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16:55 ET The tally is 57 : There are still 57 companies on the list that have yet to certify; recent removals from the list: DYN, MIR, UHAL, CQB, CELL, AT, AAP, HNT, SQAA, PL, LVLT, CDI, SRV, NBR.
Look at the slides. Guidance will be the last item before the Q&A.
16:19 ET SEC certification update: 71 remaining : After the market closed a flood of certifications hit. Recent removals: NCR, PCO, FLR, WXS, PDE, WMB, PNC, HBAN, ACTR, WM, AES, STR, CUM, BNY, URI, TXU, ATO, AFC, SYX, STJ, JHF. Notable names still on the list: AOL, ELNK, LVLT, MET, NEM, PRU, RTN, TMPW, UPS.
16:03 ET Brocade meets consensus (BRCD) 15.05 +0.88: -- Update -- Reports Q3 EPS of $0.08, in line with the Multex consensus; revs were $151.2 mln, vs consensus of $147.4 mln.
14:35 ET Market Internals: Volume soars over past hour : Extremely strong volume seen over the past hour, as both the NYSE and Nasdaq approached 200 mln shares, vs previous hour's volume of a bit over 100 mln shares. Also impressive is the dramatic reversal in up/down volume on the NYSE. Now seeing up volume lead down volume 1.07-to-1; down volume led up volume 1.50-to-1 in the previous hour.
14:26 ET SEC certifications flooding in : The list was just knocked down to 118 in a matter of minutes; recent removals: SFE, HOT, FBF, DVN, DISH, PZB, GM, NI, CCR, FITB, ABC, AYE, GD, MPS, MLM, LLY. A notable non-certifier is AOL, though it has been widely reported that the company will certify today.
13:30 ET SEC certifications : Though our tally of companies that still must certify today stands at 147, it should be noted that the deadline is not market close, it is 5:30 pm ET. Yesterday saw a flood of certifications after the close, and today will no doubt see a repeat, so don't assume that there is a problem if a company hasn't certified by 4 pm ET.
13:26 ET SEC certification update : The Briefing.com list is down to 147 names remaining; most recently removed are: BHI, TSG, WLP, FDC, CTL, FRX, MWV, RT, HB, GGC.
Very well said augieboo! You hit the nail right on the (Zeev) hed
13:02 ET Nasdaq edges above resistance : -- Technical -- Index edges over resistance at 1278 to 1280 which approximates a 50% retracement of the prior leg higher. From current levels, look for additional overhead at 1285 followed by subsequent resistance at 1291. To the downside, look for initial support now at 1280 followed by a secondary floor at 1272.
Even if he did, expect him to raid ELX once again this afternoon as margin holders are forced to sell.
JMHO
Read sly's posts, even the one I responded to. All of his so called market related political rants are excuses to take every opportunity to attack the Bush administration, no more, no less.
If it happened only once or twice, I would not have bothered. Sly's posting history here & on SI clearly show he is about political attacks, not market related discussion when politics are involved.
Zeev's Turnips Patch-No Politics (ZEEV)
Um, do you have reading comprehension problems?
17:23 ET Applied Materials to certify financial statements (AMAT) 13.46 -0.12: -- Update -- Says it will be certifying financial statements by required due date... separately, would note that guidance for sequential decline in orders of 5-15% is a bit better than analyst expectations, which fall in range of 10-20% decline... AMAT -0.51 at 12.95
17:13 ET Applied Materials gives Q4 guidance (AMAT) 13.46 -0.12: -- Update -- On call, says it expects orders to be down 5-15% sequentially in fiscal Q4 (Oct), revenue to be flat to up modestly on sequential basis (Multex consensus $1.541 bln), and EPS "to improve" from Q3 results (consensus $0.09)... AMAT -0.51 at 12.95
Network Appliance Announces Results for First Quarter Fiscal Year 2003
SUNNYVALE, Calif.--(BUSINESS WIRE)--Aug. 13, 2002--Network Appliance, Inc. (Nasdaq:NTAP - FIN) today announced results for the first quarter of fiscal year 2003. Revenues for the first fiscal quarter were $206.8 million, compared to revenues of $200.4 million for the same period a year ago, and $204.9 million in the prior quarter.
Pro forma net income for the first quarter was $18.0 million, compared with $4.7 million for the same period a year ago. Pro forma earnings per share for the first quarter was $0.05 per share compared with $0.01 per share for the same period a year ago, and $0.04 per share in the prior quarter. For the first quarter, on an as-reported basis, net income for the quarter was $16.2 million, or $0.05 per share, compared with net loss of $0.5 million, or breakeven per share for the same period in the prior year.
"This quarter Network Appliance continued to expand our business across a solid base of new and existing enterprise customers. Geographically, business in North America and ICON improved this quarter, and customers demonstrated increased acceptance of our business continuance solutions and the NearStore(TM) R100," said Dan Warmenhoven, CEO of Network Appliance. "IT spending remains constrained as enterprise customers limit expenditures to business-critical projects with a high return on investment. We continue to satisfy customers' requirements by driving down the total cost of storage ownership with innovative approaches to networked storage and data management."
