Seagate Technology Holdings PLC (NASDAQ:STX) reported fourth-quarter FY21 revenue growth of 19.7% year-on-year to $3.01 billion, surpassing the analyst consensus of $2.95 billion. Non-GAAP EPS of $2.00 beat the analyst consensus of $1.84.
- Revenue from mass capacity storage markets increased 29% Y/Y.
- Non-GAAP gross margin expanded 230 basis points to 29.6%, while the Non-GAAP operating margin expanded 330 basis points to 18.1%.
- The company generated $478 million in operating cash flow, paid cash dividends of $154 million, and repurchased shares worth $228 million.
- Seagate held $1.2 billion in cash and equivalents.
- Demand for data is rapidly accelerating in the cloud and at the edge, driving secular growth for mass capacity data storage.
- The board declared a quarterly cash dividend of $0.67 per share, payable on Oct. 7, to shareholders of record Sep. 22.
- Outlook: STX sees Q1 FY22 revenue of $3.1 billion, plus or minus $150 million above the analyst consensus of $2.94 billion.
- It expects a non-GAAP EPS of $2.20, plus or minus $0.15, versus the analyst consensus of $1.85.
- Price action: STX shares gave up gains and are trading lower by 3.79% at $82.85 in the premarket session on the last check Wednesday.
