SaaS data loss: The problem you didn’t know you had

Storage industry bellwether EMC has delivered its 21st consecutive double digit growth quarter with revenues of $3.76bn for the third quarter. These are up 13 per cent on last year's revs, which were $3.3bn. But the company is forecasting low single-digit growth next quarter.

GAAP net income for the quarter to the end of September 2008 was $411.3m, down 16.6 per cent from Q3 2007's $492.9m. Non-GAAP net income was $528m ($0.25 per share share), up 14 per cent on Q3 2007's $463.16m ($0.22 per share). The GAAP figure was boosted by a $0.10 per share tax benefit. This was more than offset by a restructuring charge for the third quarter of 2008.

RSA revenues grew 11 per cent year over year, reaching $147m. The Content Management and Archiving business didn't grow so much, Q3 2008 revenue was $188m. That was however an 0.53 per cent decline as the same quarter last year showed ECM revenue at $189m. ECM executives are probably getting more sticks than carrots over that.

VMware contributed third-quarter revenues of $472m, an increase of 33 per cent compared to last year.

EMC capo Joe Tucci was generally pleased and said of the outlook: "Even with a challenging economic environment ahead, we remain confident and well positioned to compete effectively, continue winning business and outpace our peers in the marketplace." However this looks a tad optimistic.

EMC's actual outlook for the fourth quarter of 2008 is for consolidated revenues of $4bn, up 6 per cent sequentially, and only 4.4 per cent year-on-year, as 2007's fourth quarter saw revenues of $3.83bn.

GAAP earnings per share between will be $0.23 and $0.24, and between $0.30 and $0.31 non-GAAP.

There will be no 22nd consecutive quarter of double digit growth. ®

Steps to Take Before Choosing a Business Continuity Partner