Quarterly Highlights
During the quarter, new key enterprise customers, including British Airways and Delta Air Lines, selected Network Appliance to provide the highest levels of reliability and availability in storing and managing their business-critical data. Other customers who selected Network Appliance(TM) solutions during the quarter include the United States Department of State in both the Bureau of Email and Bureau of Consular Affairs, the Oncology Therapeutics Network, the Commonwealth Bank of Australia, LandAmerica, and the Ministry of Education (MoE).
During the quarter, the company joined the SAS R&D Partner Program as a platinum level member, which will enable NetApp to collaborate on global technology research and development with SAS. The company also completed certification for Oracle9i Database with Real Application Clusters (Oracle9i RAC) on Red Hat Linux, delivering integrated data management and storage solutions that drive a lower cost of ownership through simplified deployments and collaborative support services.
Network Appliance continued to lead the emerging nearline storage market. Saudi Aramco, one of the world's leading energy companies, was among many customers who ordered the NearStore R100 during the quarter. Saudi Aramco has deployed NetApp® filer solutions for mission-critical geo-seismic data, and plans to mirror data to the R100 to provide maximum data availability.
Pro forma results exclude amortization of goodwill and intangible assets, stock compensation, impairment loss on investment, gain on sale of intangible asset and the related effects on income taxes.
Earnings per share represents the diluted number of shares for all periods presented.
The conference call will be broadcast live via the Internet from Network Appliance's Web site at http://investors.netapp.com. The conference call will also be available live in a listen-only format at (800) 218-0204 in the United States, and (303) 262-2141 outside the United States. A replay will be available by dialing (800) 405-2236 in the United States, and 303-590-3000 outside the United States, replay code 488205.
About Network Appliance
Network Appliance is a world leader in open network storage solutions for today's data-intensive enterprise. Since its inception in 1992, Network Appliance has pioneered technology, product, and partner firsts that continue to drive the evolution of storage. Information about Network Appliance solutions and services is available at www.netapp.com.
NetApp is a registered trademark and Network Appliance and NearStore are trademarks of Network Appliance, Inc. in the U.S. and other countries. All other brands or products are trademarks or registered trademarks of their respective holders and should be treated as such.
"Safe Harbor" Statement under U.S. Private Securities Litigation Reform Act of 1995
The statements regarding growth and acceptance trends toward the network storage solution are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements include any statement regarding future events or the future financial performance of Network Appliance Inc. that involves risks or uncertainties. In evaluating these statements, readers should specifically consider various factors that could cause actual events or results to differ materially from those indicated, including without limitation; continuing decline in the general economic conditions, customer demand for products and services, customer acceptance of product architectures, increased competition, inherent risk in the international operations and other important factors as described in Network Appliance, Inc. reports and documents filed from time to time with the Securities and Exchange Commission, including its mostly recently submitted 10-K and 10-Q.
NETWORK APPLIANCE, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
(Unaudited)
Quarter Ended
July 26, 2002 July 27, 2001
------------- -------------
REVENUES
Product revenue $ 186,740 $ 185,460
Service revenue 20,088 14,966
---------- ----------
Total revenues 206,828 200,426
---------- ----------
COST OF REVENUES
Cost of product revenue 62,269 75,383
Cost of service revenue 15,458 12,694
---------- ----------
Total cost of revenues 77,727 88,077
---------- ----------
GROSS MARGIN 129,101 112,349
---------- ----------
OPERATING EXPENSES:
Sales and marketing 71,902 71,642
Research and development 27,868 29,083
General and administrative 7,438 10,262
---------- ----------
Total operating expenses 107,208 110,987
---------- ----------
INCOME FROM OPERATIONS 21,893 1,362
OTHER INCOME, net 2,151 5,494
---------- ----------
INCOME BEFORE INCOME TAXES 24,044 6,856
PROVISION FOR INCOME TAXES 6,011 2,125
---------- ----------
NET INCOME $ 18,033 $ 4,731
========== ==========
NET INCOME PER SHARE:
BASIC $ 0.05 $ 0.01
========== ==========
DILUTED $ 0.05 $ 0.01
========== ==========
SHARES USED IN PER SHARE CALCULATION:
BASIC 335,783 329,336
========== ==========
DILUTED 350,122 349,667
========== ==========
(1) Pro forma results exclude amortization of goodwill and intangible
assets, stock compensation, impairment loss on investment, gain on
sale of intangible asset and the related effects on income taxes.
