VMware smashes Q2 with record revenues nearing US$1bn

20.07.2011 Virtualisation powerhouse VMware reported profits of US$220m on second quarter earnings of US$921m, up 37pc on last year. The company triumphantly declared the continued...

19.07.2011 Apple's Q3 earnings reached a massive US$28.5bn, up 82pc from US$15.7bn thanks to the enduring success of its iPhone and iPad devices, delivering a profit of US$7.3bn, up from...

Virtualisation powerhouse VMware reported profits of US$220m on second quarter earnings of US$921m, up 37pc on last year. The company triumphantly declared the continued adoption of virtualisation is driving its success.

“The quarter's strong performance reflects the continued adoption of virtualisation as a key research for the then and there era of computing,” said Paul Maritz, chief executive officer.

US earnings for the second quarter of 2011 grew 35pc to US$450 million from the second quarter of 2010. International earnings grew 38pc to US$471 million from the second quarter of 2010.

The second quarter of 2011 were US$465 million

License earnings for the second quarter of 2011 were US$465 million, an increase of 44pc from the second quarter of 2010 as reported, and an increase of 40pc measured in constant currency.

Service earnings, which include software maintenance and professional services, were US$456 million for the second quarter of 2011, an increase of 30pc from the second quarter of 2010. 

The range of US$915

“Third quarter 2011 earnings are expected to be in the range of US$915 and US$940 million, a year-over-year increase of 28pc to 32pc. The third quarter non-GAAP operating margin is expected to decline sequentially by 260 to 360 basis points.  For the year, we expect annual earnings to be in the range of US$3.65 billion and US$3.75 billion, an increase of 28pc to 31pc compared to 2010.

In June 2011, VMware announced a new collaboration with HP on turnkey solutions to simplify and accelerate virtualisation for clients on the journey to cloud computing. The new HP VirtualSystem solutions will be integrated, pre-tested IT infrastructure stacks that will help improve business agility, lower costs and enable cloud computing for enterprise clients of all sizes.

With near 200 new and enhanced capabilities, vSphere 5 is expected to set the standard in virtualisation, delivering better application performance and availability for all business-critical applications during automating the management of all data centre resources.