SAN JOSE, Calif., Oct. 22 — Super Micro Computer, Inc., a leader in application optimized, high performance server solutions, announced first quarter fiscal 2015 financial results for the quarter ended September 30, 2014.
Fiscal 1st Quarter Highlights
- Quarterly net sales of $443.3 million, up 3.6% from the fourth quarter of fiscal year 2014 and up 43.5% from the same quarter of last year.
- GAAP net income of $20.9 million, up 26.1% from the fourth quarter of fiscal year 2014 and up 171.0% from the same quarter of last year.
- GAAP gross margin of 15.6%, up from 15.5% in the fourth quarter of fiscal year 2014 and up from 15.1% in the same quarter of last year.
- Server solutions accounted for 57.7% of net sales compared with 55.2% in the fourth quarter of fiscal year 2014 and 46.4% in the same quarter of last year.
Net sales for the first quarter ended September 30, 2014 totaled $443.3 million, up 3.6% from $428.1 million in the fourth quarter of fiscal year 2014. No customer accounted for more than 10% of net sales during the quarter ended September 30, 2014.
GAAP net income for the first quarter of fiscal year 2015 was $20.9 million or $0.42 per diluted share, an increase of 171.0% from the net income of $7.7 million, or $0.17 per diluted share in the same period a year ago. Included in net income for the quarter is $3.0 million of stock-based compensation expense (pre-tax). Excluding this item and the related tax effect, non-GAAP net income for the first quarter was $23.2 million, or $0.46 per diluted share, compared to non-GAAP net income of $9.9 million, or $0.22 per diluted share, in the same quarter of the prior year. On a sequential basis, non-GAAP net income increased from the fourth quarter of fiscal year 2014 by $3.8 million or $0.06 per diluted share.
GAAP gross margin for the first quarter was 15.6% compared to 15.1% in the same period a year ago. Non-GAAP gross margin for the first quarter was 15.7% compared to 15.2% in the same period a year ago. GAAP gross margin and Non-GAAP gross margin for the fourth quarter of fiscal year 2014 were 15.5% and 15.6%, respectively.
The GAAP income tax provision was $10.6 million or 33.7% of income before tax provision compared to $4.2 million or 35.1% in the same period a year ago and $9.8 million or 37.2% in the fourth quarter of fiscal year 2014.
The Company’s cash and cash equivalents and short and long term investments at September 30, 2014 were $120.2 million compared to $99.6 million at June 30, 2014. Free cash flow for the three months ended September 30, 2014 was $24.3 million, primarily due to an increase in our cash provided by operating activities.
Business Outlook & Management Commentary
The Company expects net sales of $440 million to $480 million for the second quarter of fiscal year 2015 ending December 31, 2014. The Company expects non-GAAP earnings per diluted share of approximately $0.44 to $0.50 for the second quarter.
“We began fiscal 2015 with an exceptional first quarter of record revenue and profits. In the first quarter, we grew revenues 43.5% over last year and posted our fourth consecutive quarter of record results. This again outperformed multiple times the industry growth rate. With 57.7% of our revenue coming from systems based on our Storage, GPU/Xeon Phi, Twin, MicroCloud and Network Switches, we continue to improve margin through a mix of higher value system products,” said Charles Liang, Chairman and CEO. “As we ship our latest X10 generation Haswell DP products, a brand new I/O optimized Ultra server architecture and industry-leading hot-swappable NVMe solutions, we are confident our technology innovation will continue to drive our growth momentum into the remainder fiscal 2015.”
It is currently expected that the outlook will not be updated until the Company’s next quarterly earnings announcement, notwithstanding subsequent developments. However, the Company may update the outlook or any portion thereof at any time. Such updates will take place only by way of a news release or other broadly disseminated disclosure available to all interested parties in accordance with Regulation FD.
About Super Micro Computer, Inc.
Supermicro, a global leader in high-performance, high-efficiency server technology and innovation is a premier provider of end-to-end green computing solutions for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and Embedded Systems worldwide. Supermicro’s advanced Server Building Block Solutions offer a vast array of components for building energy-efficient, application-optimized, computing solutions. Architecture innovations include Twin, FatTwin, MicroCloud, MicroBlade, SuperBlade, Double-sided Storage, Battery Backup Power (BBP) modules and WIO/UIO. Products include servers, blades, GPU systems, workstations, motherboards, chassis, power supplies, storage, networking, server management software and SuperRack cabinets/accessories delivering unrivaled performance and value.
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Source: Super Micro Computer, Inc.