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EMC Growth Continues

While a few of its competitors stumbled last quarter, EMC Corp. (NYSE: EMC) met analysts expectations and increased revenues (see EMC Reports Q1).

EMC today reported revenue of $2.24 billion, 20 percent higher than the $1.87 billion reported for the first quarter of 2004 (see EMC Earnings Up). Net income was $270 million, or $0.11 per share, 93 percent higher than the $140 million, or $0.06 per share, reported a year ago.

Revenue decreased around 5 percent sequentially from the seasonally strong fourth quarter when EMC recorded $2.36 billion in revenue and EPS of $0.13, but EMC’s first-quarter revenue and EPS hit the consensus of analysts polled by Thomson First Call (see EMC Closes Year With a Bang). EMC also hit the middle range of its previous revenue guidance and high end of its EPS guidance.

EMC’s report shows the quarter wasn't a wash for storage, despite recent negative news from IBM Corp. (NYSE: IBM), Storage Technology Corp. (StorageTek) (NYSE: STK), and Sun Microsystems Inc. (Nasdaq: SUNW). (See Storage Spending Slips.)

Still, CEO Joe Tucci acknowledged a rough patch. “We saw a slow February, but activity picked up in March,” he said on a conference call with analysts.

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