“Seagate's March quarter financial results were consistent with our revised outlook, with record nearline product revenue driven by cloud customers partially offsetting multiple macro related headwinds that impacted other end markets, particularly video and image applications, and pressured profitability,” said Dave Mosley, Seagate’s chief executive officer.

“Our focus is on mitigating these external challenges through ongoing expense discipline, new pricing strategies and operational efficiencies. We are also continuing to execute our strong product roadmap to address customer demand for cost-efficient, mass capacity solutions. In the March quarter, we began the volume ramp of our 20-plus terabyte products, which, combined with continued healthy cloud demand, support our outlook for double-digit fiscal year revenue growth.”

The Company generated $460 million in cash flow from operations and $363 million in free cash flow during the fiscal third quarter 2022. Seagate’s balance sheet remains healthy, and during the fiscal third quarter the Company paid cash dividends of $154 million, repurchased 4.2 million ordinary shares for $417 million and repaid $220 million to retire the 2022 Senior Notes. Cash and cash equivalents totaled $1.1 billion. There were 216 million ordinary shares issued and outstanding as of the end of the quarter.

Seagate has issued a Supplemental Financial Information document, which is available on Seagate’s Investor Relations website at investors.seagate.com.