NetApp Q2 earnings solid, flash systems gain momentum

NetApp's bottom line outlook for the third quarter was above estimates, but sales were light. The second quarter had the same dynamics.

NetApp reported a solid fiscal second quarter as it shipped more than 200 petabytes of flash systems.

The company reported second quarter earnings of $109 million, or 38 cents a share, on revenue of $1.34 billion. Non-GAAP earnings were 60 cents a share. Wall Street was looking for second quarter earnings of 54 cents a share on revenue of $1.35 billion.

For the third quarter, NetApp projected revenue between $1.32 billion to $1.47 billion with non-GAAP earnings of 72 cents a share to 77 cents a share. Net income for the third quarter will be 41 cents a share to 46 cents a share.

Wall Street was expecting third quarter earnings of 65 cents a share on revenue of $1.36 billion.

In a nutshell, NetApp has its cost structure under control as it expands its flash array sales.