SAN JOSE, Calif., July 30, 2015 /PRNewswire/ -- Quantum Corp.
(NYSE: QTM) today reported results for the fiscal first quarter
2016 ended June 30, 2015.
Fiscal First Quarter 2016 Results
(All comparisons are relative to the fiscal first quarter
2015.)
- Revenue was $110.9 million, a
decrease of approximately $17
million, primarily driven by overall weakness in the general
storage market.
- Scale-out storage and related service revenue grew
approximately $10 million to $27.8
million, a 54 percent increase, marking the fourth
consecutive quarter of 50-plus percent growth and 16th
consecutive quarter of year-over-year growth.
- Royalty revenue increased $1
million to $10.2 million.
- Disk backup systems and related service revenue was relatively
flat at $17.3 million.
- Branded tape automation and related service revenue decreased
approximately $15 million to $35.1
million, while OEM tape automation and related service
revenue was down approximately $6 million to
$9.5 million.
- Devices and media revenue was $10.9
million, a decline of approximately $7 million.
- The GAAP net loss was $10.8
million, or $0.04 per diluted
share, compared to a net loss of $4.3
million, or $0.02 per diluted
share.
- The non-GAAP net loss was $7.0
million, or $0.03 per diluted
share, compared to net income of $2.4
million, or $0.01 per diluted
share.
"Like other companies, we were impacted by overall weakness in
the general storage market, which was most notable for Quantum in
tape-based data protection but impacted all product lines,
including scale-out storage," said Jon
Gacek, president and CEO of Quantum. "Nevertheless, we
continued to generate strong revenue growth in scale-out storage —
54 percent year-over-year — with higher sales across our
StorNext® workflow storage solutions and Lattus™
extended online storage. Our scale-out storage results reflect our
success in expanding our leadership in media and entertainment
while growing our footprint in other vertical markets and use cases
such as video surveillance.
"Moving forward, we plan to build on this scale-out storage
strategy, capitalizing on our unique ability to deliver integrated
solutions that provide both unmatched performance and low total
cost of ownership through a tiered storage approach encompassing
flash, spinning disk, object storage, tape and the cloud. In doing
so, we will continue to use dedicated resources in select verticals
as well as our broader sales force for greater market coverage.
"For our data protection products, we will continue leveraging
our technology leadership, extensive customer base, and strong
channel and technology partnerships to generate profit and cash. In
addition, we will closely monitor how the general storage market
evolves and take this into account in our spending and investment
decisions."
Fiscal Second Quarter 2016 Outlook
Given both the challenging environment in the prior quarter and the
growth opportunities in scale-out storage going forward, Quantum
said it is taking a balanced approach to operating the company in
the fiscal second quarter, which is reflected in its guidance for
the quarter:
- Revenue of $120 million to $130
million.
- GAAP and non-GAAP gross margin of approximately 42-43
percent.
- GAAP and non-GAAP operating expenses of approximately
$55 million to $57 million and
$52 million to $54 million,
respectively.
- Interest expense of $1.9 million
and taxes of $400,000.
Quantum also stated that it has the resources to pay off its
convertible notes due November 2015
and that it expects to utilize a combination of cash on hand, cash
generated from operations and its $75
million bank revolver to do so.
Fiscal 2016 Outlook
For fiscal 2016, the company reiterated its year-over-year revenue
growth target of 50 percent in scale-out storage and said that it
will continue to make investments to capitalize on the market
opportunities in this part of its business. In
addition, considering both the challenging general
storage environment and the potential for scale-out storage
opportunities to exceed current expectations, the company stated
that it is not providing annual guidance.
Fiscal First Quarter 2016 Business Highlights
- Scale-out storage product revenue from the media and
entertainment market grew 32 percent year-over-year. In addition to
extending its leadership in broadcast and postproduction, Quantum
expanded its customer base in corporate and sports video, where the
company's long-standing expertise in enabling highly demanding
video workflows is a key differentiator.
- Outside of media and entertainment, scale-out storage product
revenue increased more than 250 percent year-over-year. Quantum saw
increasing market traction in video surveillance, where the
combination of its expertise in managing video, its
industry-leading streaming performance, and its workflow-optimized
tiered storage approach are a key differentiator. The company also
had several large deals in genomics and geospatial applications, as
customers purchased Lattus systems to provide a massively scalable
active archive.
