Western Digital Reports Fiscal Fourth Quarter and Fiscal Year 2024 Financial Results

News Summary

  • Fourth quarter revenue was $3.76 billion, up 9% sequentially (QoQ). Cloud revenue increased 21% (QoQ), Client revenue increased 3% (QoQ) and Consumer revenue decreased 7% (QoQ). Fiscal year 2024 revenue was $13.00 billion.

  • Fourth quarter GAAP earnings per share (EPS) was $0.88 and Non-GAAP EPS was $1.44. Fiscal year 2024 GAAP EPS was $(1.72) and Non-GAAP EPS was $(0.20).

  • Expect fiscal first quarter 2025 revenue to be in the range of $4.00 billion to $4.20 billion.

  • Expect Non-GAAP EPS in the range of $1.55 to $1.85.

SAN JOSE, Calif. - July 31, 2024

Western Digital Corp. (Nasdaq: WDC) today reported fiscal fourth quarter and fiscal year 2024 financial results.

"Our fourth quarter and fiscal year 2024 results are reflective of the diverse and innovative portfolio we have developed in alignment with our strategic roadmap. Together, with the structural changes we have made to strengthen our operations, we are benefitting from the broad recovery we are seeing across our end markets and structurally improving through-cycle profitability for both Flash and HDD," said David Goeckeler, Western Digital CEO.

"The emergence of the AI Data Cycle marks a transformational period within our industry that will drive fundamental shifts across our end markets, increasing the need for storage and creating new demand drivers. As we look ahead, we are confident in our ability to leverage our technology leadership position to capitalize on these exciting growth opportunities and deliver value for our customers," continued David Goeckeler.

Q4 2024 Financial Highlights

 

GAAP

Non-GAAP

 

Q4 2024

Q3 2024

Q/Q

Q4 2024

Q3 2024

Q/Q

Revenue ($M)

$3,764

$3,457

up 9%

$3,764

$3,457

up 9%

Gross Margin

35.9%

29.0%

up 6.9 ppt

36.3%

29.3%

up 7.0 ppt

Operating Expenses ($M)

$846

$728

up 16%

$700

$632

up 11%

Operating Income ($M)

$507

$273

up 86%

$666

$380

up 75%

Diluted Net Income Attributable to Common Shareholders ($M)

$308

$113

up 173%

$504

$210

up 140%

Net Income Per Share

$0.88

$0.34

up 159%

$1.44

$0.63

up 129%

*not a meaningful figure

 

GAAP

Non-GAAP

 

Q4 2024

Q4 2023

Y/Y

Q4 2024

Q4 2023

Y/Y

Revenue ($M)

$3,764

$2,672

up 41%

$3,764

$2,672

up 41%

Gross Margin

35.9%

3.4%

up 32.5 ppt

36.3%

3.9%

up 32.4 ppt

Operating Expenses ($M)

$846

$742

up 14%

$700

$582

up 20%

Diluted Net Income (Loss) Attributable to Common Shareholders ($M)

$507

$(650)

*

$666

$(478)

*

Net Income (Loss) ($M)

$308

$(724)

*

$504

$(640)

*

Net Income (Loss) Per Share

$0.88

$(2.26)

*

$1.44

$(1.99)

*

*not a meaningful figure

The company had an operating cash inflow of $366 million and ended the quarter with $1.88 billion of total cash and cash equivalents.

Fiscal Year 2024 Financial Highlights

 

GAAP

Non-GAAP

 

2024

2023

Y/Y

2024

2023

Y/Y

Revenue ($M)

$13,003

$12,318

up 6%

$13,003

$12,318

up 6%

Gross Margin

22.6%

15.3%

up 7.3 ppt

22.8%

15.7%

up 7.1 ppt

Operating Expenses ($M)

$2,971

$3,172

down 6%

$2,448

$2,532

down 3%

Operating Income (Loss) ($M)

$(26)

$(1,285)

down 98%

$512

$(594)

*

Diluted Net Loss Attributable to Common Shareholders ($M)

$(561)

$(1,708)

down 67%

$(65)

$(1,133)

down 94%

Net Loss Per Share

$(1.72)

$(5.37)

down 68%

$(0.20)

$(3.56)

down 94%

*not a meaningful figure

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

End Market Summary


Revenue ($M)

Q4 2024

Q3 2024

Q/Q

Q4 2023

Y/Y

2024

2023

Y/Y

Cloud

$1,882

$1,553

up 21%

$994

up 89%

$5,378

$5,252

up 2%

Client

1,204

1,174

up 3%

1,035

up 16%

4,647

4,328

up 7%

Consumer

678

730

down 7%

643

up 5%

2,978

2,738

up 9%

Total Revenue

$3,764

$3,457

up 9%

$2,672

up 41%

$13,003

$12,318

up 6%

In the fiscal fourth quarter:

  • Cloud represented 50% of total revenue. The sequential growth is attributed to higher nearline shipments and pricing in HDD, coupled with increased bit shipments and pricing in enterprise SSDs. The year-over-year increase was due to higher shipments and price per