Seagate Technology has reported financial results for the second quarter of fiscal year 2014 ended December 27, 2013. During the second quarter, the Company has reported revenue of $3.53 billion, gross margin of 28.0%, net income of $428 million and diluted earnings per share of $1.24. On a non-GAAP basis, which excludes the net impact of certain items, Seagate reported gross margin of 28.5%, net income of $455 million and diluted earnings per share of $1.32.
During the second quarter, the company generated approximately $856 million in operating cash flow, paid cash dividends of $142 million and repurchased 33 million ordinary shares for approximately $1.5 billion.
Steve Luczo, Chairman & Chief Executive Officer, Seagate, said, “Seagate’s results in the December quarter reflect discipline in managing the profitability of our business and strong operational execution. We continue to strategically invest in our product portfolio and enhance our vertically integrated manufacturing capabilities to effectively capitalize on the cloud, mobile and open source storage trends that are being fueled by data growth.”
He added, “Our cash flow was very strong this quarter, and combined with the execution of our capital allocation strategy, we are on track to meet our goal of returning 70% of our operating cash flow to shareholders this fiscal year.”
Cash, cash equivalents, restricted cash, and short-term investments totalled approximately $2.3 billion at the end of the quarter.