- Quantum announced three new archive solutions that empower
customers to address the challenge of unstructured data growth with
cost-effective tiered storage strategies: 1) the Artico™
intelligent NAS archive appliance, which offers customers using
scale-out NAS systems a flexible, low-cost entry point for
establishing archives outside of StorNext environments and can
scale to hold petabytes of data across object storage, tape and
cloud storage tiers; 2) a certified solution combining Quantum
DXi® appliances and Rocket Arkivio Autostor software
that provides not only backup but also archive; and 3) a Lattus
extended online storage offering with object storage nodes that
integrate new 6TB disk drives for increased density and lower cost
per terabyte.
- The company and Dot Hill
announced a new, global go-to-market partnership in which Quantum
is integrating Dot Hill's full line
of enterprise-class disk storage systems into its tiered storage
offerings. The new partnership expands Quantum's range of solutions
for managing and protecting data across primary storage, backup and
archive.
- In conjunction with the 2015 NAB Show, Quantum earned four
prestigious awards for its workflow storage and management
solutions. Broadcast Beat recognized the company's Q-Cloud™ Archive
storage service for creativity, and TV Technology magazine named
the public cloud service as a Best of Show Award recipient. In
addition, Quantum's StorNext Pro™ Solutions won a StudioDaily Prime
Award, and IABM honored the company itself with a Game Changer
Award.
Conference Call and Audio Webcast Notification
Quantum
will hold a conference call today, July 30,
2015, at 2:00 p.m. PDT to
discuss its fiscal first quarter results. Press and industry
analysts are invited to attend in listen-only mode.
Dial-in number: 719-325-2420 (U.S. and International); access code:
7608393
Replay number: 719-457-0820 (U.S. and International); access code:
7608393
Replay expiration: Tuesday, Aug. 4,
2015, at 5:00 p.m. PDT
Webcast site: www.quantum.com/investors
About Quantum
Quantum is a leading expert in scale-out
storage, archive and data protection, providing solutions for
capturing, sharing and preserving digital assets over the entire
data lifecycle. From small businesses to major enterprises, more
than 100,000 customers have trusted Quantum to address their most
demanding data workflow challenges. With Quantum, customers can Be
Certain™ they have the end-to-end storage foundation to maximize
the value of their data by making it accessible whenever and
wherever needed, retaining it indefinitely and reducing total cost
and complexity. See how at www.quantum.com/customerstories.
Quantum, the Quantum logo, Be Certain, StorNext, Lattus, Artico,
DXi, Q-Cloud and StorNext Pro are either registered trademarks or
trademarks of Quantum Corporation and its affiliates in
the United States and/or other
countries. All other trademarks are the property of their
respective owners.
"Safe Harbor" Statement: This press release contains
"forward-looking" statements. All statements other than statements
of historical fact are statements that could be deemed
forward-looking statements. Specifically, but without limitation,
statements relating to: i) our plans to build on our scale-out
storage strategy; ii) capitalizing on our unique ability to deliver
integrated solutions; iii) using dedicated resources in select
verticals as well as our broader sales force for greater market
coverage; iv) leveraging our technology leadership, extensive
customer base and strong channel and technology partnerships to
generate profit and cash from our data protection offerings; v)
monitoring the general storage market and taking this into account
in our spending and investment decisions; and vi) our outlook,
including all statements under the sections titled "Fiscal Second
Quarter 2016 Outlook" and "Fiscal 2016 Outlook," are
forward-looking statements within the meaning of the Safe Harbor.
All forward-looking statements in this press release are based on
information available to Quantum on the date hereof. These
statements involve known and unknown risks, uncertainties and other
factors that may cause Quantum's actual results to differ
materially from those implied by the forward-looking statements.
More detailed information about these risk factors are set forth in
Quantum's periodic filings with the Securities and Exchange
Commission, including, but not limited to, those risks and
uncertainties listed in the section entitled "Risk Factors," in
Quantum's Annual Report on Form 10-K filed with the Securities and
Exchange Commission on June 12, 2015.
Quantum expressly disclaims any obligation to update or alter its
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by applicable
law.
Use of Non-GAAP Financial Measures
Quantum believes that the non-GAAP financial measures disclosed
above provide useful and supplemental information to investors
regarding its quarterly financial performance. Quantum management
and Board of Directors use these non-GAAP financial measures
internally to understand, manage and evaluate the company's
business results and make operating decisions. For instance,
Quantum management often makes decisions regarding staffing, future
management priorities and how the company will direct future
operating expenses on the basis of non-GAAP financial measures. In
addition, compensation of our employees is based in part on the
performance of our business based on non-GAAP operating income.
