Free Post Earnings Research Report: Western Digital’s Revenue Advanced 10.64%; Adjusted EPS Rocketed 131%

Stock Monitor: GDS Holdings Post Earnings Reporting

LONDON, UK / ACCESSWIRE / November 29, 2017 / Active-Investors free earnings report on Western Digital Corp. (NASDAQ: WDC) has freshly been issued to its members, and you can also sign up to view this report at www.active-investors.com/registration-sg/?symbol=WDC. The Company reported its first quarter fiscal 2018 operating results on October 26, 2017. The computer memory Company surpassed top- and bottom-line expectations and also provided guidance for the upcoming quarter and fiscal year. Register today and get free access to our complimentary member’s area where many more reports are available:

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Active-Investors.com is currently working on the research report for GDS Holdings Limited (NASDAQ: GDS), which also belongs to the Technology sector as the Company Western Digital. Do not miss out and become a member today for free to access this upcoming report at:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Western Digital most recent news is on our radar and we have decided to include it on our blog post. Today’s free coverage is available at:

www.active-investors.com/registration-sg/?symbol=WDC

Earnings Highlights and Summary

Western Digital reported revenues of $5.2 billion for the first fiscal quarter ended September 29, 2017, up 10.64% compared to $4.7 billion in Q1 FY17.

During Q1 FY18, Western Digital’s revenue in Datacenter Devices and Solutions was $1.4 billion, flat on a y-o-y basis, where strength from capacity enterprise hard drives and enterprise SSDs was offset by an expected decline in performance enterprise hard drives. The Company’s Client Devices advanced 13% to $2.7 billion on a y-o-y basis in the reported quarter, primarily driven by a significant growth in mobility and client SSDs, while its Client Solutions segment’s revenue advanced 16% to 1.1 billion, mostly as a result of the strength of the Company’s global retail brands in removable and other flash-based products.

For Q1 FY18, Western Digital reported an operating income of $905 million compared to $232 million in Q1 FY17. For the reported quarter, the Company posted a non-GAAP operating income of $1.4 billion versus $736 million in the year ago same quarter.

Western Digital posted a net income of $681 million, or $2.23 per share, for Q1 FY18 compared to a net loss of $366 million, or $1.28 per share, in Q1 FY17. The GAAP net income for the period included charges associated with the Company’s acquisitions. Excluding these charges and after other non-GAAP adjustments, Western Digital’s reported a quarter non-GAAP net income of $1.1 billion, or $3.56 per share, versus a non-GAAP net income of $448 million, or $1.54 per share, in the prior year’s comparable quarter, and which was ahead of Wall Street’s expectations of $3.31 per share.

Cash Matters

During Q1 FY18, Western Digital generated $1.1 billion in operating cash flow, reflecting an increase of 158% on a y-o-y basis. The Company spent $286 million on capital investments, resulting in free cash flow of $847 million for the reported quarter.

Western Digital closed Q1 FY18 with cash, cash equivalents, and available-for-sale securities totaling $7 billion, resulting in approximately $8 billion of liquidity available to the Company, including its $1 billion of undrawn revolver capacity. Since the beginning of FY18, Western Digital has reduced its net debt by approximately $600 million to $6.3 billion at the end of the reported quarter, mostly driven by cash flow generated by the business.

Outlook

For Q2 FY18, Western Digital is forecasting revenue to be in the range of $5.2 billion and $5.3 billion, on a non-GAAP basis, and operating expenses to be approximately $830 million. The Company is estimating non-GAAP earnings per share between $3.60 and $3.70 for the upcoming quarter.

For FY18, Western Digital is projecting non-GAAP earnings per share to be approximately $13.00.

Stock Performance Snapshot

November 28, 2017 – At Tuesday’s closing bell, Western Digital’s stock slightly rose 0.39%, ending the trading session at $86.89.

Volume traded for the day: 4.44 million shares, which was above the 3-month average volume of 3.94 million shares.

Stock performance in the past twelve-month period – up 39.54%; and year-to-date – up 27.87%

After yesterday’s close, Western Digital’s market cap was at $25.68 billion.

Price to Earnings (P/E) ratio was at 18.14.

The stock has a dividend yield of 2.30%.

The stock is part of the Technology sector, categorized under the Data Storage Devices industry. This sector was up 0.2% at the end of the session.

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