LONDON, UK / ACCESSWIRE / February 01, 2018 / Active-Investors.com has just released a free earnings report on Western Digital Corp. (NASDAQ: WDC). If you want access to this report all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=WDC. The Company reported its second quarter fiscal 2018 operating and financial results on January 25, 2018. The maker of hard drives for businesses and personal computers outperformed top- and bottom-line expectations and provided guidance for the upcoming quarter and fiscal year. Register today and get access to over 1000 Free Research Reports by joining our site below:

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Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Western Digital most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

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Earnings Highlights and Summary

Western Digital reported record revenues of $5.34 billion for its second fiscal quarter ended December 29, 2017, compared to $4.89 billion in Q2 FY17, reflecting a growth of 9.2% on a y-o-y basis. The Company's revenue numbers beat analysts' estimates of $5.29 billion.

For Q2 FY18, Western Digital posted an operating income of $955 million compared to $545 million in Q2 FY17. The Company's reported quarter results included a provisional net tax charge of $1.6 billion primarily due to the repatriation tax as a result of the Tax Cuts and Jobs Act (Tax Reform). Excluding this charge and after other non-GAAP adjustments, the Company achieved a record non-GAAP operating income of $1.4 billion for the reported quarter compared to $995 million in the year ago same quarter.

Western Digital reported a GAAP net loss of $823 million, or $2.78 loss per share, for Q2 FY18 compared to a net income of $235 million, or $0.80 per share, in Q2 FY17. Excluding the Tax Reform charge and after other non-GAAP adjustments, the Company posted a record non-GAAP net income of $1.2 billion, or $3.95 per share, compared to a non-GAAP net income of $675 million, or $2.30 per share, in the year earlier quarter. Western Digital's earnings beat Wall Street's estimates of $3.81 per share.

Segment Results

During Q2 FY18, Western Digital's revenue in the Data Center Devices and Solutions segment totaled $1.4 billion, reflecting a growth of 3% on a y-o-y basis. The segment reported a significant growth from capacity enterprise hard drives, which was partially offset by an expected decline in performance enterprise hard drives.

For Q2 FY18, Western Digital's Client Devices segment's revenue grew 9% to $2.6 billion on a y-o-y basis, primarily driven by significant growth in mobility, client SSDs, and surveillance products. The Company's Client Solutions segment's revenue jumped 17% to $1.3 billion on a y-o-y basis, mostly as a result of the strength and reach of the Company's global retail brands.

Cash Matters

Western Digital generated approximately $1.2 billion in cash from operations during Q2 FY18, representing an increase of 12% on a y-o-y basis. The Company invested $629 million in capital investments, resulting in a free cash flow of $553 million for the reported quarter. As of December 29, 2017, Western Digital had $6.4 billion of total cash, cash equivalents, and available-for-sale securities.

On January 29, 2018, Western Digital announced that its Board of Directors declared a cash dividend for the quarter ending March 30, 2018, of $0.50 per share of common stock. The cash dividend will be paid on April 16, 2018, to the Company's stockholders of record as of March 30, 2018.

Outlook

For the third quarter of the fiscal year 2018, Western Digital is forecasting revenue to be approximately $4.9 billion, consistent with a seasonally weaker fiscal third quarter. The Company is estimating gross margin to be between 42% and 43%; operating expenses to be between $840 million and $850 million; and effective tax rate to be in the range of 5% to 7% for the upcoming quarter. Western Digital is anticipating non-GAAP earnings per share between $3.20 and $3.30 for Q3 FY18.

For the fiscal year 2018, Western Digital is projecting non-GAAP earnings per share to be in the band of $13.50 and $14.

Stock Performance Snapshot

January 31, 2018 - At Wednesday's closing bell, Western Digital's stock climbed 2.18%, ending the trading session at $88.98.

Volume traded for the day: 8.52 million shares, which was above the 3-month average volume of 4.14 million shares.

Stock performance in the last month ? up 11.88%; previous three-month period ? up 3.72%; past twelve-month period ? up 11.60%; and year-to-date ? up 11.88%

After yesterday's close, Western Digital's market cap was at $26.34 billion.

Price to Earnings (P/E) ratio was at 73.48.

The stock has a dividend yield of 2.25%.

The stock is part of the Technology sector, categorized under the Data Storage Devices industry. This sector was up 0.6% at the end of the session.

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