The non-GAAP financial measures used in this press release
exclude the impact of the items below for the following
reasons:
Amortization of Intangible Assets
This includes acquired intangibles such as purchased technology and
customer relationships in connection with prior acquisitions. These
expenses are not factored into management's evaluation of potential
acquisitions or Quantum's performance after completion of the
acquisitions because they are not related to Quantum's core
operating performance. In addition, the frequency and amount of
such charges can vary significantly based on the size and timing of
acquisitions and the maturities of the businesses being acquired.
Excluding acquisition-related charges from non-GAAP measures
provides investors with a basis to compare Quantum against the
performance of other companies without the variability caused by
purchase accounting.
Share-Based Compensation Expense
Share-based compensation expense relates primarily to equity awards
such as stock options and restricted stock units. Share-based
compensation is a non-cash expense that varies in amount from
period to period and is dependent on market forces that are often
beyond Quantum's control. Management believes that non-GAAP
measures adjusted for share-based compensation provide investors
with a basis to measure Quantum's core performance against the
performance of other companies without the variability created by
share-based compensation as a result of the variety of equity
awards used by other companies and the varying methodologies and
assumptions used.
Restructuring Charges
Restructuring charges primarily relate to expenses associated with
changes to Quantum's operating structure. Restructuring charges are
excluded from non-GAAP financial measures because they are not
considered core operating activities. Although Quantum has engaged
in various restructuring activities in the past, each has been a
discrete event based on a unique set of business objectives.
Management believes that it is appropriate to exclude restructuring
charges from Quantum's non-GAAP financial measures, as it enhances
the ability of investors to compare Quantum's period-over-period
operating results from continuing operations.
Outsourcing Transition Costs
Outsourcing transition costs are expenses attributable to
transitioning our manufacturing to an outsourced model. These costs
are excluded from non-GAAP financial measures because they are not
considered core operating activities and management believes that
it is appropriate to exclude these costs in order to provide
investors the ability to compare Quantum's period-over-period
operating results from continuing operations.
Proxy Contest and Related Costs
Proxy contest and related costs are expenses incurred to respond to
activities and inquiries of Starboard Value LP, including their
proxy solicitation. The Company has not incurred significant
expenses in connection with such matters in historical periods and
these costs are not considered core operating activities.
Management believes that it is appropriate to exclude these costs
in order to provide investors the ability to compare Quantum's
period-over-period operating results from continuing
operations.
Crossroads Patent Litigation Costs
Crossroads patent litigation costs are expenses incurred to defend
ourselves and perform other activities related to a patent
infringement lawsuit filed by Crossroads Systems, Inc. These costs
are excluded from non-GAAP financial measures because they are not
considered core operating activities, and management believes that
it is appropriate to exclude these costs in order to provide
investors the ability to compare Quantum's period-over-period
operating results from continuing operations.
Non-GAAP financial measures should not be considered as a
substitute for, or superior to, measures of financial performance
prepared in accordance with GAAP. They are limited in value because
they exclude charges that have a material impact on the company's
reported financial results and, therefore, should not be relied
upon as the sole financial measures to evaluate the company. The
non-GAAP financial measures are meant to supplement, and be viewed
in conjunction with, GAAP financial measures. Investors are
encouraged to review the reconciliation of the non-GAAP financial
measures to their most directly comparable GAAP financial measures
as provided in the tables accompanying this press release.
Contact:
Brad Cohen
Public Relations
Quantum Corp.
