Seagate Skips Ahead of Wall Street in Q1

Posted 10/21/2011 at 9:37am | by Paul Lilly

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Hard drive maker Seagate said it shipped 51 million disk drives in its fiscal first quarter for 2012 ended September 30, 2011. Seagate also reported revenue of $2.8 billion, up from just shy of $2.7 billion one year prior. Net income for the quarter fell to $140 million, or 32 cents per share, down from $149 million, or 31 cents per share in the same quarter one year ago, but still outpaced Wall Street's expectations, according to an AP report.

One thing working in Seagate's favor moving forward is that despite all the flooding in Thailand, the company's overseas factories are firing on all cylinders and running at full capacity, according to Reuters. Nevertheless, Seagate still expects significant fallout from its upstream suppliers.

"We expect to experience significant impacts to our production levels, while our suppliers work to get their businesses up and running," Chief Executive Stephen Luczo told analysts on a conference call, Reuters reports.

Seagate still reckons it will ship up to 50 million drives in its December quarter, and no less than 40 million. For the sake of comparison, rival Western Digital estimates it will ship between 22 million to 26 million.

Image Credit: Seagate