Seagate tops earnings expectations as cloud data-center demand remains strong

Seagate Technology Holdings PLC STX, +2.12% delivered better-than-expected net Friday greeting and issued a forecast for the existent play that exceeded expert expectations astatine the midpoint. The institution reported fiscal first-quarter nett income of $526 million, oregon $2.28 a share, up from $223 million, oregon 86 cents a share, successful the year-earlier period. On an adjusted basis, Seagate earned $2.35 a share, up from 93 cents a twelvemonth anterior and up of the FactSet consensus, which called for $2.21 a share. Seagate's gross accrued to $3.12 cardinal from $2.31 billion, portion analysts had been looking for $3.11 billion. The institution benefited from "ongoing request from unreality data-center customers and spot successful the video and representation applications markets," Chief Executive Dave Mosley said successful a release. For the fiscal 2nd quarter, the institution expects $2.95 cardinal to $3.25 cardinal successful gross and $2.20 to $2.50 a stock successful adjusted earnings. Analysts were modeling $3.0 cardinal successful gross and $2.13 successful adjusted net per stock for the December quarter. Seagate shares person declined 1.1% implicit the past 3 months arsenic the S&P 500 SPX, +0.30% has added 4.4%.