Seagate Technology Holdings PLC (STX) exceeded analysts’ expectations with its first-quarter earnings report, showcasing robust revenue growth and impressive margin expansion. Despite the positive performance, the stock dipped on Wednesday after the company’s outlook for the second quarter hinted at slower growth. This article delves into the key takeaways from Seagate’s earnings, including revenue, profitability, cash flow, dividend, and the stock’s reaction.
Seagate Technology (NASDAQ: STX) reported mixed results for its fiscal first quarter of 2024, meeting revenue estimates but exceeding earnings expectations. The data storage company’s revenue declined by 11% year-over-year to $1.66 billion, slightly below analysts’ estimates. However, Seagate’s non-GAAP earnings per share (EPS) of $0.33 came in significantly ahead of consensus, marking an improvement from a loss per share of $0.28 in the same quarter last year.
Seagate Technology exceeded market expectations in its third-quarter fiscal 2024 results, with earnings per share surpassing estimates and prompting a rise in share price. The company’s non-GAAP earnings per share reached $0.33, above the consensus forecast of $0.26. Revenue came in line with market projections at $1.66 billion. Seagate’s strong performance was attributed to improving cloud demand, effective cost management, and successful pricing strategies. The company also declared a quarterly cash dividend of $0.70 per share and anticipates continued growth in the current quarter. Additionally, Seagate sold certain intellectual property and assets related to system-on-chip products to Avago Technologies for $600 million.
Seagate Technology Holdings plc (NASDAQ: STX) announced solid third-quarter fiscal results, surpassing analyst earnings expectations and projecting a positive outlook for the upcoming quarter. Adjusted earnings per share (EPS) reached $0.33, exceeding the consensus estimate of $0.29, while revenue amounted to $1.66 billion, slightly below the anticipated $1.68 billion. CEO Dave Mosley attributed the strong performance to improved cloud demand, operational efficiency, and effective pricing strategies. Despite a revenue decline compared to the same quarter last year, Seagate anticipates a promising fiscal fourth quarter with an adjusted EPS forecast of $0.70 and revenue projections exceeding analyst estimates. The company remains committed to shareholder returns, declaring a quarterly cash dividend of $0.70 per share.