NETWORK APPLIANCE, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per-share amounts)
(Unaudited)
Quarter Ended
July 26, 2002 July 27, 2001
------------- -------------
REVENUES
Product revenue $ 186,740 $ 185,460
Service revenue 20,088 14,966
---------- ----------
Total revenues $ 206,828 $ 200,426
---------- ----------
COST OF REVENUES
Cost of product revenue 62,269 75,383
Cost of service revenue 15,458 12,694
---------- ----------
Total cost of revenues 77,727 88,077
---------- ----------
GROSS MARGIN 129,101 112,349
---------- ----------
OPERATING EXPENSES:
Sales and marketing 71,902 71,642
Research and development 27,868 29,083
General and administrative 7,438 10,262
Amortization of goodwill and
intangible assets 1,386 5,226
Stock compensation 983 2,699
---------- ----------
Total operating expenses 109,577 118,912
---------- ----------
INCOME (LOSS) FROM OPERATIONS 19,524 (6,563)
OTHER INCOME (EXPENSE), net:
Interest income 3,151 5,482
Other income and (expense), net (1,000) 12
Impairment loss on investment (726) 0
Gain on sale of intangible asset 604 0
---------- ----------
Total other income, net 2,029 5,494
---------- ----------
INCOME (LOSS) BEFORE INCOME TAXES 21,553 (1,069)
PROVISION (BENEFIT) FOR INCOME TAXES 5,388 (556)
---------- ----------
NET INCOME (LOSS) $ 16,165 $ (513)
========== ==========
NET INCOME (LOSS) PER SHARE:
BASIC $ 0.05 $ (0.00)
========== ==========
DILUTED $ 0.05 $ (0.00)
========== ==========
SHARES USED IN PER SHARE CALCULATION:
BASIC 335,783 329,336
========== ==========
DILUTED 350,122 329,336
========== ==========
SUPPLEMENTAL INFORMATION:
NET INCOME (LOSS) $ 16,165 $ (513)
Adjustments:
Amortization of goodwill - 3,794
Amortization of intangible assets 1,386 1,432
Stock compensation 983 2,699
Impairment loss on investment 726 0
Gain on sale of intangible asset (604) 0
Income tax effect (623) (2,681)
---------- ----------
PROFORMA NET INCOME $ 18,033 $ 4,731
========== ==========
DILUTED PRO FORMA NET
INCOME PER SHARE $ 0.05 $ 0.01
========== ==========
SHARES USED IN DILUTED PRO FORMA
NET INCOME PER SHARE CALCULATION: 350,122 349,667
========== ==========
Network Appliance Appoints New CFO
Steve Gomo Joins as Senior Vice President of Finance and Chief Financial Officer; Jeff Allen Becomes Executive Vice President of Business Operations
SUNNYVALE, Calif.--(BUSINESS WIRE)--Aug. 13, 2002-- Network Appliance, Inc. (Nasdaq:NTAP - News) announced the appointment of Jeff Allen to the position of Executive Vice President of Business Operations, and named Steve Gomo to the position of Senior Vice President of Finance and Chief Financial Officer, replacing Jeff Allen in that role.
In his new role, Allen retains management of manufacturing operations, and takes on responsibilities for Network Appliance's content delivery and NearStore business lines as well as strategic initiatives for the SAN market.
"Jeff's strong general management capabilities and operational expertise make him a natural fit for this new position," said Dan Warmenhoven, CEO of Network Appliance. "Jeff has done an outstanding job managing the company's financial and operational growth, and will dedicate himself to maximizing our success in new markets."
Steve Gomo joins Network Appliance effective immediately. Gomo spent 24 years in various management positions at Hewlett-Packard Co., served as CFO of Silicon Graphics, Inc., and was most recently CFO of Gemplus International S.A., headquartered in Luxembourg.
"It is a great pleasure to welcome Steve to Network Appliance. Both Jeff and I have known Steve for many years, and we believe his strong background and international experience will enhance the capabilities of our executive team," said Warmenhoven.
As CFO of Network Appliance, Gomo is responsible for all the company's finance, information technology (IT), legal, and investor relations functions.
Gomo holds a Masters in Business Administration from Santa Clara University and a BS in Business Administration from Oregon State University.
About Network Appliance
Network Appliance is a world leader in open network storage solutions for today's data-intensive enterprise. Since its inception in 1992, Network Appliance has pioneered technology, product, and partner firsts that continue to drive the evolution of storage. Information about Network Appliance(TM) solutions and services is available at www.netapp.com.
Note to Editors: NetApp is a registered trademark and Network Appliance and NearStore are trademarks of Network Appliance, Inc. in the U.S. and other countries. All other brands or products are trademarks or registered trademarks of their respective holders and should be treated as such.
http://biz.yahoo.com/bw/020813/130354_1.html
Applied Materials Announces Results for Third Fiscal Quarter 2002
New Orders Increase to $1.78 Billion
Net Sales Reach $1.46 Billion
SANTA CLARA, Calif.--(BUSINESS WIRE)--Aug. 13, 2002--Applied Materials, Inc. (Nasdaq:AMAT - News), the world's largest supplier of wafer fabrication solutions to the semiconductor industry, reported results for its third fiscal quarter ended July 28, 2002. Net sales were $1.46 billion, up 26 percent from $1.16 billion for the second fiscal quarter of 2002, and down 7 percent from $1.58 billion for the third fiscal quarter of 2001. Net income for the third fiscal quarter of 2002 was $115 million, or $0.07 per diluted share, up 121 percent from $52 million, or $0.03 per diluted share, for the second fiscal quarter of 2002, and flat with $115 million, or $0.07 per diluted share, reported for the third fiscal quarter of 2001.
