Seagate Technology PLC (STX) saw its stock soar 7.99% in pre-market trading on Wednesday following the company's impressive fiscal second quarter 2025 earnings results. The surge was fueled by Seagate's better-than-expected performance, driven by robust demand for its high-capacity mass storage products from cloud computing and artificial intelligence (AI) customers.
For the quarter ended December 2024, Seagate reported record revenue of $2.33 billion, up 49.5% year-over-year, and swung to a profit of $2.03 per share on a non-GAAP basis. The company's strong results were driven by significant growth in its cloud sector, with nearline product revenue nearly doubling year-over-year, reflecting the increasing adoption of Seagate's storage solutions to support AI and cloud computing workloads.
Looking ahead, Seagate provided an upbeat outlook for the fiscal third quarter, forecasting non-GAAP earnings per share between $1.50 and $1.90 and revenue guidance of $2.10 billion, plus or minus $150 million. The company's focus on advancing its technology roadmap, including the ramp-up of its innovative HAMR-based Mozaic drives, positions Seagate well to capitalize on the surging demand for mass data storage driven by AI and machine learning applications.
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