EMC revenue rises to $2B in Q3

Storage vendor EMC announced third-quarter 2004 revenue totaling US$2.03 billion, up 34 percent from the US$1.5 billion the company reported in the same quarter one year earlier.

Net income for the quarter, which ended September 30, was US$218 million, or US$0.09 per diluted share, up 37 percent from the US$159 million, the company earned a year earlier.

"We again achieved solid, balanced performance in a spending environment that continues to improve at a steady but modest pace," EMC President and CEO Joe Tucci said in a statement.

Overall, EMC's core revenue rose 19 percent, the company said. That doesn't include growth attributed to the acquisitions of VMware, Documentum and Legato. VMware, an EMC subsidiary, delivered record quarterly revenue of US$61 million during the period, an increase of more than 200 percent over the third quarter of 2003.

Systems revenue for EMC grew 18 percent compared with the year-earlier quarter, while software license revenue increased 56 percent.

The newly formed EMC Software Group, which markets and develops platform-independent information storage and content management software, delivered consolidated revenue of US$351 million.

EMC services revenue grew 48 percent compared to a year earlier, due to the impact of the company's software vendor acquisitions, increased core software maintenance revenue and continued customer demand.

The company predicted fourth-quarter consolidated revenue of between US$2.23 billion and US$2.27 billion, with diluted earnings per share of US$0.11 to US$0.12.