(408) 944-4044
brad.cohen@quantum.com
Brinlea Johnson or Allise
Furlani
Investor Relations
The Blueshirt Group
(212) 331-8424 or (212) 331-8433
brinlea@blueshirtgroup.com or allise@blueshirtgroup.com
QUANTUM
CORPORATION
|
CONDENSED
CONSOLIDATED BALANCE SHEETS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
June 30,
2015
|
|
March 31,
2015*
|
|
|
|
|
Assets
|
|
|
|
Current
assets:
|
|
|
|
Cash and cash
equivalents
|
$
53,685
|
|
$
67,948
|
Restricted
cash
|
2,713
|
|
2,621
|
Accounts
receivable
|
97,329
|
|
124,159
|
Manufacturing
inventories
|
49,149
|
|
50,274
|
Service parts
inventories
|
24,713
|
|
24,640
|
Other current
assets
|
12,178
|
|
11,942
|
Total current assets
|
239,767
|
|
281,584
|
|
|
|
|
Long-term
assets:
|
|
|
|
Property and
equipment
|
14,401
|
|
14,653
|
Intangible
assets
|
594
|
|
731
|
Goodwill
|
55,613
|
|
55,613
|
Other long-term
assets
|
4,246
|
|
4,577
|
Total long-term
assets
|
74,854
|
|
75,574
|
|
|
|
|
|
$
314,621
|
|
$
357,158
|
|
|
|
|
Liabilities and
Stockholders' Deficit
|
|
|
|
Current
liabilities:
|
|
|
|
Accounts
payable
|
$
35,855
|
|
$
54,367
|
Accrued
warranty
|
3,600
|
|
4,219
|
Deferred
revenue, current
|
89,390
|
|
95,899
|
Accrued
restructuring charges, current
|
2,674
|
|
3,855
|
Convertible
subordinated debt, current
|
83,501
|
|
83,345
|
Accrued
compensation
|
34,450
|
|
35,414
|
Other accrued
liabilities
|
15,734
|
|
20,740
|
Total current
liabilities
|
265,204
|
|
297,839
|
|
|
|
|
Long-term
liabilities:
|
|
|
|
Deferred
revenue, long-term
|
37,359
|
|
39,532
|
Accrued
restructuring charges, long-term
|
881
|
|
991
|
Convertible subordinated debt, long-term
|
68,908
|
|
68,793
|
Other
long-term liabilities
|
10,262
|
|
10,441
|
Total
long-term liabilities
|
117,410
|
|
119,757
|
|
|
|
|
Stockholders'
deficit
|
(67,993)
|
|
(60,438)
|
|
|
|
|
|
$
314,621
|
|
$
357,158
|
*
|
Derived from the
March 31, 2015 audited Consolidated Financial
Statements.
|
|
QUANTUM
CORPORATION
|
|
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
(In thousands,
except per share amounts)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
June 30,
2015
|
|
June 30,
2014
|
|
|
|
|
|
|
|
|
|
|
|
Revenue:
|
|
|
|
|
|
|
|
Product
|
$
62,719
|
|
$
80,194
|
|
|
|
|
Service
|
37,939
|
|
38,500
|
|
|
|
|
Royalty
|
10,198
|
|
9,434
|
|
|
|
|
Total
revenue
|
110,856
|
|
128,128
|
|
|
|
Cost of
revenue:
|
|
|
|
|
|
|
|
Product
|
46,964
|
|
54,908
|
|
|
|
|
Service
|
16,927
|
|
17,694
|
|
|
|
|
Total cost of
revenue
|
63,891
|
|
72,602
|
|
|
|
|
Gross
margin
|
46,965
|
|
55,526
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
expenses:
|
|
|
|
|
|
|
|
Research and
development
|
13,323
|
|
14,554
|
|
|
|
|
Sales and
marketing
|
27,605
|
|
27,705
|
|
|
|
|
General and
administrative
|
13,986
|
|
14,371
|
|
|
|
|
Restructuring
charges
|
258
|
|
865
|
|
|
|
|
Total operating
expenses
|
55,172
|
|
57,495
|
|
|
|
|
Gain on sale of
assets
|
-
|
|
462
|
|
|
|
|
Loss from
operations
|
(8,207)
|
|
(1,507)
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income and
expense
|
(286)
|
|
(125)
|
|
|
|
|
Interest
expense
|
(1,923)
|
|
(2,444)
|
|
|
|
|
Loss before income
taxes
|
(10,416)
|
|
(4,076)
|
|
|
|
|
Income tax
provision
|
339
|
|
248
|
|
|
|
|
Net loss
|
$ (10,755)
|
|
$
(4,324)
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted net
loss per share
|
$
(0.04)
|
|
$
(0.02)
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
basic and diluted shares:
|
258,448
|
|
250,666
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Included in the above
