All-flash systems drive strong NetApp revenue growth in Q1
First quarter of fiscal year 2019 Q1 show net revenues grew by more than one tenth YoY, boosted by 50% expansion in all-flash arrays income
NetApp has announced its product revenues grew by 20% year-over-year in the first quarter of fiscal year 2019, boosted by a 50% YoY expansion in all-flash array revenues.
The storage vendor reported net revenues of $1.47 billion, a 12% year-over-year expansion from the same period last year. Product revenue grew 20% year-over-year, with its all-flash array range leading the charge to hit revenues of $2.2 billion in the period.
“We delivered a very strong first quarter with revenue, gross margin, operating margin, and earnings per share all above our guidance,” said George Kurian, chief executive officer at NetApp. “In Q1, we introduced substantial innovation across our portfolio, expanding our industry-leading cloud data services and introducing new partnerships, products and solutions to help data-driven organisations thrive. Enterprises are signaling strong confidence in NetApp by making long-term investments to enable the NetApp Data Fabric across their entire enterprise,” he added.
An all-flash array (AFA), also known as a solid-state storage disk system, is a storage infrastructure that contains only flash memory drives instead of traditional spinning-disk drives. NetApp all-flash array technology was recognised as a leader in Gartner’s 2018 magic quadrant for solid-state arrays.
In the first quarter of its 2019 fiscal year, NetApp expanded its cloud capabilities introducing Azure NetApp Files, a native Azure service powered by NetApp’s ONTAP data management software. The company also announced the NetApp Cloud Volumes Services for Google Cloud Platform offering customers a fully-managed, cloud-native file storage service that is integrated with Google Cloud Platform.
New products and solutions in Q1
NetApp introduced the AFF A800 array, a high performance, cloud-connected flash system to power artificial intelligence and compute-intensive applications. The NetApp AFF A800 an end-to-end NVMe enterprise grade all flash array, with support for 30TB solid state drives. It also released the latest update to the flagship NetApp ONTAPTM9 software which includes enhancements to FabricPool and improves hybrid cloud data tiering and adds support for Microsoft Azure. ONTAP will automatically move inactive data to a lower-cost storage tier to save money and bring data back when needed.
It also enhanced the NetApp StorageGRID object-based storage solution, which now provides next-generation, cloud-architected infrastructure for financial and personal data retention compliance as one integrated resource across public and private clouds.