Smart Global Holdings Inc (NASDAQ: SGH) reported better-than-expected earnings for its fourth quarter and issued strong first-quarter earnings guidance.
Net sales proved $374.0 million, 68% higher than year-ago quarter. The company also reported GAAP operating income of $45.0 million, and GAAP net income of $29.7 million. Adjusted EBITDA was $51.0 million, while GAAP diluted Earnings Per Share were $1.28. Non-GAAP diluted EPS of $1.72
Said CEO Ajay Shah, "We completed fiscal 2018 with another great quarter, including the closing of our acquisition of Penguin Computing.
"In addition, we closed our first full fiscal year as a public company with record revenues that crossed the $1-billion mark. Driving this performance was strength in our Specialty Memory business which had a very strong quarter and earned new NVDIMM and VLP RDIMM design wins at major Storage and Server customers.
"We also had design wins for our ruggedized SSD products and our Embedded Data Cache product in the Industrial Automation market. Brazil continued its strong performance and added many new memory products for PC, server and smartphone applications as well as a new polymer cell-based battery product for smartphones."
As for first-quarter expectations, net sales are to fall between $375 and $390 million. GAAP gross margin is expected between 22% and 23%. Diluted EPS – non-GAAP – is projected between $1.74 and $1.79
Shares climbed $7.33, or 27%, to $34.50 Friday morning.