New orders of $1.78 billion for the third fiscal quarter of 2002 increased 5 percent from $1.69 billion for the second fiscal quarter of 2002, and increased 47 percent from $1.21 billion for the third fiscal quarter of 2001. Regional distribution of new orders for the third fiscal quarter of 2002 was: North America 23 percent, Taiwan 18 percent, Southeast Asia and China 17 percent, Japan 15 percent, Korea 14 percent and Europe 13 percent. Backlog at the end of the third fiscal quarter of 2002 increased to $3.30 billion, from $3.11 billion at the end of the second fiscal quarter of 2002.
Gross margin for the third fiscal quarter of 2002 was 41.5 percent, compared to 40.0 percent for the second fiscal quarter of 2002 and 41.6 percent for the third fiscal quarter of 2001. Net income as a percentage of net sales was 7.9 percent for the third fiscal quarter of 2002, up from 4.5 percent for the second fiscal quarter of 2002 and up from 7.3 percent for the third fiscal quarter of 2001.
"I am pleased that orders and net sales were up for Applied Materials' third quarter," said James C. Morgan, chairman and chief executive officer. "Despite the continuing uncertainty of the global macro-economic environment, the semiconductor industry has begun a major shift requiring a substantial investment in advanced manufacturing technologies. As a result of Applied Materials' research and development efforts over the past several years, we are able to provide our customers with the innovative product and service solutions required to successfully make this transition.
"We recently introduced a number of new technologies to help our customers produce more powerful chips with geometries half the size of today's most advanced chips. With the strong long-term outlook for our industry, we believe Applied Materials is well-positioned to capitalize on the opportunities ahead," concluded Morgan.
This press release contains certain forward-looking statements, including, but not limited to, those relating to customers' investments in new technology, the Company's strategic position, the semiconductor industry's outlook and the economy. These forward-looking statements are subject to known and unknown risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, but are not limited to: uncertainties as to the sustainability of economic recovery, worldwide and in the semiconductor industry; the Company's ability to maintain effective cost controls; the Company's ability to develop, deliver and support a broader range of products and services on a timely basis; global uncertainties; changes in demand for semiconductors and customer capacity requirements, including capacity utilizing the latest technology; changes in the timing and amount of customers' investments in new technology; the successful and timely development of new markets, products, processes and services and other risks described in Applied Materials' Form 10-K, Forms 10-Q and other filings with the Securities and Exchange Commission. The Company assumes no obligation to update the information in this press release.
Applied Materials will be discussing its third fiscal quarter results, along with its outlook for the fourth fiscal quarter of 2002, on a conference call today beginning at 1:30 p.m. Pacific Time. A webcast of the conference call will be available on Applied Materials' Web site under the "Investors" section. Applied Materials will file its Report on Form 10-Q for the third fiscal quarter of 2002 with the Securities and Exchange Commission (SEC) by September 11, 2002 (within 45 days after the close of its third fiscal quarter on July 28, 2002). At the time of this 10-Q filing, James C. Morgan, Applied Materials' Chief Executive Officer, and Joseph R. Bronson, Chief Financial Officer, will file sworn statements certifying the accuracy and completeness of the Company's filings, as required by the SEC's June 27, 2002 order covering the 947 largest public companies incorporated in the United States.
Applied Materials (Nasdaq: AMAT - News), the largest supplier of products and services to the global semiconductor industry, is one of the world's leading information infrastructure providers. Applied Materials enables Information for Everyone(TM) by helping semiconductor manufacturers produce more powerful, portable and affordable chips.
Applied Materials' Web site is http://www.appliedmaterials.com.
