George Kurian, CEO
That's precisely where NetApp, a renowned hybrid cloud storage provider in the world's biggest cloud realm, shines. NetApp is a global cloud-led, data-centric software company that empowers organizations to lead with data in the age of accelerated digital transformation. The company provides systems, software, and cloud services that enable them to run their applications optimally from the data center to cloud, whether they are developing in the cloud, moving to the cloud, or creating their own cloudlike experiences on-premises.
Delivering Unique Hybrid Cloud
With solutions that perform across diverse environments, NetApp helps organizations build their own data fabric and securely deliver the right data, services, and applications to the right people—anytime, anywhere.
As data is anywhere and everywhere in the organization, in every form imaginable, and growing by the minute. It's collected and stored across public and private clouds because each location offers unique benefits. Public cloud delivers nearly unlimited scaling with on-demand resources and lower capital expenditure, while private cloud features firewalls for storing sensitive data, as well as offering greater control and customization of hardware to fit enterprise's needs. However, there's one overwhelmingly large downside. Data is constantly being stranded in one place when businesses need it somewhere else. This forces them to put time, energy, and/or expense into getting it where it needs to be. NetApp removes such barriers that separate data. From the creation or acquisition of data, the comapny makes it available and usable wherever and whenever clients need it—regardless of platform. With unhindered access to clients' data, NetApp® hybrid cloud solutions enable a true hybrid cloud infrastructure.
The key lies in building data fabric. Designed for simplicity and agility, NetApp helps design and build businesses data fabric to deliver data where, when, and how they need it—from edge to core to cloud. A data fabric simplifies and integrates data management to provide greater visibility, access, and control, while delivering insights, protection, and security. And it does it all without a roadblock or hurdle insight.
The company has been committed to helping its customers store, protect, and make use of their data for nearly three decades. Recognizing early on that cloud would be a game-changer, they built out NetApp® Cloud Data Services product suite and extended its enterprise-class storage capabilities to the world's biggest clouds.
For that reason, Microsoft, Google, and Amazon have all made NetApp an integral part of their storage and data services strategies. And it's why no one can help deliver their data fabric like NetApp.
We plan to accelerate our public cloud services and continue to grow our hybrid cloud business. I am excited about the year ahead and confident in our ability to deliver top-line growth by supporting our customers on their cloud and digital transformation journeys
What's new in the Store?
NetApp never stops pushing to deliver a solid foundation for clients' hybrid cloud with groundbreaking platforms like FlexPod. The company has plans of enhancements to products like Cloud Manager to simplify hybrid cloud management even more. The new Keystone Flex Subscription gives clients added financial flexibility no matter how they use the cloud. And finally, they make it easy to take advantage of their data fabric expertise. The company is always dedicated to helping businesses achieve hybrid cloud success. "We plan to accelerate our public cloud services and continue to grow our hybrid cloud business. I am excited about the year ahead and confident in our ability to deliver top-line growth by supporting our customers on their cloud and digital transformation journeys," says George Kurian, CEO, NetApp. `
Streamline data management
With NetApp, it doesn't matter what clouds businesses use, where their workloads live, or how often their hybrid cloud strategy changes. Along with hybrid cloud foundations that create a simple, easy-to-manage data fabric, NetApp's solutions also meet cost and performance needs.
To build a solid foundation for clients' seamless hybrid cloud, NetApp has developed ONTAP® data management software that gives businesses every advantage possible to seamlessly manage data. NetApp® ONTAP® data management software helps clients quickly respond to their new business challenges, simplify day-to-day activities, and impress their team. Whatever is the data management needs—on-premises and in the cloud— ONTAP has it covered. The company's latest version of ONTAP combines new levels of simplicity, flexibility, and security to deliver powerful data management capabilities, proven storage efficiencies, and leading cloud integration, so you can seamlessly manage all the data moving throughout your enterprise.
ONTAP allows organizations to flexibly deploy storage on choice of architectures—hardware storage systems, software-defined storage (SDS), and the cloud—while unifying enterprise data management across all of them. The users can accelerate their enterprise applications with flash without compromising the essential data services they need. Clients can also seamlessly manage data as it flows and make the best possible decisions for their organization. ONTAP also helps clients create an intelligent, powerful, and trusted storage infrastructure that reduces costs, accelerate critical workloads, and protects and secures data across your hybrid cloud.
Cloud The Key To Fiscal Success, Future
Over the course of fiscal year 2021, NetApp added approximately 1,500 new-to-NetApp customers with public cloud services and grew their total cloud customer count by 137 percent from Q4 fiscal year 2020. In addition to adding new cloud customers, existing cloud customers are expanding their spend with NetApp. "NetApp's public cloud services including its Cloud Volumes fully managed cloud-native data services, its Cloud Insights cloud monitoring tool and its Spot public cloud computing optimization tool are now the primary growth engines of NetApp's public cloud services business," states Kurian.
NetApp is well-positioned for growth in fiscal 2022. NetApp's combined software revenue, recurring support and cloud revenue totaled $1.1 billion in the fourth fiscal quarter, up 18 percent year over year and representing 72 percent of total revenue.
"For the first time in company history, we ended Q4 with over $4 billion in deferred revenue, an increase of 8 percent year over year," explains Mike Berry, the company's executive vice president and chief financial officer. "Deferred revenue continues to be a leading indicator for future recurring revenue growth."
For its fourth fiscal quarter 2021, which ended April 30, NetApp reported net revenue of $1.56 billion, up 11.4 percent over the $1.40 billion the company reported for its fourth fiscal quarter 2020. Net income for the quarter on a GAAP basis was reported at $334 million, or $1.46 per share, up significantly over last year's $196 million, or 99 cents per share. On a non-GAAP basis, NetApp reported fourth fiscal quarter 2021 net income of $268 million, or $1.17 per share, basically flat compared with last year's $265 million, or $1.19 per share. For the quarter, NetApp beat revenue expectations by $60 million, GAAP earnings per share by 58 cents and non-GAAP earnings per share by 58 cents, according to Seeking Alpha.
Looking forward, NetApp is expecting net revenue in its first fiscal quarter 2022 to be in the range of $1.37 billion to $1.47 billion, which is up compared with the $1.3 billion NetApp reported for its first fiscal quarter 2021. The company also expects GAAP earnings in the range of 69 cents to 77 cents per share and non-GAAP earnings in the range of 89 cents to 97 cents per share.
For full fiscal year 2022, NetApp is expecting net revenue to grow in the range of 6 percent to 7 percent, with earnings of $3.48 to $3.68 per share on a GAAP basis and $4.45 to $4.65 per share on a non-GAAP basis. The company also expects public cloud annual recurring revenue in the year to reach between $425 million to $500 million.