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EMC touts strong quarter, raises outlook

The good returns weren't totally unexpected given that the storage company's VMware unit had reported better-than-expected results.

Larry Dignan

EMC's first-quarter earnings were strong and the company raised its 2010 outlook as enterprise spending on data centers picks up.

The company, which provides enterprise storage and software services, reported first-quarter earnings of $373 million, or 17 cents a share, on revenue of $3.9 billion, up 23 percent from a year ago. Non-GAAP earnings were 26 cents a share, two cents ahead of Wall Street estimates. Wall Street was looking for revenue of $3.7 billion.

EMC's strong quarter wasn't totally unexpected given that VMware reported better-than-expected results. Since EMC is the majority owner of VMware, the results tend to move in tandem.

Read more of "EMC raises 2010 outlook as data center, private cloud buildouts ramp" at ZDNet's Between the Lines.