| | | Seagate shares slide 5% premarket as sales fall and profit guidance falls short
MARKETWATCH 8:30 AM ET 8/2/2019
Symbol Last Price Change | STX | 46.26 | 0 (0%) | | QUOTES AS OF 04:00:00 PM ET 08/01/2019 |
Seagate Technology PLC (STX) shares (STX) fell 5$ in premarket trade Friday, after the maker of hard disk drives and storage products said revenue fell in its fiscal fourth quarter and offered soft profit guidance. Cupertino, Calif.-based Seagate(STX) said it had net income of $983 million, or $3.54 a share, in the quarter to June 28, up from $461 million, or $ 1.57 a share, in the year-earlier period. The number was boosted by a one-time tax benefit of $702 million. Excluding that benefit, adjusted per-share earnings came to 86 cents, ahead of the 84 cents FactSet consensus. Revenue fell to $ 2.371 billion from $2.835 billion, ahead of the FactSet consensus of $2.326 billion. "As we enter our next fiscal year, global industry conditions have started to improve, particularly among cloud and hyperscale customers," Chief Executive Dave Mosley said in a statement. "Seagate(STX) is in a strong strategic position to address growing demand for mass storage." The company is now expecting first-quarter revenue of $2.55 billion, plus or minus 5% and adjusted EPS of 90 cents, plus or minus 5%. The FactSet consensus is for EPS of $1.11 and revenue of $2.527 billion. Shares have gained 20% in 2019, while the S&P 500 has gained 18%.
-Ciara Linnane; 415-439-6400; AskNewswires@dowjones.com |
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