EMC Earnings Meet Expectations

EMC Corp. of Hopkinton reported a record second quarter in revenue and net earnings that matched analysts’ expectations.

The tech storage giant said it experienced year-over-year revenue growth across its three chief business lines: information infrastructure, VMware (cloud and virtualization software and services) and Pivotal, a joint venture with General Electric. The revenue growth came from throughout the globe, with strong growth from Brazil, Russia, India and China, as well as other countries with growing economies, EMC said.

Revenue for the quarter topped $5.6 billion, a jump of 5.6 percent over the second quarter of 2012. Net income, meanwhile, soared 7.8 percent, from $650 million to $701 million. That translated into earnings per share of 42 cents, an increase of 8 percent that matched expectations of analysts polled by Yahoo Finance.

Chairman and CEO Joe Tucci said that despite a cautious spending environment for information technology, the strength and demand the company saw during the quarter “speaks to the soundness of our strategy, the value customers see in our federated business model, and the massive opportunity ahead in cloud computing, Big Data and trusted IT.”

EMC also reaffirmed its outlook for the year, forecasting revenue of $23.5 billion. Consolidated GAAP operating income is expected to be 18.5 percent of revenue, with consolidated non-GAAP operating income 25.5 percent of revenue.

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EMC Results Miss Expectations