APPLIED MATERIALS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
Three Months Ended Nine Months Ended
----------------------------------------------------------------------
(In thousands,
except per share July 29, July 28, July 29, July 28,
amounts) 2001 2002 2001 2002
----------------------------------------------------------------------
Net sales $1,575,904 $1,459,682 $6,078,575 $3,616,614
Cost of products
sold 920,291 853,539 3,295,248 2,162,279
---------- ---------- ---------- ----------
Gross margin 655,613 606,143 2,783,327 1,454,335
Operating expenses:
Research,
development and
engineering 277,333 275,952 926,251 779,630
Marketing and
selling 125,979 104,225 389,188 278,113
General and
administrative 114,369 89,553 306,481 236,011
Non-recurring
items 14,150 - 72,564 85,479
---------- ---------- ---------- ----------
Income from
operations 123,782 136,413 1,088,843 75,102
Interest expense 10,709 13,080 34,981 36,168
Interest income 54,153 40,110 166,699 133,779
---------- ---------- ---------- ----------
Income before
income taxes and
cumulative effect
of change in
accounting
principle 167,226 163,443 1,220,561 172,713
Provision for
income taxes 52,281 48,216 363,015 50,951
---------- ---------- ---------- ----------
Income before
cumulative effect
of change in
accounting
principle 114,945 115,227 857,546 121,762
Cumulative effect
of change in
accounting
principle, net
of tax - - (267,399) -
---------- ---------- ---------- ----------
Net income $ 114,945 $ 115,227 $ 590,147 $ 121,762
---------- ---------- ---------- ----------
Earnings per share:
Basic-continuing
operations $ 0.07 $ 0.07 $ 0.53 $ 0.07
Basic-cumulative
effect of change
in accounting
principle - - (0.17) -
---------- ---------- ---------- ----------
Total basic $ 0.07 $ 0.07 $ 0.36 $ 0.07
---------- ---------- ---------- ----------
Diluted-
continuing
operations $ 0.07 $ 0.07 $ 0.51 $ 0.07
Diluted-
cumulative
effect of change
in accounting
principle - - (0.16) -
---------- ---------- ---------- ----------
Total
diluted $ 0.07 $ 0.07 $ 0.35 $ 0.07
---------- ---------- ---------- ----------
Weighted average
number of shares:
Basic 1,629,840 1,647,181 1,624,438 1,642,337
Diluted 1,707,810 1,703,196 1,697,586 1,706,894
----------------------------------------------------------------------
APPLIED MATERIALS, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS*
----------------------------------------------------------------------
October 28, July 28,
(In thousands) 2001 2002
----------------------------------------------------------------------
ASSETS
Current assets:
Cash and cash equivalents $ 1,356,304 $ 1,164,613
Short-term investments 3,485,088 3,687,434
Accounts receivable, net 776,451 1,085,214
Inventories 1,412,997 1,251,260
Deferred income taxes 551,785 557,601
Other current assets 199,549 257,578
----------- -----------
Total current assets 7,782,174 8,003,700
Property, plant and equipment, net 1,706,488 1,799,271
Other assets 339,848 406,849
----------- -----------
Total assets $ 9,828,510 $10,209,820
----------- -----------
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Notes payable $ - $ 40,086
Current portion of
long-term debt 4,807 9,798
Accounts payable and
accrued expenses 1,477,531 1,439,752
Income taxes payable 50,478 151,720
----------- -----------
Total current liabilities 1,532,816 1,641,356
Long-term debt 564,805 579,388
Deferred income taxes and
other liabilities 124,152 131,891
----------- -----------
Total liabilities 2,221,773 2,352,635
----------- -----------
Stockholders' equity:
Common stock 16,315 16,480
Additional paid-in capital 1,872,967 1,982,423
Retained earnings 5,693,010 5,814,772
Accumulated other
comprehensive income/(loss) 24,445 43,510
----------- -----------
Total stockholders' equity 7,606,737 7,857,185
----------- -----------
Total liabilities and
stockholders' equity $ 9,828,510 $10,209,820
----------------------------------------------------------------------
* Amounts as of July 28, 2002 are unaudited. Amounts as of
October 28, 2001 are from the fiscal 2001 audited financial
statements.
--------------------------------------------------------------------------------
Contact:
Applied Materials, Inc., Santa Clara
Carolyn Schwartz, 408/748-5227 (investment community)
Jeffrey Lettes, 408/563-5161 (editorial/media)
ADVISORY/Emulex to Present at Pacific Crest 2002 Technology Forum
(BUSINESS WIRE)--Emulex Corp.
-0-
WHAT: Emulex Corp. (NYSE:ELX - News) will present to investors attending
the Pacific Crest Technology Forum on Monday, Aug. 12, 2002
at 8:30 a.m. Pacific time. Emulex Executive Vice President
and Chief Financial Officer, Michael Rockenbach will host the
presentation. The presentation can be heard and viewed live
on the Internet via a webcast at www.emulex.com. The archived
version of Emulex's presentation will be available for seven
days after the live presentation at the same link as above.
WHEN: Monday, Aug. 12, 2002 at 8:30 a.m. Pacific time.
WHERE: Live webcast at www.emulex.com.
CONTACT: Investor contact: Press contact:
Mike Rockenbach, CFO Robin Schnug, Public Relations
714/513-8213 Manager, 714/513-8152
or robin.schnug@emulex.com
About Emulex
Emulex is a leading supplier and developer of storage and server networking host bus adapters based on both Fibre Channel and IP networking technologies. Storage networks provide data centers with high-speed, scalable and highly available storage access. Server networks enable the creation of high-performance server clusters for database and transaction processing.
The Emulex product families are based on internally developed ASIC, firmware and software technologies, and offer customers high performance, scalability, flexibility and reduced total cost of ownership.
