Xyratex (NASDAQ:XRTX) saw a steep decline in its Q2 EPS, but the results were still good enough to beat expectations. For the quarter, revenue was a little more than $216 million, down significantly from the $322 million in the same period the previous year. Net profit saw a more precipitous fall, dropping to $2.9 million ($0.11 per diluted share) from Q2 2012's $7.0 million ($0.24). On a non-GAAP basis, those numbers were $2.7 million ($0.10 per diluted share) and $9.3 million ($0.32), respectively.

In spite of year-over-year decline in EPS, the latest result was still good enough to trounce the average analyst estimate of a $0.05-per-share loss. The expectation for revenue was $203 million.

For its current Q3, Xyratex projects $195 million-$225 million in revenue and GAAP EPS ranging from a loss of $0.16 to a profit of $0.08 per share. On a non-GAAP basis, the range is between a loss of $0.04 and a profit of $0.20 per share.

Xyratex also declared a fresh quarterly dividend. The company will pay $0.075 per share, the same amount it handed out the previous quarter. This will be paid on July 30 to shareholders of record as of July 15. The dividend annualizes to $0.30 per share, which yields 2.9% at the firm's most recent closing stock price of $10.37.

Fool contributor Eric Volkman has no position in Xyratex, and neither does The Motley Fool. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.