Pure Storage satisfies Q4 targets, shares slip on soft guidance
Enterprise storage provider Pure Storage posted better-than-expected fourth quarter results Wednesday after the bell.
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The Mountain View, Calif.-based company reported a net loss of $1.4 million, or three cents per share.
Non-GAAP losses were 10 cents a share on revenue of $227.9 million, up 52 percent year-over-year.
Wall Street was expecting a loss of eight cents a share on revenue of $224.47 million.
For the first quarter, Pure Storage is forecasting revenue in the range of $171 million to $179 million, which is well below Wall Street's estimate of $201.74 million. Shares of Pure Storage dropped more than nine percent in late trading.
Nevertheless, Pure Storage CEO Scott Dietzen said in a statement that he expects the all-flash firm to reach $1 billion in revenue this year, the eighth since its founding.
"Meanwhile, our balance sheet remains strong, with $547 million in cash and zero debt - we have everything we need to continue to drive market share gains as the secular shifts to cloud computing and all-silicon storage gain momentum," Dietzen added in a blog post.
Pure Storage claims to have added 450 customers in Q4, boosting its total to more than 3,000 customers worldwide. Notable Q4 additions include Subway, Hulu and health-tech company Royal Philips.