDs this quarter with the average capacity per drive creeping up to 2.2TB. This trend shows that the larger capacity drives that the company makes are being adopted more and more.
Seagate will be issuing a quarterly cash dividend on April 4, 2018 to shareholders of record as of the close of business on March 21, 2018. The dividend will be $0.63 per share.