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Brocade Over 4% Higher On Earnings/Guidance Results
Late yesterday, Brocade (BRCD $5.75 +0.25) Reports Q1 (Jan) earnings of $0.20 per share, excluding non-recurring items, $0.07 better than the Capital IQ Consensus Estimate of $0.13; revenues rose 2.7% year/year to $560.6 mln vs the $542.0 mln consensus. Non-GAAP gross margin was 64.8% in Q1 compared to 62.0% a year ago. The improvement in gross margin was driven by a favorable mix to higher margin Storage products, margin expansion in Global Services and an increase in overall revenue for the company. Non-GAAP operating margin was 21.5% vs 17.1% a year ago primarily driven by higher gross margin and the increase in revenue.
In presentation slides that were released ahead of the conf. call, Brocade guided Q2 EPS at $0.11-0.12 vs. $0.13 Capital IQ Consensus Est; sees revs of $530-545 mln vs $542.0 mln consensus.
Late yesterday, Brocade (BRCD $5.75 +0.25) Reports Q1 (Jan) earnings of $0.20 per share, excluding non-recurring items, $0.07 better than the Capital