This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Quantum Corp. F4Q10 (Qtr End 03/31/10) Earnings Call Transcript

Most of these products began shipping during the March quarter, during which we also prepared for last month launch of the new Scalar enterprise library, and this week’s announcement of the new DXi plans that design for SMB and remote office customers. Our financial model, product introduction, and fiscal 2010 results, provide a strong foundation for growth in 2011.

Now I move to the results. Revenue for fiscal 2010 and the fourth quarter were $681.4 million and $164.5 million respectively. Non-GAAP EPS for the year was $0.26 and for the fourth quarter was $0.04, compared to $0.18 in fiscal 2009 and $0.01 in the year ago quarter.

When we evaluate our performance, there are several measures that are important to both our fiscal 2010 results, and our mid to long-term business strategy. These include the branded versus OEM revenue mix, non-GAAP gross margin, disk systems and software revenue growth, non-GAAP operating profit, and finally cash generation and EBITDA. Let me comment on each of these.

For the fourth quarter, our branded business represented 78% of our non-wealthy revenue, compared to 70% in the same period the year ago. On a year-over-year basis, our fourth quarter branded revenue grew 8%. As we look to fiscal 2011, we expect our branded business to continue to grow for tape, disk systems and software products.

Non-GAAP gross margin for fiscal 2010 was 44.5%, up from 40.8% in fiscal 200, and is our best result in ten years. For Q4, non-GAAP gross margin was 44.4%, compared to 39.6% for the same quarter last year. This is a 480 basis point improvement, and reflects the increase in $6.4 million in gross profit dollars on slightly lower revenue.

Disk systems and software revenue was $95 million for fiscal 2010, and $22.8 for the fourth quarter. Branded disk and software revenue in Q4 was up 29% year-over-year and comprised 96% of the total, compared to 70% of the total a year ago. As we look forward to fiscal 2011 we expect this product category to be a significant driver of growth. The end user market is large, we have excellent products, and the independent channel partners want an alternative set of solutions to sell to their customers.

Read the rest of this transcript for free on

3 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,053.71 +23.50 0.13%
S&P 500 2,088.77 +6.89 0.33%
NASDAQ 4,806.8590 +33.3870 0.70%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs