Mixed Quarter for WDThursday, May 1, 2014
Irvine-based disk drive maker Western Digital Corp. on Wednesday reported March quarter revenue in line with Wall Street estimates and net income that beat expectations.
The company posted sales of $3.7 billion, down 2.6% from a year earlier.
Net income was $470 million, down 8.5% from a year ago and beating analyst estimates of $444.1 million.
The company said it sold 60.4 million hard drive units, compared to 60.2 million units shipped a year ago.
Hard drives use spinning disks to store data, unlike the company’s growing line of solid-state drives, which use chips.
Western Digital’s disk drives go into computers, external storage devices, corporate networks and consumer electronics, such as DVR players.
The company's shares were off about 6% in morning trading Thursday to a market value of $19.48 billion.
Cupertino rival Seagate Technology Inc. reported similar financial results for the March quarter on Tuesday.
Seagate posted revenue of about $3.4 billion, down 3.4% from a year ago and in line with Wall Street expectations. Net income topped $453 million, down 2.3% and beating consensus estimates of $414.2 million.
The company said it shipped 55.2 million hard drive units, down from 55.7 million a year ago.