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Seagate Reports Fiscal Q1

SCOTTS VALLEY, Calif. -- Seagate Technology
(NYSE:STX) today reported disc drive unit shipments of 47 million, revenue
of $3.3 billion, GAAP net income of $355 million, and diluted net income per
share of $0.64 for the quarter ended September 28, 2007. GAAP net income and
diluted net income per share includes approximately $30 million of purchased
intangibles amortization and other charges associated with the Maxtor and
EVault acquisitions. Excluding these charges, non-GAAP net income and
diluted net income per share were $385 million and $0.69. Included in both
GAAP and non-GAAP results are restructuring charges of approximately $5
million or approximately $0.01 per share.

"Our strong performance in the quarter reflects favorable industry
conditions as well as the competitive strength of Seagate's unique platform
and commitment to innovation," said Bill Watkins, Seagate chief executive
officer. "The first fiscal quarter has historically been a strong one for
Seagate, and this year, we benefited from unit demand greater than expected.
We believe we are well positioned to continue driving year-over-year revenue
growth, and these record quarterly results demonstrate the effectiveness of
Seagate's business model."

Adjustments made to GAAP net income and diluted net income per share can be
found with the financial statements included with this press release.
Additional information relating to the financial results for the first
fiscal quarter of 2008 can be found online at seagate.com.

Business Outlook

For the December quarter, Seagate expects to report revenue of $3.4 - $3.5
billion, and GAAP diluted net income per share of $0.66 - $0.70. Excluding
approximately $26 million of purchased intangibles amortization and other
charges associated with the Maxtor and EVault acquisitions, non-GAAP diluted
net income per share for the December quarter is expected to fall within the
range of $0.71 - $0.75.

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