Seagate Technology reported financial results for the quarter ended December 29, 2017. For the second quarter, the Company reported revenue of $2.9 billion, gross margin of 30.1%, net income of $159 million and diluted earnings per share of $0.55. On a non-GAAP basis, which excludes the net impact of certain items, Seagate reported gross margin of 30.4%, net income of $431 million and diluted earnings per share of $1.48.
During the second quarter, the Company generated $850 million in cash flow from operations and $773 million in free cash flow. Cash and cash equivalents totaled approximately $2.6 billion at the end of the quarter. There were 285 million ordinary shares issued and outstanding as of the end of the quarter.
“Achieving year-over-year revenue and profitability growth and significant cash flow generation in the December quarter reflects Seagate’s solid execution and competitiveness of our storage solutions portfolio, particularly in the cloud-based environments. With our leading storage technology platforms, manufacturing and supply-chain management capabilities, Seagate is in a strong position to support ever-increasing storage demand from diverse markets and applications. Looking ahead, we will continue to focus on operational excellence and accomplishing our financial and shareholder-return objectives,” said Dave Mosley, Seagate’s chief executive officer.
The Board of Directors of the Company has approved a quarterly cash dividend of $0.63 per share, which will be payable on April 4, 2018 to shareholders of record as of the close of business on March 21, 2018. The payment of any future quarterly dividends will be at the discretion of the Board and will be dependent upon Seagate’s financial position, results of operations, available cash, cash flow, capital requirements and other factors deemed relevant by the Board, said a statement.