Feeds

Free-spending Brocade dinged in Q1

McData a McRevenue helper

Internet Security Threat Report 2014

Brocade's profits took a beating during its first fiscal quarter of 2008, as the company's legal fees and lossy investments gave revenues a once-over.

The storage switch maker's GAAP net income dropped 40 per cent to $19.8m from $33.3m in the same period last year. Brocade attributed the slump to one-time operating expenses, such as $9.66m paid in legal fee obligations to its previous employees. (Two former top executives were recently convicted of conspiring in an illegal stock option backdating scheme.) Other expenses include $2.2m from investment losses. Total operating expenses rose to $151.3m from $101.9m year-over-year.

In the theoretical non-GAAP universe where these costs never existed, net income would have been $64.2m, a 30 per cent increase from $49.4m a year ago.

Revenue jumped 55 percent to $347.85m from $224.16m year-over-year. But keep in mind any number prior to Q2 2007 doesn't include earnings from McData.

OEM sales accounted for 88 per cent of revenue for the quarter. Channel/Direct sales were 12 per cent of revenue. The company's top three customers, EMC, Hewlett-Packard, and IBM accounted for two-thirds of the total revenue.

Brocade's biggest announcement during the quarter was the DCX Backbone, a massive 8Gb/s Fibre Channel switch that the company says will be the cornerstone of its new generation of data center gear. ®

Beginner's guide to SSL certificates

More from The Register

next story
Docker's app containers are coming to Windows Server, says Microsoft
MS chases app deployment speeds already enjoyed by Linux devs
'Hmm, why CAN'T I run a water pipe through that rack of media servers?'
Leaving Las Vegas for Armenia kludging and Dubai dune bashing
'Urika': Cray unveils new 1,500-core big data crunching monster
6TB of DRAM, 38TB of SSD flash and 120TB of disk storage
Facebook slurps 'paste sites' for STOLEN passwords, sprinkles on hash and salt
Zuck's ad empire DOESN'T see details in plain text. Phew!
SDI wars: WTF is software defined infrastructure?
This time we play for ALL the marbles
Windows 10: Forget Cloudobile, put Security and Privacy First
But - dammit - It would be insane to say 'don't collect, because NSA'
Oracle hires former SAP exec for cloudy push
'We know Larry said cloud was gibberish, and insane, and idiotic, but...'
Symantec backs out of Backup Exec: Plans to can appliance in Jan
Will still provide support to existing customers
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.