Det_Robert_Thorne
10 years ago
Datalink Raises 2013 Q4 Revenue and EPS Guidance
Raised revenue guidance by $4M, to $174M and non-GAAP EPS to $0.33 - $0.37 from $0.24 - $0.30.
Nice.
The PR also includes dates for investor conferences they'll be attending in the next couple of months.
Datalink (DTLK), a leading provider of data center infrastructure and services, today announced that it expects to exceed its previous revenue and earnings guidance for the fourth quarter of 2013. The company now expects fourth quarter 2013 revenues to be approximately $174 million. The company previously had provided fourth quarter 2013 revenue guidance of between $160 million and $170 million.
The company now expects fourth quarter 2013 earnings per share to be in the range of $0.23 to $0.27 per share on a GAAP basis, and $0.33 to $0.37 per share on a non-GAAP basis. That is an increase over the company’s previous guidance of $0.15 to $0.21 per share for GAAP earnings and $0.24 to $0.30 per share for non-GAAP earnings.
The company will report its fourth quarter financial results and hold an investor conference call after the market closes on February 20, 2014.
Upcoming Investor Conferences
Paul Lidsky, president and CEO, and Greg Barnum, chief financial officer, are scheduled to present at the following investor conferences:
16th Annual Needham Growth Conference on Thursday January 16th at 10:00 a.m. (EST), from the New York Palace Hotel. To access the Webcast of the presentation go to wsw.com/webcast/needham64/DTLK. An archived version of the presentation will be available at the same Internet address for 90 days following the live Webcast.
Noble Financial Capital Markets’ Tenth Annual Equity Conference on Monday January 20th at 11:00 a.m. (EST), from Sandpiper Bay, Florida. To access the Webcast of the presentation go to www.nobleresearch.com/TEN/2014.htm. An archived version of the presentation will be available at the same Internet address for 90 days following the live Webcast.
Stifel 2014 Technology, Internet & Media Conference on Monday February 10th at 8:00 a.m. (PST) from the Fairmont Hotel in San Francisco.
http://finance.yahoo.com/news/datalink-updates-2013-fourth-quarter-210500603.html
Det_Robert_Thorne
11 years ago
Another solid quarterly report from $DTLK
Datalink (Nasdaq: DTLK), a leading provider of data center infrastructure and services, today reported results for its first quarter that ended March 31, 2013. Revenues for the quarter increased 12% to a record first quarter $133.6 million compared to $119.1 million for the prior-year period.
GAAP Results
On a GAAP basis, the company reported net earnings of $1.1 million or $0.06 per diluted share for the first quarter ended March 31, 2013. This compares to net earnings of $2.2 million or $0.12 per diluted share in the first quarter of 2012.
Non-GAAP Results
Non-GAAP net earnings for the first quarter of 2013 were $3.2 million, or $0.18 per diluted share, compared to non-GAAP net earnings of $2.9 million, or $0.17 per diluted share, in the first quarter of 2012. Earnings from operations for the first quarter of 2013 were $5.5 million or 4.1% of revenues, compared to $4.9 million or 4.1% of revenues in the first quarter of 2012. See “Non-GAAP Details” tables included herein for a detailed reconciliation between GAAP and non-GAAP information.
The company’s results for the quarter ended March 31, 2013, include the results of operations from the acquisition of Strategic Technologies, Inc. (“StraTech”), which was completed on October 4, 2012.
“We had a strong first-quarter performance with a sales cadence that kept pace with the fourth quarter, and significant increases in key strategic areas of the business,” said Paul Lidsky, Datalink’s president and CEO. “We continue to realize the benefits of our portfolio diversification strategy, our focus on converging data center infrastructure, and our ability to provide a complete suite of products and services that simplifies sourcing, implementation and support for enterprises that are modernizing their data center technology.”
Key year-over-year growth areas included:
* A 5% increase in product revenues, reflecting ongoing expansion in the company’s product portfolio as well as new customer acquisition;
* A 26% increase in service revenues, with services moving from 33% to 37% of the revenue mix;
* A 33% increase in virtual data center orders and 34% increase in virtual data center revenues, capitalizing on the market shift to unified data center infrastructures;
* A 37% revenue increase from Datalink’s OneCall unified support service, which enables customers to call one number for issues with platform components from multiple vendors; and
* A 240% revenue increase in managed services, achieved in part because of ongoing expansion of the company’s managed services portfolio.
Outlook
Based on the company’s current backlog and sales pipeline, the company projects revenues of $143 million to $153 million for the second quarter of 2013 compared to $120 million for the second quarter of 2012. The company expects second quarter 2013 net earnings to be between $0.09 and $0.15 per diluted share on a GAAP basis, and net earnings of between $0.22 and $0.28 per diluted share on a non-GAAP basis. This compares to net earnings of $0.18 per diluted share and $0.23 per diluted share on a GAAP and non-GAAP basis, respectively, for the same period in 2012.
Non-GAAP earnings per share exclude the effect of acquisition accounting adjustments from the StraTech acquisition to deferred revenue and costs, integration and transaction costs related to acquisitions, stock-based compensation expense, amortization of intangible assets, and the related effects on income taxes. The company estimates this total effect will be approximately $0.13 per diluted share for the second quarter of 2013.
http://www.sec.gov/Archives/edgar/data/1056923/000110465913034204/a13-10988_1ex99d1.htm
Det_Robert_Thorne
11 years ago
I didn't look back far enough
I only looked at the last five years. The actual all time high was in March, 2000, right at the peak of the internet bubble in the NASDAQ, when DTLK hit about $35.
