Opened position in JNIC at $48. Down about 24%. . . . still dropping as I write. . . this is a core position. . . NOT a DAYTRADE or SWING TRADE!!
Here's news: JNI CORP SEES Q4 REVS UP 110 PCT TO 140 PCT OVER YEAR
JNI CORPORATION PROVIDES FOURTH QUARTER, YEAR-END OUTLOOK BUSINESS EDITORS AND HIGH-TECH WRITERS SAN DIEGO--(BUSINESS WIRE)--DEC. 11, 2000--JNI(R) CORPORATION (NASDAQ:JNIC) TODAY PROVIDED ITS OUTLOOK
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SAN DIEGO--(BUSINESS WIRE)--Dec. 11, 2000--JNI(R) Corporation
(Nasdaq:JNIC.O) today provided its outlook for fourth quarter and
year-end results.
The company plans to announce final results for the fourth quarter
and year end during the week of Jan. 22, 2001.
Based on a preliminary review of fourth quarter results, JNI's
revenues are expected to increase 110% to 140% over revenue of $14.4
million for the fourth quarter of 1999. Associated net income
(excluding amortization) is expected to increase 270% to 355% over net
income of $1.367 million for the same year ago period.
For the year ending Dec. 31, 2000, JNI expects revenues to
increase 155% to 165% over revenues of $40.2 million reported for
1999. Net income (excluding amortization) is expected to increase
approximately 485% to 525% over 1999 net income of $2.66 million.
"Our distribution strategy calls for about two-thirds of revenue
from channel sales with the remainder from original equipment
manufacturers (OEMs)," said Gloria Purdy, chief financial officer.
"Consistent with this model, we only report revenue for those products
that have already been shipped to end-user customers by our
distribution partners. The greatest strengths of our strategy include
our ability to establish direct relationships with our end-users and
the diversity within our customer base.
"While our emphasis on the reseller market provides a number of
key advantages over the OEM models used by our competitors," Purdy
continued, "visibility to revenue is generally much higher in the OEM
space. However, we are optimistic concerning the potential for sell
through to customers before year end and expect earnings per share to
range between $0.18 and $0.22 (excluding amortization) for the fourth
quarter."
About JNI Corporation
JNI Corporation (www.jni.com) is the fastest-growing Fibre Channel
host bus adapter company and the No. 2 manufacturer of Fibre Channel
HBAs (non-captive) in revenue according to IDC(3/00). JNI offers a
broad line of HBAs, ASICs and software for storage area networks
(SANs). JNI's PCI products operate on Solaris, Windows 2000, Windows
NT, HP-UX, AIX, Novell, Linux and Mac OS systems. JNI's SBus products
run on Solaris. Customers include Amdahl, Avid, Chaparral, Compaq
StorageWorks, Consan, EMC, Eurologic, Hewlett-Packard, Hitachi Data
Systems, IBM, LSI Logic, McData, StorageTek and Sun Microsystems.
Company headquarters are in San Diego, with offices throughout the
United States and Munich (Munchen), Germany.
JNI -- First in Fibre Channel(TM)
Forward Looking Statements
With the exception of historical information, the statements set
forth above include forward-looking statements (including but not
limited to projections of revenue and earnings per share for the
fourth quarter of fiscal 2000) that involve risk and uncertainties
that could cause actual results to differ materially from those in the
forward-looking statements. These risks uncertainties include our
dependence on a small number of OEM and distribution channel
customers; our limited history of profitability that may be difficult
to maintain; the long sales cycle for our products; declining average
selling prices of our products; excess and obsolete inventory; delays
in product development; our dependence on sole source and limited
source suppliers for key components; increasing competition in the
Fibre Channel market; our exclusive focus on Fibre Channel products;
rapid technological change in our industry; changes in the storage
area networks market; our reliance on manufacturers in other
countries; litigation involving intellectual property and other
issues; and other risk factors discussed in the company's reports on
Forms 10-K, 10-Q and other reports filed with the Securities and
Exchange Commission, including the company's most recent Form S-1
filed on Oct. 19, 2000.
JNI, JNIC FibreStar and First in Fibre Channel are trademarks or
registered trademarks of JNICorp. All other trademarks are the
property of their respective holders.
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