NetApp's Q1 benefits from strong demand

NetApp handily topped expectations and said its all-flash array products are on a $2.2 billion annual run rate.

NetApp delivered a strong first quarter on demand for all-flash arrays.

The company reported first quarter net income of $283 million, or $1.05 a share, on revenue of $1.47 billion, up 12 percent from a year ago. Non-GAAP earnings were $1.04 a share.

Wall Street was expecting first quarter non-GAAP earnings of 80 cents a share on revenue of $1.42 billion.

As for the outlook, NetApp projected second quarter revenue between $1.45 billion and $1.55 billion with non-GAAP earnings of 94 cents a share to $1 a share. Wall Street was expecting non-GAAP earnings of 97 cents a share on revenue of $1.5 billion.

In recent quarters, NetApp has restructured and focused on building partnerships with the likes of Cisco. The two companies collaborate on FlexPod cloud infrastructure. NetApp has also been updating its ONTAP software, analytics platform and cloud flash systems.

NetApp said its all-flash array product line is on a revenue run rate of $2.2 billion as sales were up 50 percent from a year ago.

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