It ran from about $20 in Feb, 2000, to $35 in mid-March, only to fall back to the low $20s just before they filed the FY1999 10-K at the end of March.
Back then, the PE at $20 was about 20. Now, the forward PE is about $10 (I didn't use the trailing PE of 19 because it doesn't look at non-GAAP earnings).
Det_Robert_Thorne
12 years ago
Good article about Q2 from a VAR-focused site
IMO, the company needs to see more articles like the one at the following link. It's from a news site dedicated to serving VARs, and isn't just a rehash of the press release.
It's also not a Seeking Alpha article by a self-interested blogger.
The author obviously listened to the CC, or used a transcript.
Here's an excerpt, followed by the link:
While Datalink enjoyed a 34-percent growth in revenue over last year, the quarter's revenue total was below previous guidance, said Paul Lidsky, Datalink's president and CEO, during the company's financial analyst call.
The lower-than-expected revenue resulted from a lengthening of the sales cycle, and not from a drop in large projects, Lidsky said.
"Sales cycles are lengthening because we are selling larger projects, which require a longer time," he said.
Customer demands for modernizing their data centers has not abated, Lidsky said. "It is simply taking longer," he said.
Datalink sold 24 virtualized data center projects during the second quarter which equated to revenue of $21.7 million, which is up from 17 deals worth $16.6 million in the first quarter of the year, Lidsky said.
These resulted from strong partnerships with Cisco and NetApp on their jointly-developed FlexPod converged infrastructure architecture, as well as a strong partnership with EMC on its newly-unveiled VSPEX reference architecture, Lidsky said.
Datalink was the first North American solution provider to get the FlexPod Premium Partner status, and was one of the first in the world to be certified by EMC for VSPEX, he said.
Lidsky also said that revenue from selling Cisco server and networking products rose 11 percent during the quarter over last year, while EMC-related revenue rose 66 percent over the same period.
"Both our Cisco and EMC partnerships are playing an increasing role in our data center business," he said.
http://www.crn.com/news/storage/240004439/converged-infrastructure-virtualized-data-center-business-drive-datalinks-2q-revenue-earnings.htm
Det_Robert_Thorne
12 years ago
Totally ridiculous pounding before report
DTLK price, at $8.21, is down over 17% from the $9.95 closing price on the day they last announced earnings (after the close on April 25).
At that report, they beat on revenue, earnings and guided higher.
In the PR announcing this Thursday's quarterly CC, they didn't warn.
None of their business is in Europe or Asia, and a good portion of it is based on annual contracts, which they show as Deferred Revenue on the Balance sheet.
Yet the stock is getting smashed today.
Pretty effin' ridiculous.
Det_Robert_Thorne
12 years ago
4/25/12: Datalink Reports Today After the Market Closes
From their April 10, 2012 PR:
Datalink (Nasdaq: DTLK - News), a leading provider of data center infrastructure and services, announced today that it will issue a news release Wednesday April 25th, 2012 at approximately 3:00pm central time to announce first quarter operating results for 2012.
Datalink will hold a conference call shortly afterward at 4:00pm central time during which time Datalink’s president and chief executive officer, Paul Lidsky, and vice president of finance and chief financial officer, Greg Barnum, will discuss company results and provide a business overview. Participants can access the conference call by dialing (877) 277-9804. Participants will be asked to identify the Datalink conference call and provide the designated identification number (69217552). A slide presentation and live Webcast of the conference call can be heard via Datalink’s Investor Relations website at www.datalink.com.
http://finance.yahoo.com/news/datalink-2012-first-quarter-operating-203800545.html
The webcast, which begins at 5PM EDT (4PM CDT and 2PM PDT) can be found at the following link:
http://phx.corporate-ir.net/phoenix.zhtml?p=irol-eventDetails&c=65517&eventID=4751861
Det_Robert_Thorne
12 years ago
Looks like someone's holding it down
After the run up from the $8.60s to the $9.50 range, it looks like it's being held back, either for consolidation, or perhaps because whoever ran it up is offloading shares bought lower, or building a short position to run it back down before they report in mid-late April.
Annoying to see it stuck at one level for so long, but that's the way it is.
Det_Robert_Thorne
12 years ago
Interesting positive close on down-market day
DTLK was down most of the day, along with the market, then at about 2:28PM EST, roughly 30K shares traded in a couple of minutes, and the stock began to move up into the close.
IMO, someone completed their acquisition (for short covering or for a new long position,) then moved the stock up for their next sell/short cycle.
Det_Robert_Thorne
12 years ago
Good move on your part!
I made three sales today, at $9.79, $9.97, and $10.13. Each sale was at least a 10% gain from the purchase price, and the shares were bought on margin, so selling early doesn't bother me too much, as it reduces my margin balance, and I still have a crazy number (for me) of shares remaining.
Had another sale set for $10.22, but it missed executing by a penny. With Cisco's results after the close, DTLK is at $10.27 in the AH, so maybe we'll see a little more tomorrow. Then again, CSCO is down in a bit in the AH, because the guidance was roughly in line with the estimates.
Det_Robert_Thorne
12 years ago
I've been in DTLK since 2007
It kind of sat there doing nothing for quite awhile, but I added shares between $3 and $4 in 2010, so last year was really good for me. Those shares were all sold in 2011 in the $9.50 - $11 range, then rebuilt a small LT position when it fell back into the mid-$7s, but am also short-term trading the swings.
IF they continue on their growth path, I have no reason to think it won't eventually hit the mid-teens.
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lecorb
10 years ago
Art Vandeley
10 years ago
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