VMware Reports First Quarter 2014 Results
VMware the global leader in virtualization and cloud infrastructure, has announced financial results for the first quarter of 2014:
- Revenues for the first quarter were $1.36 billion, an increase of 14% from the first quarter of 2013. Excluding revenues attributable to Pivotal and all divestitures that occurred in 2013, revenues for the first quarter increased 18% from the first quarter of 2013.
- Operating income for the first quarter was $241 million, an increase of 51% from the first quarter of 2013. Non-GAAP operating income for the first quarter was $423 million, an increase of 9% from the first quarter of 2013.
- Net income for the first quarter was $199 million, or $0.46 per diluted share, up 14% per diluted share compared to $173 million, or $0.40 per diluted share, for the first quarter of 2013. Non-GAAP net income for the quarter was $348 million, or $0.80 per diluted share, up 9% per diluted share compared to $319 million, or $0.74 per diluted share, for the first quarter of 2013.
- Operating cash flows for the first quarter were $750 million, an increase of 11% from the first quarter of 2013. Free cash flows for the quarter were $673 million, an increase of 12% from the first quarter of 2013.
- Cash, cash equivalents and short-term investments were $6.62 billion and unearned revenues were $4.17 billion as of March 31, 2014.
“Our strong financial results reflect VMware’s unique position in helping customers transform their IT infrastructure,” said Pat Gelsinger, chief executive officer, VMware. “As the industry shifts from client server computing to the mobile-cloud era, customers are choosing our solutions because we have the most complete vision and offering for navigating this evolving world.”
“We are pleased with our first quarter comparable revenue growth of 18% as customer adoption across our solutions and services continues to grow,” said Jonathan Chadwick, chief financial officer, VMware. “Our integration of AirWatch and our new product line-up provides customers with the strongest portfolio of products and services in the industry.”
Recent Highlights & Strategic Announcements
- In February, VMware welcomed over 4,000 attendees and more than 90 sponsors and exhibitors to participate in its annual Partner Exchange where partners heard Pat Gelsinger, Carl Eschenbach and Ben Fathi articulate VMware’s business strategy and technology value proposition and also learned about new program enhancements, competencies and a refreshed reward structure.
- Also at Partner Exchange, VMware announced that it joined forces with Google to modernise corporate desktops for the Mobile Cloud Era by providing businesses with secure, cloud access to Windows applications, data and Desktops on Google Chromebooks. Later in the quarter, VMware launched VMware Horizon DaaS to enable simple and flexible delivery of desktops in the cloud. More recently, VMware launched VMware Horizon 6, its end-user computing desktop offering, delivering published applications and virtual desktops on a single integrated platform.
- On February 24, VMware announced the completion of its acquisition of AirWatch, bringing the leading provider of enterprise mobile management and security solutions into VMware’s End-User Computing Business.
- VMware announced general availability of VMware vCloud Hybrid Service in Europe from a data centre in Slough, UK. Complementing VMware's existing US data centre, the Slough data centre provides customers with a European location that addresses UK and EU compliance and data sovereignty demands. Additionally, VMware launched vCloud Hybrid Service - Disaster Recovery, a unique hybrid-cloud-based service that provides a simple and affordable way for customers to protect their data centres.
- In March, VMware announced general availability of VMware Virtual SAN, VMware's first software-defined storage product. Built directly into the VMware vSphere kernel, VMware Virtual SAN provides a new tier of hypervisor-converged storage and represents an important milestone as we build out our SDDC offerings.