Feeds

Growing revenues, profits on the up: WD sails on serenely

SSD revenue uptick, buyouts delivering the goods - for now

Remote control for virtualized desktops

WD’s latest quarter shows untroubled growth as the disk drive business sails serenely on, untroubled by any flash storm.

For its second fiscal 2014 quarter, ended Dec 27, 2013, revenues were a clean $4bn, nicely up from the first quarter’s $3.8bn and the year-ago quarter’s $3.8bn. Net income was $430m, lower than the previous quarter’s $495m but more than the $335m reported a year ago.

Everything looks rosy to CEO Steve Milligan: ”We executed well in the December quarter as we continue participating in the ongoing growth of data in all of our served markets… We serve very large markets underpinned by strong data growth prospects.”

WD manufactured 63.1 million disk drives in the quarter just ended; slightly up on the first quarter’s 62.6 million. It made $155m in enterprise SSD revenues. (these results are for WD only, by the way, and not its HGST subsidiary which reports separately)

WD started recording enterprise SSD sales in fiscal 2012’s third quarter and we’ve charted the numbers from then:

WD Enterprise SSD revenue to Q2 fy2014

WD enterprise SSD revenue to Q2 FY 2014.

After the initial jump in the second quarter growth was steady – until the latest quarter when there is a pronounced jump from $106m to $155m. What gives?

Financial analysts Stifel Nicolaus' MD, Aaron Rakers, pointed out that there was “a full quarter of sTec and VeloBit, as well as mid-Oct close of Virident acquisition.” He said the SSD revenue jump was helped by “one single-source opportunity that drove solid results,” and the “majority of revenue [was] derived from enterprise SAS SSDs.”

Getting back to spinning drives, WD saw “strength in gaming and branded shipments … and continued signs of stabilisation in PCs.”

Average capacity per drive was 874GB; in the previous quarter it was 811GB.

WD is making and selling more and bigger disk drives. It's making and selling more SSDs and the HDD/SSD product mixture is working well for it. Flash disruption? What flash disruption? ®

Beginner's guide to SSL certificates

More from The Register

next story
Azure TITSUP caused by INFINITE LOOP
Fat fingered geo-block kept Aussies in the dark
NASA launches new climate model at SC14
75 days of supercomputing later ...
Yahoo! blames! MONSTER! email! OUTAGE! on! CUT! CABLE! bungle!
Weekend woe for BT as telco struggles to restore service
Cloud unicorns are extinct so DiData cloud mess was YOUR fault
Applications need to be built to handle TITSUP incidents
NSA SOURCE CODE LEAK: Information slurp tools to appear online
Now you can run your own intelligence agency
BOFH: WHERE did this 'fax-enabled' printer UPGRADE come from?
Don't worry about that cable, it's part of the config
Stop the IoT revolution! We need to figure out packet sizes first
Researchers test 802.15.4 and find we know nuh-think! about large scale sensor network ops
DEATH by COMMENTS: WordPress XSS vuln is BIGGEST for YEARS
Trio of XSS turns attackers into admins
SanDisk vows: We'll have a 16TB SSD WHOPPER by 2016
Flash WORM has a serious use for archived photos and videos
prev story

Whitepapers

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.
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.
Designing and building an open ITOA architecture
Learn about a new IT data taxonomy defined by the four data sources of IT visibility: wire, machine, agent, and synthetic data sets.
10 threats to successful enterprise endpoint backup
10 threats to a successful backup including issues with BYOD, slow backups and ineffective security.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.