The company's products have been selected by the world's leading server and storage providers, including Compaq, Dell, EMC, Fujitsu-Siemens, Groupe Bull, Hewlett-Packard Co., Hitachi Data Systems, IBM, NEC, Network Appliance and Unisys. In addition, Emulex includes industry leaders Brocade, INRANGE, Intel, Legato, McDATA, Microsoft and VERITAS among its strategic partners.
Emulex markets to OEMs and end-users through its own worldwide selling organization, as well as its two-tier distribution partners, including ACAL, Avnet, Bell Microproducts, Consan, CTC, Info-X, Tech Data, TidalWire and Tokyo Electron. Corporate headquarters are located in Costa Mesa, Calif. News releases and other information about Emulex are available at www.emulex.com.
EMULEX -- We network storage
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: With the exception of historical information, the statements set forth above include forward-looking statements that involve risk and uncertainties. The company wishes to caution readers that a number of important factors could cause actual results to differ materially from those in the forward-looking statements. Those factors include the rapidly changing nature of technology, evolving industry standards and frequent introductions of new products and enhancements by competitors; fluctuation in the growth of Fibre Channel and IP markets; changes in economic conditions or changes in end-user demand for technology solutions; fluctuations or delays in customer orders; the highly competitive nature of the markets for Emulex's products; Emulex's ability to gain market acceptance for its products; the company's ability to attract and retain skilled personnel; the company's reliance on third-party suppliers. These and other factors which could cause actual results to differ materially from those in the forward-looking statements are also discussed in the company's filings with the Securities and Exchange Commission, including its recent filings on Forms 8-K, 10-K and 10-Q.
Note to Editors: This news release refers to various products and companies by their trade names. In most, if not all cases, these designations are claimed as trademarks or registered trademarks by their respective companies.
--------------------------------------------------------------------------------
Contact:
Emulex Corp., Costa Mesa
Mike Rockenbach (investors), 714/513-8213
or
Robin Schnug (public relations), 714/513-8152
robin.schnug@emulex.com
http://biz.yahoo.com/bw/020812/120159_1.html
12:40 ET Nasdaq smells of garbage : A huge disparity today on the Nasdaq between new highs (13) and new lows (97). However, a closer look reveals that there are few names of any significance to be found on the Nasdaq list of new lows. Biggest names are ERICY and PALM, both of which trade under $1 now. Most respectable name is PAYX. Many of the stocks distorting the Naz New high/low ratio are hype-era IPOs that are running low on cash and being left for dead. Among the more memorable names that can now be had for under $0.50 are CMRC (all-time high $165), PRSF (high $86), KOREA (high $84), SGNT (high $45).
ELX slightly lowered their revenue estimates for 2003, but they raised their earnings estimates for 2003. They also noted that growth in the storage sector is estimated at 30+% YOY growth until 2006. Net, net, the conference call was neutral at worst IMO.
BWTHDIK?
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Merrill on Emulex 8/9/02: Margins beat mixed outlook
08/09/02 06:59 AM
Source: Merrill Lynch
Visit the CNET Brokerage Center for daily reports from the top Wall Street analysts.
Emulex (ELX, $23.61, D-2-1-9)
"Better Gross Margins Overshadowed Mixed Outlook"
Volatility risk: High
Raise Jun03e from $0.70 to $0.73; Market Cap: $1.997 bn
Emulex reported 4Q02 revenue and EPS of $70.2 million and $0.16, in-line with our estimates. We are satisfied with the results given the tough-spending environment. We maintain our BUY rating.
Management offered tepid guidance for 1Q03, echoing what we've been hearing about visibility being poor. FC revenue was flat ($68.3 million) Q/Q, while FC units increased 13%. We are reducing our revenue estimates for 1Q03 and FY03 from $74 million & $334 million to $71 million and $312 million.
We are increasing our EPS estimates for 1Q03 and FY03 due to sustainable increases in gross margin and a reduction in the effective tax rate. Our 1Q03 & FY03 EPS estimates go from $0.16 & $0.70 to $0.17 and $0.73
The stock has gone from around $30 three months ago to around $23 we believe due to economic worries. We believe the stock could be weak today given its outlook, but expect the stock to move up over the intermediate-term as SANs continue strong through the remainder of the year.
Our new 3-year PEG model shows an implied price of $33.80, down from $37.13. On a PEG basis the stock is currently trading at less than 1x our long term growth estimate of 29%. Risks include the continuation of weak IT spending and competition.
http://investor.cnet.com/investor/brokeragecenter/newsitem-broker/0-9910-1082-20254620-0.html?tag=lt...
The STOCK INDEXES & MARKETS
Stock indexes closed higher for the third day in a row on
Thursday. The NASDAQ Composite Index closed above this
summer's downtrend line crossing near 1295 on Thursday
thereby opening the door for a possible test of last week's
reaction high crossing at 1354.48. Closes above this
resistance level are needed to confirm today's trendline
breakout, which would then open the door for a larger-degree
rebound into late summer. Momentum indicators have turned
bullish hinting that sideways to higher prices are possible
near-term. The NASDAQ Composite Index closed up 35.62 points
at 1316.52. The September S&P 500 index also closed higher
on Thursday and is poised to test last week's high crossing
at 915.90. Closes above 915.90, which coincides with this
summer's downtrend line would signal that a short-term
bottom has been posted. Momentum indicators have turned
bullish signaling that sideways to higher prices are
possible near-term. The September S&P 500 index closed up
29.70 points at 905.70.
