VMware, Citrix, Report Sumptuous Q3 Results
The Big Dogs of Virtualization are raking it in.
Q3 results for VMware and Citrix paint a picture of two well-managed companies that are steadily improving their financial results quarter by quarter as they continue to solidify their rock-solid business and technology foundations.
Starting with VMware, the company reports that third quarter revenues were $714 million, representing a sizeable increase of 46% over the same period a year ago. For its part, Citrix checked in with $472 million in Q3 revenues, compared to $472 million for the same period a year ago, which represented an 18% increase.
VMware's GAAP net income for the third quarter was $85 million, or $.20 per diluted share compared to $38 million, or $0.9 per diluted share during Q3 2009. Citrix's GAAP net income for the reporting period was $88 million, or $.46 per diluted share, compared to $53 million, or $.29 per diluted share during Q3 2009.
VMware's non-GAAP net income for the third quarter was $165 million, or $0.39 per diluted share, compared to $95 million, or $0.24 per diluted share for Q3 2009. Citrix's non-GAAP net income for Q3 was $118 million, or $0.62 per diluted share, compared to $80 million, or $0.43 per diluted share a year ago.
GAAP--Generally Accepted Accounting Principles--GAAP is the common set of accounting principles, standards and procedures that companies use to compile financial statements. However, it is only a set of standards, and it can be abused by unscrupulous accountants to distort figures.
Non-GAAP financial measures disclosed by management are provided as additional information to investors to provide them with an alternative method for assessing financial conditions and operating results. These measures are not in accordance with, or a substitute for GAAP, and may be different from non-GAAP measures used by other companies.
GAAP-schmaap...no matter how you cut the mustard, these guys are on a roll in the middle of our worst economy since the Great Depression. That pretty much says it all.
Posted by Bruce Hoard on 10/25/2010 at 12:48 PM