Quantum Corporation Announces Second Quarter Results
Quantum Corporation, a provider of data protection and network storage, today announced that total revenue for the second quarter of fiscal year 2002, ended September 30, 2001, was $282 million. Pro forma net income for the quarter was $10 million, or 6 cents per share, diluted. These figures exclude charges of $25 million, net, associated with the previously announced disposal of Quantum's hard disk drive business and the restructuring of the company's DLTtape(TM) business, as well as other charges related to acquisition and investment activities. On a GAAP basis, the company incurred a net loss for the quarter of $15 million, or a loss of 10 cents per share.
"Despite the general IT spending slowdown in this difficult economic environment, Quantum's business model continues to benefit from our DLTtape media sales and growing services business," said Michael Brown, chairman and CEO of Quantum. "Both provide Quantum with a higher proportion of recurring revenue and cash flow than many companies solely dependent on new product sales. In the September quarter, this revenue stream represented nearly 40% of Quantum's total revenues, enabling Quantum to maintain its solid balance sheet. Excluding charges, we generated $25 million in cash from on-going operations in the quarter and exited the quarter with $344 million in cash."
Fiscal second quarter (FQ2) revenue in the Storage Solutions Group, which encompasses Quantum's data protection systems-level products and services as well as its network attached storage (NAS) products, was $76 million, representing a 5% sequential increase.