Tag: losses

  • Seagate Loses $81m in Q2, Ships 40.6 million HDDs


    Seagate reported a loss of USD $81 million on revenue of $2.35 billion for the second quarter of this year.

    Despite the poor results, the company said it is seeing signs that the storage market is improving and it is making progress toward returning to sustained GAAP profitability as soon as possible.

    Seagate said it shipped 40.6 million hard drives during the quarter and a total of 163.8 million units for the fiscal year ended on July 3, 2009.

    Revenue for the year was revenue of USD $9.8 billion, the net loss was $3.1 billion.

    Steve Luczo, Seagate’s CEO, said the overall organizational, operational, technical and product progress made during the last six months is reflected in the company’s financial results for the June quarter.

    "We are also seeing signs that the storage markets are improving and are providing better visibility into the demand environment," he said.

    Steve Luczo, Seagate’s CEO

    "Our approach to the September quarter with respect to our production volumes and product mix is to continue to manage our factories with an intense focus on maximizing our return on invested capital while satisfying our customers’ requirements."

    The company remains cautious on its business outlook and mentioned that it is difficult to predict product demand and other related matters.

    For the September quarter, the company is planning for the overall industry demand for disk drives to be between 135 and 140 million units.

  • Motorola to cut mobile staff by half


    Motorola is considering reducing the workforce in its mobile devices group by as much as 50 per cent.

    The company is reportedly set to start major layoffs this week that would reduce staff levels by half and is said to be dramatically scaling back its phone development as a whole.

    Nearly all development for smartphones is already believed to be switching exclusively to Android while Motorola’s own phone introductions may scale back to as few as 12 devices per year.

    The company is also reportedly shelving plans to have a booth at the CTIA show in April despite its being the premier cellphone event in the US, according to Phone Scoop.

    The cutbacks if accurate suggest increasingly desperate attempts to revive the company’s fortunes.

    In the last quarter, Motorola had a USD $397 million loss and phone sales by the American cellphone producer dropped by a third in just 12 months.

    Much of the blame for this has been put on substantial drops in high-end phones as well as the lack of a compelling low-end product.

    The company’s popular RAZR recently lost its top ranking in the US to the iPhone and BlackBerries.