Feeds

Mellanox recovering but wheezing

Good revenue rise, smaller profit

The Essential Guide to IT Transformation

InfiniBand supplier Mellanox is making profits as the recession eases, but much less than before.

The company, like competitor Voltaire, is embracing 10gigE alongside InfiniBand, and the greater competition in the Ethernet market means it has to work harder to stay afloat.

In its fourth 2009 quarter revenues were $35.5m, a 41 per cent increase on the year-ago quarter's $25m. However, profits of $4.3m were down on the final 2008 quarter's $8m. So revenues up 41 per cent, profits down 46 per cent - it's got its work cut out.

Full year figures were less extreme; revenues were $116m, an increase of 7.7 per cent on 2008's $107.7m. Net income was $12.9m, a 42 per cent fall. Gross margins look good, at 75.6 per cent for the fourth 2009 quarter and 75.3 per cent for the year.

But a lot of things must happen to turn a gross margin level other companies would kill for into such depressing profits figures after good revenue rises. ®

The Essential Guide to IT Transformation

More from The Register

next story
Sysadmin Day 2014: Quick, there's still time to get the beers in
He walked over the broken glass, killed the thugs... and er... reconnected the cables*
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
Multipath TCP speeds up the internet so much that security breaks
Black Hat research says proposed protocol will bork network probes, flummox firewalls
Microsoft says 'weird things' can happen during Windows Server 2003 migrations
Fix coming for bug that makes Kerberos croak when you run two domain controllers
Cisco says network virtualisation won't pay off everywhere
Another sign of strain in the Borg/VMware relationship?
Forrester says Australia, not China, is next boom market for cloud
It's cloudy but fine down under, analyst says
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
Boost IT visibility and business value
How building a great service catalog relieves pressure points and demonstrates the value of IT service management.
Why and how to choose the right cloud vendor
The benefits of cloud-based storage in your processes. Eliminate onsite, disk-based backup and archiving in favor of cloud-based data protection.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Maximize storage efficiency across the enterprise
The HP StoreOnce backup solution offers highly flexible, centrally managed, and highly efficient data protection for any enterprise.