The Dow closed sharply higher for the third day in a row on
Thursday and is poised to test last week's high crossing at
8761. Closes above this reaction high, which coincides with
this summer's downtrend line, would confirm that a short-
term bottom has likely been posted. Momentum indicators are
bullish signaling that sideways to higher prices are
possible into mid-August. Today's rally was triggered by
strength in Citigroup and J.P. Morgan. The Dow closed up 256
points at 8712. More at http://quotes.ino.com/exchanges/?c=indexes
http://www.ino.com/
16:02 ET Emulex (ELX) : Posts Q2 pro forma net of $0.16, in line with the Multex consensus. Revs were $70.2 mln (consensus $70.14 mln).
Brazil bailout cheers bank investors
Fleet, Citigroup, J.P. Morgan Chase lead gainers
By Greg Morcroft, CBS.MarketWatch.com
Last Update: 12:24 PM ET Aug. 8, 2002
NEW YORK (CBS.MW) -- Banking industry stocks rallied Thursday after the International Monetary Fund agreed to provide debt-saddled Brazil with $30 billion in short-term loans, easing fears of credit defaults in Latin America's largest economy.......................
http://www.marketwatch.com/news/yhoo/story.asp?source=blq/yhoo&siteid=yhoo&dist=yhoo&gui...
Intel says stands pat on 3rd-qtr revenue forecast
SAN FRANCISCO, Aug 8 (Reuters) - Intel Corp. <INTC.O>, the
world's No. 1 semiconductor manufacturer, said on Thursday it
was standing pat on its earlier forecast for third-quarter
revenue of $6.3 billion to $6.9 billion.
"There's no big surprises one way or the other," Andy
Bryant, Intel's chief financial officer, told Reuters, adding
that a good portion of the quarter's revenue will come in
September, due to the back-to-school shopping season.
Intel said on July 16, when it reported second-quarter
earnings, that it expected revenue in the third quarter to be
flat to slightly up from second-quarter revenue of $6.32
billion.
((-- Duncan Martell, San Francisco bureau, 415 677-2536,
duncan.martell@reuters.com))
REUTERS
Better positioning? Are you saying you think you can beat $35.40 later today on KLAC?
BTW, good work on your intra day trades with this volatility of late. You da man, man
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Reuters Business Report
Fed May Concede Economy Risks, Hold Rates
By Victoria Thieberger
NEW YORK (Reuters) - The U.S. economic recovery has stumbled during the summer, but it is not yet time for the Federal Reserve to administer smelling salts, economists say.
Although calls on Wall Street for another interest rate cut have grown louder in the past week after a run of soft data, most primary dealers who trade directly with the Fed do not believe there is enough evidence yet for a cut, a Reuters poll found on Wednesday.
But the central bank could say that the economic risks are tilted more toward weakness than inflation at its policy meeting next Tuesday, which would be the first hint that it may consider lowering interest rates in coming months.
The Reuters survey found 17 of 21 dealers say the Federal Reserve will hold rates at a low 1.75 percent through the end of this year and well into next year, a big change from just a few weeks ago. Then, nine predicted the central bank would raise rates by the end of the year.
Four houses now expect lower interest rates by the end of the year, up from two in a similar survey taken last Friday.
"The key difference now is you're starting to see some damage show up in the real side of the economy" from the stock market slide, said Lehman Brothers senior economist Joseph Abate. He cited weaker durable goods orders, payrolls and manufacturing.
"The other factor too is that the credit markets are freezing up. There's a growing sense of anxiety about the credit-worthiness of borrowers," and that can take its toll on economic activity, Abate added. Lehman this week made an aggressive forecast of three rate cuts by year's end, to 1.0 percent.
The federal funds rate stands at a four-decade low of 1.75 percent after a series of 11 rate cuts last year.
A SHIFT IN RISKS?
Consumer spending has moderated, but Americans are still taking advantage of low interest rates to snap up new cars and houses. The worries are that the persistent stock market declines will wear out consumers and force businesses to postpone investment that is key to reviving the economy.
In Wednesday's survey, primary dealers raised the chances the Federal Reserve will cut borrowing costs for businesses and consumers some time this year to 42 percent, up from 36 percent last week.
The first indication of concern from the Fed could come in the statement it releases after Tuesday's regular meeting of the Federal Open Market Committee, which sets monetary policy.
Since March, the Fed has said the risks to the economy were balanced between weakness and inflation. But a growing number of analysts believe it is time for the Fed to acknowledge the risks have shifted toward weaker growth.
"Changing the risks would tell the market the Fed doesn't have its head in the sand," said Avery Shenfeld, senior economist at CIBC World Markets in Toronto.