Statements of Operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization of
intangibles:
|
|
|
|
|
|
|
|
Cost of
revenue
|
$
137
|
|
$
378
|
|
|
|
|
Sales and
marketing
|
-
|
|
1,856
|
|
|
|
|
|
137
|
|
2,234
|
|
|
|
|
Share-based
compensation:
|
|
|
|
|
|
|
|
Cost of
revenue
|
362
|
|
414
|
|
|
|
|
Research and
development
|
549
|
|
780
|
|
|
|
|
Sales and
marketing
|
870
|
|
910
|
|
|
|
|
General and
administrative
|
872
|
|
964
|
|
|
|
|
|
2,653
|
|
3,068
|
|
|
|
|
Outsourcing
transition costs:
|
|
|
|
|
|
|
|
Cost of
revenue
|
-
|
|
126
|
|
|
|
|
|
-
|
|
126
|
|
|
|
|
Proxy contest and
related costs:
|
|
|
|
|
|
|
|
General and
administrative
|
-
|
|
188
|
|
|
|
|
|
-
|
|
188
|
|
|
|
|
Crossroads patent
litigation costs:
|
|
|
|
|
|
|
|
General and
administrative
|
721
|
|
222
|
|
|
|
|
|
721
|
|
222
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
QUANTUM
CORPORATION
|
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
June 30,
2015
|
|
June 30,
2014
|
|
|
|
|
|
Cash flows from
operating activities:
|
|
|
|
|
Net loss
|
|
$ (10,755)
|
|
$ (4,324)
|
Adjustments to
reconcile net loss to net cash provided by (used in) operating
activities:
|
|
|
|
|
Depreciation
|
|
1,718
|
|
2,198
|
Amortization
of intangible assets
|
|
137
|
|
2,234
|
Amortization
of debt issuance costs
|
|
324
|
|
411
|
Service parts
lower of cost or market adjustment
|
|
1,146
|
|
1,154
|
Deferred
income taxes
|
|
38
|
|
(77)
|
Share-based
compensation
|
|
2,653
|
|
3,068
|
Gain on sale
of assets
|
|
-
|
|
(462)
|
Changes in
assets and liabilities:
|
|
|
|
|
Accounts
receivable
|
|
26,830
|
|
11,140
|
Manufacturing
inventories
|
|
(63)
|
|
597
|
Service parts
inventories
|
|
(472)
|
|
(63)
|
Accounts
payable
|
|
(18,702)
|
|
(3,010)
|
Accrued
warranty
|
|
(619)
|
|
(218)
|
Deferred
revenue
|
|
(8,682)
|
|
(6,446)
|
Accrued restructuring
charges
|
|
(1,291)
|
|
(927)
|
Accrued
compensation
|
|
(1,062)
|
|
1,549
|
Other assets and
liabilities
|
|
(4,759)
|
|
(550)
|
Net cash provided by
(used in) operating activities
|
|
(13,559)
|
|
6,274
|
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
|
Purchases of property
and equipment
|
|
(840)
|
|
(1,371)
|
Proceeds from sale of
assets
|
|
-
|
|
462
|
Change in restricted
cash
|
|
(59)
|
|
(20)
|
Net cash used in
investing activities
|
|
(899)
|
|
(929)
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
|
Payment of taxes due
upon vesting of restricted stock
|
|
(74)
|
|
(119)
|
Proceeds from
issuance of common stock
|
|
266
|
|
114
|
Net cash provided by
(used in) financing activities
|
|
192
|
|
(5)
|
|
|
|
|
|
Effect of exchange
rate changes on cash and cash equivalents
|
|
3
|
|
(1)
|
|
|
|
|
|
Net increase
(decrease) in cash and cash
equivalents
|
|
(14,263)
|
|
5,339
|
Cash and cash
equivalents at beginning of period
|
|
67,948
|
|
99,125
|
Cash and cash
equivalents at end of period
|
|
$
53,685
|
|
$ 104,464
|
QUANTUM
CORPORATION
|
GAAP TO NON-GAAP
RECONCILIATION
|
(In thousands,
except per share amounts)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
Gross
Margin
|
|
Gross Margin
Rate
|
|
|
Loss From
Operations
|
|
Operating
Margin
|
|
Net
Loss
|
|
Per Share Net
Loss, Basic
|
|
Per Share Net
Loss, Diluted
|
GAAP
|
$ 46,965
|
|
42.4%
|
|
|
$
(8,207)
|
|
(7.4)%
|
|
$ (10,755)
|
|
$
(0.04)
|
|
$
(0.04)
|
Non-GAAP Reconciling
Items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization of
intangibles
|
137
|
|
|
|
|
137
|
|
|
|
137
|
|
|
|
|
Share-based
compensation
|
362
|
|
|
|
|
2,653
|
|
|
|
2,653
|
|
|
|
|
Restructuring
charges
|
-
|
|
|
|
|
258
|
|
|
|
