Network Appliance Announces Revenues Up 124% and Pro Forma Net
Income Up 140% in First Fiscal Quarter
( BW)(CA-NETWORK-APPLIANCE)(NTAP) Network Appliance Announces Revenues
Up 124% and Pro Forma Net Income Up 140% in First Fiscal Quarter
Business/Technology Editors
SUNNYVALE, Calif.(BUSINESS WIRE)--Aug. 14, 2000--Network Appliance, Inc.
(NASDAQ: NTAP), today reported revenues of $231.2 million for the first fiscal quarter
ended July 28, 2000, an increase of 124% compared to revenues of $103.3 million for the
same period a year ago.
Pro forma net income for the quarter, which excludes in-process research and development
and amortization of intangible assets increased 140% to $32.3 million, or $0.09 per share,
compared to net income of $13.5 million, or $0.04 per share for the same period a year ago.
Pro forma net income was up 32% from the $24.5 million reported in the fourth quarter of
fiscal year 2000.
During the first quarter of fiscal 2001, the Company completed the acquisition of Orca
Systems, Inc. and incurred in-process research and development charges and amortization of
intangible assets of $27.3 million, or $0.08 per share. Actual net income for the quarter was
$5.0 million, or $0.01 per share compared with $13.5 million, or $0.04 per share for the same
period a year ago.
"Revenue for the quarter was driven by the overall growth of the external storage market, as
customer demand for high-end, scalable systems and data management software expanded
through the quarter," said Dan Warmenhoven, CEO of Network Appliance. "Storage is
becoming the most critical element of IT infrastructures for today's content-centric global
businesses and Network Appliance is very well positioned as a leader in network-attached
storage and content delivery solutions."
Quarterly Highlights
During the quarter, Network Appliance acquired Orca Systems, a Waltham,
Massachusetts-based developer of Virtual Interface (VI) Architecture software for clustering
UNIX(R) and Windows NT(R) enterprise-class systems.
NetApp participated with 35 other leading companies in the rollout of two major industry
technology initiatives, Open Storage Networking (OSN), and the Direct Access File System
Collaborative (The DAFS Collaborative), both supporting NetApp's strategy to address new
and expanding segments of the storage systems market.
A product milestone was achieved when Network Appliance began shipping the
NetCache(TM) C1100, designed for enterprise customers and Internet Service Providers
(ISPs). The C1100 is the industry's first ultra-thin, rack-mountable streaming media solution
that supports the widest array of streaming media formats and Internet protocols.
Also during the quarter, Network Appliance increased membership in its Powered By
Network Appliance program to over 70 Internet and e-business companies. Major customer
wins announced for NetApp(R) filer and NetCache solutions included Geoquest, Fujitsu
Siemens, BT OpenWorld, Discovery.com and NetLedger.
Earnings per share and the number of shares used in the per-share calculation of all periods
presented reflect the two-for-one stock splits that were effective December 20, 1999 and
March 22, 2000.
About Network Appliance
Network Appliance, a veteran in network file serving and caching, has been providing data
access solutions since 1992 and is a member of both the S+P 500 and Nasdaq-100 index.
Major corporations and ISPs, including Lycos, Yahoo!, Citicorp Securities, Siemens,
Lockheed, Cisco, Motorola, and Texas Instruments have deployed NetApp(R) solutions.
NetApp Internet caching solutions (NetCache(TM) appliances) and file servers (filers) deliver
fast, simple, reliable, and cost-effective access to network-stored data and enable simultaneous
shared file services for UNIX(R), Windows NT(R), and the World Wide Web.
The company pioneered the concept of the "network appliance," an extension of the industry
trend toward dedicated, specialized products that perform a single function. Network
Appliance(TM) filers and NetCache appliances are based on the company's innovative data access software known as the Data ONTAP(TM) operating system and standards-compliant
hardware. |
