Feeds

Brocade results set to warm Wall Street

But what about the GAAP?

Reducing security risks from open source software

Brocade's latest set of financials exeeded analysts' expectations yesterday, sending shares in the storage firm up 8 per cent on the Q2 news in pre-Wall Street opening dealing.

Net revenue hit a record $182.7m in the three months to April 29, compared to $144.8m in Q2 2005, up 26 per cent. The bottom line fell though. Brocade brought in a GAAP profit of $13.5m, or $0.05 per share, compared with $21.4m, or $0.08 cents a share, in the same quarter a year ago.

Operating income slid from $19.4m in 2005 to $15.3m for the quarter this year. Operating expenses were up across the board, and costs associated with an internal review and an investigation by the Securities Exchange Commission further bumped up expenditure.

The non GAAP picture, which excludes a raft of expenses, was inevitably rosier. Net profit rose 38 per cent on the same period in 2005 to $26.4m. The non-GAAP net income per share figure rose from $0.07 to $0.10. The firm's results in 2005 weren't great though.

Brocade CEO Michael Klayko put a positive spin on the performance. He said: “[We] exceeded our expectations for what is historically a seasonally soft quarter.”

The big three storage acronyms accounted for a whopping 70 per cent of Brocade's record revenues. The firm supplies top-end gear to IBM, HP and EMC.

The biggest cash outlay for the quarter was for Houston-based software firm NuView, which it splurged $60m on in March.®

Mobile application security vulnerability report

More from The Register

next story
BBC goes offline in MASSIVE COCKUP: Stephen Fry partly muzzled
Auntie tight-lipped as major outage rolls on
iPad? More like iFAD: We reveal why Apple fell into IBM's arms
But never fear fanbois, you're still lapping up iPhones, Macs
Nadella: Apps must run on ALL WINDOWS – PCs, slabs and mobes
Phone egg, meet desktop chicken - your mother
HP, Microsoft prove it again: Big Business doesn't create jobs
SMEs get lip service - what they need is dinner at the Club
White? Male? You work in tech? Let us guess ... Twitter? We KNEW it!
Grim diversity numbers dumped alongside Facebook earnings
ITC: Seagate and LSI can infringe Realtek patents because Realtek isn't in the US
Land of the (get off scot) free, when it's a foreign owner
Dude, you're getting a Dell – with BITCOIN: IT giant slurps cryptocash
1. Buy PC with Bitcoin. 2. Mine more coins. 3. Goto step 1
There's NOTHING on TV in Europe – American video DOMINATES
Even France's mega subsidies don't stop US content onslaught
You! Pirate! Stop pirating, or we shall admonish you politely. Repeatedly, if necessary
And we shall go about telling people you smell. No, not really
prev story

Whitepapers

Designing a Defense for Mobile Applications
Learn about the various considerations for defending mobile applications - from the application architecture itself to the myriad testing technologies.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Reducing security risks from open source software
Follow a few strategies and your organization can gain the full benefits of open source and the cloud without compromising the security of your applications.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Consolidation: the foundation for IT and business transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.