SGI-Rackable combo posts big revenue gains
SGI’s earnings call, covering the quarter ending September 25th, seems to show the company in a decent light, with sales of $100.1M. The merger with Rackable was a bit rocky, sucking up a good portion of Rackable’s cash and requiring some extensive restructuring, but:
“SGI delivered a solid quarter in terms of revenue, gross margin and operations,” said Mark Barrenechea, SGI’s president and chief executive officer, in a statement. “Operationally, our integration is ahead of schedule in most key areas. We also introduced new products that could expand our addressable market by over $1.7 billion while investing for long-term growth.”
Some other interesting tidbits is that over 10% of its quarterly non-GAAP sales come from “long-time” customer Amazon, which was news to me. A full third of their sales came from ISP’s, and a quarter came from Government and Defense contractors.