$WDC today reported preliminary financials for 1Q16, with revenue of $3.4Bil, gross margin of 28.4% and net income of $283MM or $1.21 per share. On a non-GAAP basis, gross margin was 28.9% and net income was $366MM or $1.56 per share.
In 1Q17, $HPE’s Enterprise Group revenue was down 6%. Server revenue declined 11% due to a softer than expected core server market combined with some execution challenges. Storage revenue declined 12%. Networking revenue was up 6%. Enterprise Services revenue fell 6%. Software revenue was down 1%. Financial Services revenue grew 7%.
The high-performance compute segment is an $11Bil market and is
expected to grow around 6-8% annually over the next three years. With the explosion of data across industries
and sectors, the data analytics segment is growing at over twice this rate. In
1Q17, $HPE announced a number of new offerings for life sciences and financial
$GPS expects 1H17 EPS to decrease relative to adjusted EPS for the same period a year ago. This percentage decrease is expected to be in the high single digits. Additionally, $GPS expects inventory levels to decrease over time.