Supermicro Announces Fourth Quarter 2015 Financial Results 

SAN JOSE, Calif., Aug. 5 -- Super Micro Computer, Inc., a global leader in high-performance, high-efficiency server, storage technology and green computing, has announced fourth quarter and full-year financial results for the fiscal year ended June 30, 2015.

Fiscal 4th Quarter Highlights

• Quarterly net sales of $573.6 million, up 21.7% from the third quarter of fiscal year 2015 and up 34.0% from the same quarter of last year.
• GAAP net income of $26.7 million, up 15.8% from the third quarter of fiscal year 2015 and up 61.4% from the same quarter of last year.
• GAAP gross margin of 15.6%, down from 16.3% in the third quarter of fiscal year 2015 and up from 15.5% in the same quarter of last year.
• Server solutions accounted for 61.7% of net sales compared with 64.1% in the third quarter of fiscal year 2015 and 55.2% in the same quarter of last year.

Net sales for the fourth quarter ended June 30, 2015 totaled $573.6 million, up 21.7% from $471.2 million in the third quarter of fiscal year 2015. No customer accounted for more than 10% of net sales during the quarter ended June 30, 2015.

GAAP net income for the fourth quarter of fiscal year 2015 was $26.7 million or $0.51 per diluted share, an increase of 61.4% from net income of $16.5 million, or $0.34 per diluted share in the same period a year ago. Included in net income for the quarter is $4.0 million of stock-based compensation expense (pre-tax). Excluding this item and the related tax effect, non-GAAP net income for the fourth quarter was $30.0 million, or $0.57 per diluted share, compared to non-GAAP net income of $19.4 million, or $0.40 per diluted share, in the same quarter of the prior year. On a sequential basis, non-GAAP net income increased from the third quarter of fiscal year 2015 by $5.1 million or $0.10 per diluted share.

GAAP gross margin for the fourth quarter was 15.6% compared to 15.5% in the same period a year ago. Non-GAAP gross margin for the fourth quarter was 15.7% compared to 15.6% in the same period a year ago. GAAP gross margin and Non-GAAP gross margin for the third quarter of fiscal year 2015 were both 16.3%.

The Company's cash and cash equivalents and short and long term investments at June 30, 2015 were $98.1 million compared to $99.6 million at June 30, 2014. Free cash flow for the year ended June 30, 2015 was $(79.7) million, primarily due to an increase in the Company's cash used by operating activities and the development and construction of improvements on the Company's property, which is completed in the beginning of August 2015.

Fiscal Year 2015 Summary

Net sales for the fiscal year ended June 30, 2015 were $1,991.2 million, up 35.7% from $1,467.2 million for the fiscal year ended June 30, 2014. GAAP net income for fiscal year 2015 increased to $101.9 million, or $2.03 per diluted share, an increase of 88.1% from $54.2 million, or $1.16 per diluted share, for fiscal year 2014. Excluding $9.7 million of stock based-compensation expense and related tax effect, non-GAAP net income for the fiscal year 2015 was $111.6 million or $2.15 per diluted share, an increase of 77.4% compared to $62.9 million or $1.34 per diluted share for fiscal year 2014.

Business Outlook & Management Commentary

The Company expects net sales of $520 million to $580 million for the first quarter of fiscal year 2016 ending September 30, 2015. The Company expects non-GAAP earnings per diluted share of approximately $0.49 to $0.59 for the first quarter.

“Supermicro delivered record revenues in the fourth quarter of 34% growth over last year and posting $1.99 billion for the full fiscal year 2015 which was 35.7% above last year. Revenue related to our storage solutions grew 79% year over year in the fourth quarter as storage has become a strategic growth segment with contributions from both traditional and next generation storage solutions. Our FatTwin solutions were also a key growth driver this quarter with over 100% growth year over year and sales of our new MicroBlade solutions grew strongly for a new product category,” said Charles Liang, Chairman and CEO. “Looking to 2016 we have never been stronger in terms of leading products like Ultra, GPU/Xeon Phi, Storage, MicroBlade, and our software and service offerings. In order to support our growth, we are in the process of completing a 30% capacity addition in our San Jose and Europe manufacturing operations. We believe that we are well positioned for continued growth and market share gains.”

It is currently expected that the outlook will not be updated until the Company’s next quarterly earnings announcement, notwithstanding subsequent developments. However, the Company may update the outlook or any portion thereof at any time. Such updates will take place only by way of a news release or other broadly disseminated disclosure available to all interested parties in accordance with Regulation FD.

About Super Micro Computer, Inc.

Supermicro, a global leader in high-performance, high-efficiency server technology and innovation is a premier provider of end-to-end green computing solutions for Data Center, Cloud Computing, Enterprise IT, Hadoop/Big Data, HPC and Embedded Systems worldwide. Supermicro's advanced Server Building Block Solutions offer a vast array of components for building energy-efficient, application-optimized, computing solutions. Architecture innovations include Twin, FatTwin, MicroCloud, MicroBlade, SuperBlade, Double-sided Storage, Battery Backup Power (BBP) modules and WIO/UIO. Products include servers, blades, GPU systems, workstations, motherboards, chassis, power supplies, storage, networking, server management software and SuperRack cabinets/accessories delivering unrivaled performance and value.

---

Source: Super Micro Computer, Inc.