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VMware Reveals Meagre Profits and 900 Job Cuts -- City Index Asia

[By NBC-1TV H. J Yook]Index Asia -- Virtualisation specialist VMware has announced a meagre increase in quarterly profits of just two per cent, despite sales being up by 22 per cent.

The firm, which is currently led by ex-Intel executive Pat Gelsinger, has also stated that 900 jobs are set to go.

Despite the impressive increase in revenue, profits were only up by three per cent to $745 million compared to the same period last year.

Chief executive officer Gelsinger remained upbeat about the results, and said he was confident the fortunes of the company would soon turnaround.

He said: “2012 was a strong year for VMware, with solid Q4 results despite a tough economic environment. We see a tremendous market opportunity in 2013 and beyond, as we focus on what our customers value most, VMware's role as a pioneer of virtualisation technologies that radically simplify IT infrastructure from the datacenter to the virtual workspace.”



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