Revenue Growth - Net revenue for the three months ended March 28, 2025, increased by 31% to $2,294 million, driven by a 4% increase in units sold and a 23% increase in pricing [162]. - For the nine months ended March 28, 2025, net revenue rose by 60% to $6,915 million, attributed to an 18% increase in units sold and a 35% increase in average selling price per unit [164]. - Cloud revenue for the three months ended March 28, 2025, increased by 38% to $2,007 million, reflecting a 14% increase in units sold and an 18% increase in average selling price per unit [165]. Income and Profitability - Operating income for the three months ended March 28, 2025, was $760 million, a significant increase of 709% compared to the prior year [162]. - The company reported a net income from continuing operations of $772 million for the three months ended March 28, 2025, compared to a net loss of $8 million in the same period last year [162]. - Gross profit increased by $393 million for the three months ended March 28, 2025, primarily due to higher product shipments and improved pricing [171]. - Gross margin increased by 10 percentage points year over year for the three months ended March 28, 2025, mainly due to improved pricing [171]. - Operating income for the nine months ended March 28, 2025, was $435 million, a turnaround from an operating loss of $927 million for the year ended June 28, 2024 [212]. - Net income for the nine months ended March 28, 2025, was $138 million, compared to a net loss of $1,211 million for the year ended June 28, 2024 [212]. Expenses and Cost Management - Total operating expenses for the three months ended March 28, 2025, decreased by 64% to $152 million, primarily due to a reduction in selling, general, and administrative expenses [162]. - Selling, general and administrative (SG&A) expense decreased by $68 million for the three months ended March 28, 2025, primarily due to a decrease in compensation and benefits [174]. - Research and development (R&D) expense increased by $49 million for the nine months ended March 28, 2025, primarily driven by higher variable compensation and increased headcount [173]. Cash Flow and Liquidity - Net cash provided by operating activities was $945 million for the nine months ended March 28, 2025, compared to a net cash used of $660 million for the same period in the prior year [185]. - Cash and cash equivalents increased by $1.598 billion for the nine months ended March 28, 2025 [185]. - Net cash provided by investing activities for the nine months ended March 28, 2025, was $401 million from the sale of a majority interest in a subsidiary, offset by $336 million in capital expenditures [195]. - Net cash provided by financing activities for the nine months ended March 28, 2025, included $2.15 billion from drawing on credit facilities, partially offset by $1.37 billion transferred to Sandisk [196]. Business Separation and Future Outlook - The company completed the separation of its HDD and Flash business units on February 21, 2025, creating two independent public companies [156]. - The company anticipates that digital transformation, including the artificial intelligence data-cycle, will drive improved market conditions in the long term [159]. - The company expects to monetize its 19.9% stake in Sandisk within one year from the separation date [156]. Inventory and Receivables Management - For the three months ended March 28, 2025, Days Sales Outstanding (DSO) increased by 7 days to 58 days, primarily due to lower trade accounts receivable factoring and timing of shipments [194]. - Days in Inventory (DIO) decreased by 24 days to 86 days, reflecting higher consumption of inventory driven by increased sales [194]. - Days Payable Outstanding (DPO) increased by 10 days to (85) days, attributed to more favorable payment terms and timing of purchases [194]. Tax and Regulatory Matters - The liability for unrecognized tax benefits as of March 28, 2025, was $561 million, with potential cash payments of approximately $476 million [200]. - The estimated mandatory deemed repatriation tax obligation as of March 28, 2025, was $331 million, expected to be paid within the next twelve months [214]. Capital Structure and Dividends - A quarterly cash dividend program was authorized, with a declared dividend of $0.10 per share to be paid on June 18, 2025 [204]. - The company issued $1.60 billion in convertible senior notes in November 2023, maturing on November 15, 2028, with an annual interest rate of 3.00% [206]. - As of March 28, 2025, the company had $1.25 billion available for borrowing under its revolving credit facility maturing in January 2027 [208]. Asset Management - As of March 28, 2025, current assets increased to $5,313 million from $2,149 million on June 28, 2024, while non-current assets rose to $4,677 million from $2,208 million [212]. - Intercompany revenue for the nine months ended March 28, 2025, was $1,128 million, down from $1,416 million for the year ended June 28, 2024 [212]. Accounting Policies - There have been no material changes in critical accounting policies and estimates from those disclosed in the 2024 Annual Report [221]. - The company has begun capitalizing and amortizing R&D expenses since 2023, which may lead to higher cash tax payments in future profitable periods [215]. - The company utilizes foreign exchange contracts to hedge against currency fluctuations affecting operating expenses and product costs [216].

