Western Digital Reports Fourth Quarter and Fiscal Year 2021 Financial Results

News Summary

  • Fourth quarter revenue was $4.9 billion, up 15% year-over-year (YoY). Client Devices revenue increased 13%, Data Center Devices and Solutions revenue increased 6%, and Client Solutions revenue increased 42% YoY. Fiscal year 2021 revenue was $16.9 billion, up 1% YoY.

  • Fourth quarter GAAP earnings per share (EPS) was $1.97 and non-GAAP EPS was $2.16. Fiscal year 2021 GAAP EPS was $2.66 and non-GAAP EPS was $4.55.

  • Generated operating cash flow of $994 million and free cash flow of $792 million in the fourth quarter. Generated operating cash flow of $1.9 billion and free cash flow of $1.1 billion in fiscal year 2021.

  • Expecting fiscal first quarter 2022 revenue to be in the range of $4.90 billion to $5.10 billion with non-GAAP EPS in the range of $2.25 to $2.55.

SAN JOSE, Calif. - August 04, 2021

Western Digital Corp. (Nasdaq: WDC) today reported fourth quarter and fiscal year 2021 financial results.

"I am extremely proud of the outstanding execution our team exhibited as we achieved another quarter of strong revenue, gross margin and EPS results above expectations," said David Goeckeler, Western Digital CEO. "Throughout this fiscal year, we successfully delivered both flash and hard drive innovations that are essential building blocks in the acceleration of the data economy. This innovation, combined with our broad channels to market, diverse end market exposure and improved operational efficiency, enabled us to successfully navigate through the pandemic and capitalize on strategic growth opportunities. We believe we have the right foundation for success - the right products, the right customer base, and the unique ability to address two very large and growing markets."

Q4 2021 Financial Highlights

 

GAAP

Non-GAAP

 

Q4 2021

Q3 2021

Q/Q

Q4 2021

Q3 2021

Q/Q

Revenue ($M)

$4,920

$4,137

up 19%

$4,920

$4,137

up 19%

Gross Margin

31.8%

26.4%

up 5.4 ppt

32.9%

27.7%

up 5.2 ppt

Operating Expenses ($M)

$891

$774

up 15%

$790

$732

up 8%

Operating Income ($M)

$675

$317

up 113%

$828

$412

up101%

Net Income ($M)

$622

$197

up 216%

$680

$318

up 114%

Earnings Per Share

$1.97

$0.63

up 214%

$2.16

$1.02

up 112%

 

 

GAAP

Non-GAAP

 

Q4 2021

Q4 2020

Y/Y

Q4 2021

Q4 2020

Y/Y

Revenue ($M)

$4,920

$4,287

up 15%

$4,920

$4,287

up 15%

Gross Margin

31.8%

25.3%

up 6.5 ppt

32.9%

28.9%

up 4.0 ppt

Operating Expenses ($M)

$891

$822

up 8%

$790

$713

up 11%

Operating Income ($M)

$675

$261

up 159%

$828

$527

up57%

Net Income ($M)

$622

$148

up 320%

$680

$369

up 84%

Earnings Per Share

$1.97

$0.49

up 302%

$2.16

$1.23

up 76%

Fiscal Year 2021 Financial Highlights

 

GAAP

Non-GAAP

 

2021

2020

Y/Y

2021

2020

Y/Y

Revenue ($M)

$16,922

$16,736

up 1%

$16,922

$16,736

up 1%

Gross Margin

26.7%

22.6%

up 4.1 ppt

28.6%

26.9%

up 1.7 ppt

Operating Expenses ($M)

$3,301

$3,446

down 4%

$2,926

$2,983

down 2%

Operating Income (Loss) ($M)

$1,220

$335

up 264%

$1,906

$1,522

up 25%

Net Income (Loss) ($M)

$821

($250)

*

$1,406

$914

up 54%

Earnings Per Share

$2.66

($0.84)

*

$4.55

$3.04

up 50%

*not a meaningful figure

Additional details can be found within the company's earnings presentation, which is accessible online at investor.wdc.com.

Key End Market Summary


Revenue ($M)

Q4 2021

Q3 2021

Q/Q

Q4 2020

Y/Y

2021

2020

Y/Y

Client Devices

$2,166

$2,012

up 8%

$1,916

up 13%

$8,255

$7,160

up 15%

Data Center Devices & Solutions

$1,777

$1,237