Image source: EMC.
Data storage specialist EMC (EMC) just reported fourth-quarter results, showing strong results but a weak outlook.
EMC's sales increased 11% year over year to $6.7 billion. Non-GAAP earnings also jumped 11% higher, landing at $0.60 per diluted share. Analysts were looking for adjusted earnings of $0.59 per share on $6.6 billion in revenue.
Looking ahead, EMC expects sales of $24.5 billion for the 2014 fiscal year, including $5.4 billion in the first quarter. Analysts were hoping for $25 billion and $5.8 billion, respectively. Earnings projections also came in below current Street views.
EMC shares fell as much as 1.5% in Tuesday evening's after-hours trading, weighed down by an uninspiring report from majority-owned virtual computing expert VMware (VMW). Vmware's shares continued to trade lower in Wednesday's regular session, but EMC shares bounced back to match Tuesday's closing price.
CEO Joe Tucci reminded investors that EMC is betting big on the game-changing mega trends of mobile, social, and Big Data. These platforms are making "a profound impact on business and transforming the way we work and live," Tucci said. "Customers and partners have these transformations in their sights and are embracing EMC's vision, strategy and best-of-breed portfolio to capitalize on them."