The Reuters survey found seven dealers believe the Fed's stance will lean toward weakness, a big jump from three dealers last Friday.
Those who expect no change in the balance of risks cite the danger of spooking financial markets by acknowledging a softer outlook while taking no action.
The most recent commentary from senior Fed officials, after the disappointing July payrolls report last Friday, suggested no inclination to ease. Just last month, Fed economists upgraded their growth forecasts, though those estimates look a tad optimistic now.
San Francisco Federal Reserve President Robert Parry said on Friday the recovery was still intact and not under serious threat. St. Louis Fed President William Poole said on Sunday he saw a "very, very small" risk the economy will fall back into recession, given the stock market's slide.
Treasury bond yields have fallen sharply in recent weeks as traders ramped up expectations of another easing.
But economists say there is not enough evidence that the modest recovery is faltering to justify that yet.
"We have really gotten only two weeks' or one month's statistics, which is not the creation of a trend," said BNP Paribas chief economist Brian Fabbri.
"Frankly, the Fed needs more evidence, at least another month or so, to make a change in policy."
http://biz.yahoo.com/rb/020807/economy_fed_poll_2.html
Good one franco
I've had stocks lose 25¢ - 35¢ before I got confirmation that my limit buy was filled :-/
Ö¿Ö
Reuters Business Report
Cheney Says Economy Set for Growth
SAN FRANCISCO (Reuters) - Vice President Dick Cheney said on Wednesday the U.S. economy was poised for sustained growth without inflation.
"We believe the economy is poised for sustained growth without inflation -- so long as we hold to the right policies," Cheney said in an advance copy of remarks delivered to the Commonwealth Club of California.
"Just as the president's tax cuts put a floor under the recession, Federal Reserve policy has been critical to our progress. Eleven consecutive cuts in interest rates have reduced deflationary pressures and helped stabilize prices," Cheney said.
http://biz.yahoo.com/rb/020807/economy_cheney_2.html
Oh well...... looks like making the shorts sweat tomorrow should pay off..... I just got my QLGC taken @ $38.88 - my buy was $37.76, which was a $1.15 discount on my earlier sale during regular hours.
Good luck with your Q Zeev.
Ö¿Ö
18:23 ET Cisco Systems intends to acquire (CSCO) 12.07 +0.71: -- Update -- Dow Jones reporting company announces on conf call intent to make acquisitions after economy turns upward.
Zeev,
I have a limit sell in on QLGC for $38.88 in AH. I already flipped it once today. Do you think they will gap it up that much tomorrow, or just ramp it from the getgo to squeeze 'em?
Ö¿Ö
16:51 ET Cisco Systems (CSCO) 12.07 +0.71: -- Update -- On its conference call, company says it will certify 10-K filing when it is filed in late September, in accordance with the new Sarbanes law... stock moves up by $0.20 on this disclosure to 12.21.
FWIW, I already posted this more than an hour ago on this thread.
Ö¿Ö
Keep in mind they are giving guidance for the slowest Qtr of the year....... sooooo, guiding flat to slightly up is actually fairly good, no?
BWTHDIK?
Ö¿Ö
17:38 ET Cisco Systems (CSCO) 12.07 +0.71: -- Update -- On call, company expects Q1 (Oct) revenue to be "flat to up slightly - low single digits." Q4 revs were $4.83 bln while Multex consensus is for Q1 (Oct) revenue of $4.976 bln, so that translates to +3%, sounds like maybe a slight warning or in-line... "would not be surprised to see book-to-bill below one"....expect gross margin in mid-60% range... company does not provide EPS guidance... stock moves higher on guidance to 12.93.
17:34 ET After Hours Indications : The late session tone remains positive. S&P futures at 866, trade six points above fair value while the Nasdaq 100 after hours indicator is higher by 9.1 points.
17:30 ET Cisco Systems (CSCO) 12.07 +0.71: -- Update -- On call, company addresses concerns of CEO John Chambers or CFO Larry Carter leaving. Chambers and Carter spoke over the weekend. Carter plans to retire next May on his 60th birthday; Chambers hopes to convince him to stay longer... DSOs increased by 2 days sequentially to 21 days... stock at 12.53.
17:12 ET After Hours Indications : The late session tone is positive. S&P futures at 862, trade two points above fair value while the Nasdaq 100 after hours indicator is higher by 6.1 points.
17:01 ET Cisco Systems (CSCO) 12.07 +0.71: -- Update -- On call, company says book-to-bill was approximately one while inventory turns improved to 7.1x vs 4.6x last year... Sequential product order growth was up in single digits. Seeing weakness in telecom services, especially outside the US... stock at 12.29.
16:51 ET Cisco Systems (CSCO) 12.07 +0.71: -- Update -- On its conference call, company says it will certify 10-K filing when it is filed in late September, in accordance with the new Sarbanes law... stock moves up by $0.20 on this disclosure to 12.21.
Per the CC, they will sign