VMware, Inc. (NYSE: VMW) rose sharply in the first hour of trade on Friday, after the company reported stronger-than-expected results for its third quarter and raised its FY19 guidance.
The Palo Alto-based company said revenue for the third quarter was $2.20 billion, an increase of 14% from the third quarter of fiscal 2018. License revenue for the third quarter was $884 million, an increase of 17% from the third quarter of fiscal 2018.
GAAP net income for the third quarter was $334 million, including a loss of $161 million on an investment in Pivotal Software, or $0.81 per diluted share, down 16% per diluted share compared to $395 million, or $0.96 per diluted share, for the third quarter of fiscal 2018.
Non-GAAP net income for the third quarter was $645 million, or $1.56 per diluted share, up 26% per diluted share compared to $509 million, or $1.23 per diluted share, for the third quarter of fiscal 2018.
Said CEO Pat Gelsinger, "Our successful annual VMworld events featured many new product, partnership and acquisition announcements—demonstrating continued innovation and investment in our strategy for the future."
VMware is raising full-year fiscal 2019 total revenue guidance to $8.882 billion (up from prior guidance of $8.820 billion), updating GAAP net income per diluted share to between $5.95 and $6.07, and updating non-GAAP net income per diluted share to $6.22 (up from prior guidance of $6.14 per diluted share).
Shares in VMW zoomed $4.78, or 3%, to $166.26
Related Stories
