NetApp's 'disappointing' results

Stephen Withers
Friday, 03 August 2007 07:14

IT Industry - Listed Tech

Network Appliance's preliminary results for the first quarter of its 2008 financial year show revenue of around $US686 million, approximately 15 percent down on the previous quarter.

"We are disappointed with our Q1 results. We believe our performance was impacted by some continued softness in enterprise storage spending, most notably in our existing customer accounts in the US and parts of Europe," said CEO Dan Warmenhoven. "However, these same enterprise customers who have slowed their spending tell us that our value proposition remains the best in the industry and we did not see any decline in our competitive win rates."

The storage vendor's preliminary results are distinctly worse than the target it revealed in May, which predicted a revenue drop of between six and seven percent.

Final results will be announced on August 15.