November 2nd, 2018 by Adam Armstrong
Seagate Reports 1Q19 Earnings
Today Seagate Technology reported financial results for the quarter ended September 28, 2018. Overall the company had a fairly strong quarter, which is good news as the tech sector has been a bit sluggish as of late. It’s stock started off with a fairly sharp drop and some bouncing back and forth.
Looking at the numbers for the quarter, Seagate is reporting revenue of nearly $3 billion, up from last quarter’s $2.8 billion and up 14% from the same time last year. The company is reporting a GAAP net income of $450 million (or $1.54 diluted earning per share), an increase of 148% year over year. For non-GAAP net income, Seagate saw $496 million (or $1.70 diluted EPS) a 77% increase in year over year. Seagate is reporting gross margin of 30.5% GAAP and 31% non-GAAP and free cash flow of $410 million, up considerably form last year’s $113 million.
Seagate announced a quarterly cash dividend of $0.63 per share, which will be payable on January 2, 2019 to shareholders of record as of the close of business on December 19, 2018. The company shipped 98.8 Exabytes of storage this quarter. Seagate also announced that it would be repurchasing $2.3 billion worth of its ordinary shares. The shares will be repurchased through open market purchases, privately negotiated transactions, block trades, accelerated share repurchase transactions, or by any combination of such methods.