Group 1 - Chip stocks have been significant underperformers in the stock market this year, with the iShares Semiconductor ETF (SOXX) declining nearly 20% [1] - Concerns affecting the semiconductor industry include increased competition from cheaper chips produced in China, a potential trade war, and other market dynamics [1] Group 2 - Gary Alexander has extensive experience in technology sectors, having worked on Wall Street and in Silicon Valley, and has been an advisor to several seed-round startups [1]

Western Digital Corporation (WDC) reported third-quarter fiscal 2025 non-GAAP earnings of $1.36 per share, which surpassed the Zacks Consensus Estimate of $1.17. The company reported earnings of 63 cents per share in the prior-year quarter. Management anticipated fiscal third-quarter non-GAAP earnings per share to be between 90 cents per share and $1.20. (See the Zacks Earnings Calendar to stay ahead of market-making news.)Revenues of $2.29 billion surged 31% year over year, beating the Zacks Consensus Esti ...

Company Overview - Western Digital held its Third Quarter Fiscal 2025 Conference Call, with key participants including CEO Irving Tan and Interim CFO Don Bennett [2][3]. Financial Performance - The discussion included forward-looking statements based on management's current assumptions and expectations regarding product portfolio, business plans, market trends, and future financial results [4]. Risk Factors - The company acknowledged various risks and uncertainties that could cause actual results to differ materially from expectations, referencing their most recent financial report on Form 10-K for detailed information [5].

Western Digital (WDC) came out with quarterly earnings of $1.36 per share, beating the Zacks Consensus Estimate of $1.22 per share. This compares to earnings of $0.63 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 11.48%. A quarter ago, it was expected that this maker of hard drives for businesses and personal computers would post earnings of $1.75 per share when it actually produced earnings of $1.77, delivering a surprise o ...

Western Digital (WDC) Q3 2025 Earnings Call April 30, 2025 08:30 AM ET Speaker0 Good afternoon, and thank you for standing by. Welcome to Western Digital's third quarter fiscal twenty twenty five conference call. Presently, all participants are in listen only mode. Later, we will conduct a question and answer session. At that time, if you would like to ask a question, you may press 1 on your phone. As a reminder, this call Speaker1 is being Speaker0 recorded. Now I will turn the call over to mister Ambrish ...

Western Digital (WDC) Q3 2025 Earnings Call April 30, 2025 08:30 AM ET Company Participants Ambrish Srivastava - VP - Investor RelationsIrving Tan - Chief Executive OfficerDon Bennett - Interim CFOErik Woodring - Managing Director - Equity ResearchKarl Ackerman - Managing Director - Equity ResearchCJ Muse - Senior Managing DirectorAsiya Merchant - Technology Equity ResearchAmit Daryanani - Senior Managing Director - Equity ResearchThomas O'Malley - Director - Equity ResearchSteven Fox - Founder & CEOHarlan ...

April 30, 2025 2 © 2025 WESTERN DIGITAL CORPORATION OR ITS AFFILIATES ALL RIGHTS RESERVED Disclaimers Fiscal Third Quarter 2025 Financial Results Western Digital © 2025 WESTERN DIGITAL CORPORATION OR ITS AFFILIATES ALL RIGHTS RESERVED 3 Fiscal Third Quarter Executive Summary 1. See Appendix for GAAP to non-GAAP Reconciliations. Results1 Forward-Looking Statements This presentation contains forward-looking statements within the meaning of federal securities laws, including statements regarding expectations f ...

Western Digital Reports Fiscal Third Quarter 2025 Financial Results; Adopts Dividend Program and Declares Quarterly Cash Dividend on Common Stock News Summary SAN JOSE, Calif. — April 30, 2025 — Western Digital Corp. (Nasdaq: WDC) today reported fiscal third quarter 2025 financial results. "Western Digital executed well in its fiscal third quarter achieving revenue at the high end of our guidance range and gross margin over 40%," said Irving Tan, CEO of Western Digital. "Even in a world marked by geopolitic ...

Western Digital Corporation WDC will release earnings results for the third quarter, before the opening bell on Wednesday, April 30.Analysts expect the San Jose, California-based company to report quarterly earnings at $1.11 per share, up from 63 cents per share in the year-ago period. Western Digital projects to report quarterly revenue at $2.48 billion, compared to $3.46 billion a year earlier, according to data from Benzinga Pro.On Feb. 24, Western Digital announced the completion of the planned separati ...