Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Seagate Spins Earnings: Fool by Numbers

On Tuesday, Seagate Technology (NYSE: STX  ) released second-quarter 2007 earnings for the period ended Dec. 29.

  • Seagate's acquisition of Maxtor and the early retirement of a portion of its 8% notes created $95 million in one-time charges. Without them, per-share earnings would have been $0.39.
  • Operating margin dropped because of acquisition and related charges but should recover when the remaining charges from the Maxtor deal are worked through the system.
  • For the third quarter, management expects Seagate to earn between $0.56 and $0.60 (non-GAAP) on $2.9 billion to $3 billion in sales. For the year, executives say to expect $1.70 to $1.75 (non-GAAP) on $11.5 billion to $11.7 billion in revenue.
  • For trivia buffs: Seagate is the first in the history of the hard-drive industry to book $3 billion in revenue in a quarter.

(Figures in millions, except per-share data)

Income Statement Highlights

Q2 2006

Q2 2005






Net Profit








Diluted Shares




Get back to basics with a look at the income statement.

Margin Checkup

Q2 2006

Q2 2005


Gross Margin




Operating Margin




Net Margin




*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights


Q2 2006

Q2 2005


Cash + ST Invest.




Accounts Rec.









Q2 2006

Q2 2005


Accounts Payable




Long-Term Debt




Learn the ways of the balance sheet.

Cash Flow Checkup

Q2 2006

Q2 2005


Cash From Ops.




Capital Expenditures




Free Cash Flow




Find out why Fools always follow the money.

Related Companies:

  • EMC (NYSE: EMC  )
  • Hitachi (NYSE: HIT  )
  • Sun Microsystems (Nasdaq: SUNW  )
  • Western Digital (NYSE: WDC  )

Related Foolishness:

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so check for more of our in-depth discussion of what the numbers mean.

High-tech. Biotech. Nanotech. Any tech. David Gardner and his team at Motley Fool Rule Breakers cover it all, and as a result, they're unearthed six stocks that have more than doubled in the first two years of the service. Sound intriguing? Click here to test-drive the service free for 30 days. There's no obligation to subscribe.

Fool contributor Tim Beyers, ranked 660 out of more than 20,600 in Motley Fool CAPS, owns shares of Seagate. Get the skinny on all the stocks he owns by checking Tim's Fool profile. The Motley Fool's disclosure policy always adds up.

Read/Post Comments (0) | Recommend This Article (18)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 520495, ~/Articles/ArticleHandler.aspx, 10/21/2016 4:18:22 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,145.64 -16.71 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/21/2016 4:00 PM
STX $34.50 Down -0.48 -1.37%
Seagate Technology CAPS Rating: ****
EMC $0.00 Down +0.00 +0.00%
EMC CAPS Rating: ****
HTHIY $50.50 Up +0.13 +0.26%
Hitachi, Ltd. (ADR… CAPS Rating: *****
WDC $53.07 Down -0.79 -1.47%
Western Digital CAPS Rating: ***