NetApp beats Q3 expectations but shares fall after hours
NetApp posted its third quarter fiscal 2018 results on Wednesday, beating market expectations and raising its outlook as its all-flash array business continued to build momentum. Despite the beat, shares of NetApp were down in after market trading.
The company reported non-GAAP net income of $273 million, or 99 cents per share, on revenue of $1.52 billion, a year-over-year increase of 8 percent.
Wall Street was looking for earnings of 91 cents per share on revenue of $1.5 billion.
"NetApp again delivered strong results in the third quarter with accelerating revenue and strong cash generation. It is rewarding to see the results of our improved execution as we transform NetApp to deliver sustained and profitable growth," George Kurian, CEO at NetApp, said in a statement. "We saw a solid demand environment and customer momentum, landing wins and footprint expansions with leading organizations in all geographies. With our Data Fabric Strategy and industry-leading solutions, we are winning new customers and expanding our business opportunity."
For the fourth quarter, the company expects a non-GAAP EPS between 95 cents and $1.03 on revenues in the range of $1.525 billion to $1.675 billion.
Shares of NetApp were down more than 9 percent in after market trading.