NASDAQ$STX

Seagate Technology PLC · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Seagate's Q3 2024 financial results were released, showcasing revenue growth and improved EPS.

Seagate Technology reported a 6% increase in revenue to $1.66 billion and a significant rise in non-GAAP EPS, more than doubling over the previous quarter. This improvement was driven by growing cloud demand, strong operating discipline, and effective price execution.

  • Revenue reached $1.66 billion.
  • GAAP diluted EPS was $0.12, while non-GAAP diluted EPS was $0.33.
  • Generated $188 million in cash flow from operations and $128 million in free cash flow.
  • Declared a cash dividend of $0.70 per share.

Headline financials

Total Revenue

$1.66B

Previous: $1.86B-11.0%
EPS

$0.12

Previous: -$0.28+142.9%
GAAP Gross Margin

25.7%

No prior period
Non-GAAP Gross Margin

26.1%

No prior period
GAAP Operating Margin

8.6%

No prior period
Non-GAAP Operating Margin

11.1%

No prior period
Capital Expenditures

-$200M

Previous: -$266M+24.8%
Free Cash Flow

-$175M

Previous: -$699M+75.0%
Net Income

$25M

Previous: -$433M+105.8%
Operating Income

$143M

Previous: -$315M+145.4%
Gross Profit

$425M

Previous: $319M+33.2%
Cash & Equivalents

$795M

Previous: $766M+3.8%
Total Assets

$7.1B

Previous: $7.97B-10.9%
R&D Expense

$164M

No prior period
Stock-Based Comp

$34M

Previous: $31M+9.7%

Revenue & EPS history

Seagate · Revenue · Quarterly

$1.66B

Q3 2024-11%vs Q3 2023
Beat estimate in 4 of 15 quarters(27%)
ActualEstimate

Forward guidance

For the fiscal fourth quarter 2024, Seagate anticipates revenue of $1.85 billion, plus or minus $150 million, and non-GAAP diluted EPS of $0.70, plus or minus $0.20.

Tailwinds

  • Revenue is expected to be $1.85 billion, plus or minus $150 million.
  • Non-GAAP diluted EPS is projected to be $0.70, plus or minus $0.20.
  • Guidance excludes known pre-tax charges related to estimated share-based compensation expenses of $0.16 per share.
  • Improving cloud demand
  • Strong operating discipline and price execution

Headwinds

  • Actual results may differ materially due to various factors.
  • Material items that may impact GAAP measures are out of the company's control and/or cannot be reasonably predicted.
  • These unpredictable items include accelerated depreciation, impairment and other charges related to cost saving efforts.
  • Net (gain) loss recognized from early redemption of debt is also unpredictable.
  • Strategic investment losses (gains) or impairment charges, and income tax adjustments on these measures, are uncertain.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

-0.1%

Avg return

Earnings day

+1.9%

Avg return

5 days after

+6.4%

Avg return

30 days after

52%

35 / 67 earnings

Positive

+22.0%

Q2 2026

Best reaction

-23.9%

Q3 2016

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-3.4%+27.5%+52.1%
Q2 2026+22.0%+16.5%+9.7%
Q1 2026+19.1%+19.1%+24.1%
Q3 2025+11.6%+14.7%+44.5%
Q2 2025+10.8%+10.8%+5.1%
Q1 2025-7.9%-8.4%-11.1%
Q4 2024+3.2%-2.4%-2.8%
Q3 2024+2.3%+1.0%+9.7%
Q2 2024+2.0%-0.7%-1.4%
Q1 2024+1.6%+1.7%+13.4%
Q4 2023+6.7%+9.0%+10.6%
Q3 2023-10.2%-10.8%-1.0%
Q2 2023+10.9%+7.3%+6.2%
Q1 2023-10.4%-14.4%-5.7%
Q4 2022-6.4%-7.4%-2.6%
Q3 2022+3.7%+4.1%+11.3%
Q2 2022+9.4%+13.1%+10.7%
Q1 2022+8.4%+7.0%+22.5%
Q4 2021-2.7%+0.9%+4.6%
Q3 2021+6.3%+12.3%+12.0%
Q2 2021-2.3%+5.6%+19.1%
Q1 2021-1.8%-6.1%+7.6%
Q4 2020-10.6%-8.8%-8.1%
Q3 2020-3.7%-1.4%+2.5%
Q2 2020-5.6%-6.6%-13.3%
Q1 2020+0.1%-0.3%+2.8%
Q4 2019-3.9%-3.6%+8.5%
Q3 2019+7.5%+10.4%-2.3%
Q2 2019-0.3%-0.5%+2.2%
Q1 2019+4.6%+6.6%+0.3%
Q4 2018-3.8%-1.5%+2.4%
Q3 2018-5.5%-3.8%-2.7%
Q2 2018+0.1%-5.8%-2.8%
Q1 2018+11.2%+5.6%+15.4%
Q4 2017-18.7%-18.0%-22.0%
Q3 2017-16.3%-16.5%-15.8%
Q2 2017+17.3%+22.4%+30.3%
Q1 2017-1.0%-2.3%+11.2%
Q4 2016-5.2%-0.9%+3.9%
Q3 2016-23.9%
Q2 2016+13.6%
Q1 2016+2.2%
Q4 2015+0.3%
Q3 2015+5.7%
Q2 2015-10.8%
Q1 2015+1.9%
Q4 2014-4.1%
Q3 2014-0.0%
Q2 2014-12.0%
Q1 2014-3.1%
Q4 2013-6.6%
Q3 2013+8.0%
Q2 2013-9.0%
Q1 2013+1.1%
Q4 2012+0.0%
Q3 2012+7.8%
Q2 2012+21.8%
Q1 2012-11.4%
Q4 2009-12.9%
Q4 2011-12.9%
Q3 2011-1.3%
Q3 2010-1.3%
Q2 2011+0.5%
Q2 2010+0.5%
Q4 2010+0.9%
Q1 2011+0.9%
Q1 2010+0.9%

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