Brocade Beats by a Nickel

The storage-equipment company increases first-quarter revenue and guides in line.
Author:
Publish date:

Brocade Communications

(BRCD)

posted lower first-quarter profit but beat Street forecasts.

The maker of storage-network equipment said Thursday that GAAP net income for its fiscal first quarter fell to $12.6 million, or 5 cents a share, compared with earnings of $27.9 million, or 10 cents, in the year-ago period.

Revenue rose 5% to $170.1 million from $161.6 million in the year-ago quarter.

The San Jose, Calif.-based company earned $25.9 million, or 10 cents a share, in the quarter, compared with $28.3 million, or 10 cents a share, a year earlier, excluding stock-based compensation expenses, amortization of deferred stock-compensation expense related to prior acquisitions, costs associated with the completed internal review and ongoing

SEC

investigation, and provision for an estimated settlement with the SEC.

On that basis, analysts polled by Thomson First Call were looking for earnings of 5 cents a share and revenue of $157.9 million.

For the current, or second, quarter, Brocade expects non-GAAP EPS of 5 cents, in line with the Street consensus, on revenue of $157 million to $162 million. That compares with analysts' sales forecast of $155.2 million.

In recent after-hours trade, shares of Brocade rose 20 cents to $5.15 after closing the regular session up a penny to $4.95.