258
|
|
|
|
|
Crossroads patent
litigation costs
|
-
|
|
|
|
|
721
|
|
|
|
721
|
|
|
|
|
Non-GAAP
|
$ 47,464
|
|
42.8%
|
|
|
$
(4,438)
|
|
(4.0)%
|
|
$ (6,986)
|
|
$
(0.03)
|
|
$
(0.03)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Computation of
basic and diluted net loss per share:
|
|
|
|
|
|
GAAP
|
|
Non-GAAP
|
Net
loss
|
|
|
|
|
|
|
|
|
|
$
(10,755)
|
|
$
(6,986)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average shares:
|
|
|
|
|
|
|
|
|
|
Basic and
diluted
|
|
|
|
|
|
|
|
|
258,448
|
|
258,448
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2014
|
|
Gross
Margin
|
|
Gross Margin
Rate
|
|
|
Income (Loss) From
Operations
|
|
Operating
Margin
|
|
Net Income
(Loss)
|
|
Per Share Net
Income (Loss), Basic
|
|
Per Share Net
Income (Loss), Diluted
|
GAAP
|
$ 55,526
|
|
43.3%
|
|
|
$
(1,507)
|
|
(1.2)%
|
|
$ (4,324)
|
|
$
(0.02)
|
|
$
(0.02)
|
Non-GAAP
Reconciling Items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Amortization of
intangibles
|
378
|
|
|
|
|
2,234
|
|
|
|
2,234
|
|
|
|
|
Share-based
compensation
|
414
|
|
|
|
|
3,068
|
|
|
|
3,068
|
|
|
|
|
Restructuring
charges
|
-
|
|
|
|
|
865
|
|
|
|
865
|
|
|
|
|
Outsourcing
transition costs
|
126
|
|
|
|
|
126
|
|
|
|
126
|
|
|
|
|
Proxy contest
and related costs
|
-
|
|
|
|
|
188
|
|
|
|
188
|
|
|
|
|
Crossroads patent
litigation costs
|
-
|
|
|
|
|
222
|
|
|
|
222
|
|
|
|
|
Non-GAAP
|
$ 56,444
|
|
44.1%
|
|
|
$
5,196
|
|
4.1%
|
|
$ 2,379
|
|
$
0.01
|
|
$
0.01
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Computation of
basic and diluted net income (loss) per share:
|
|
|
|
|
|
GAAP
|
|
Non-GAAP
|
Net income
(loss)
|
|
|
|
|
|
|
|
|
$
(4,324)
|
|
$
2,379
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted
average shares:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
|
|
|
|
|
|
|
250,666
|
|
250,666
|
Dilutive shares
from stock plans
|
|
|
|
|
|
-
|
|
2,681
|
Diluted
|
|
|
|
|
|
|
|
|
|
|
250,666
|
|
253,347
|
The non-GAAP
financial information set forth in this table is not prepared in
accordance with generally accepted accounting principles and may be
different from non-GAAP financial information used by other
companies.
|
QUANTUM
CORPORATION
|
FORECAST SECOND
QUARTER FISCAL 2016
|
GAAP TO NON-GAAP
RECONCILIATION
|
(Dollars in
millions, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
Percentage
Range
|
Forecast gross
margin rate on a GAAP basis
|
41.7%
|
-
|
42.7%
|
Forecast share-based
compensation
|
0.3%
|
Forecast gross
margin rate on a non-GAAP basis
|
42.0%
|
-
|
43.0%
|
|
|
|
|
|
|
Dollar
Range
|
Forecast operating
expense on a GAAP basis
|
$
54.8
|
-
|
$ 56.8
|
Forecast share-based
compensation
|
(2.5)
|
Forecast Crossroads
patent litigation costs
|
(0.3)
|
Forecast operating
expense on a non-GAAP basis
|
$
52.0
|
-
|
$ 54.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Estimates based on
current (July 30, 2015) projections.
|
The projected GAAP
and non-GAAP financial information set forth in this table
represent forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. For risk factors
that could impact these projections, see our Annual Report on Form
10-K as filed with the SEC on June 12, 2015. We disclaim any
obligation to update information in any forward-looking
statement.
|
|
|
|
|
|
The non-GAAP
financial information set forth in this table is not prepared in
accordance with generally accepted accounting principles and may be
different from non-GAAP financial information used by other
companies.
|
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SOURCE Quantum Corp.