Business of EMC grows by leaps and bounds

The consolidated profit of EMC for the second quarter 2011 increased by 20% in annual terms to $4.85 billion, the earnings per share also grew by 20% and made $0.24. A day earlier the division of EMC, VMware belonging to corporation on the majority rights announced profit increase in annual terms for 37%.

Thus business of VMware became EMC which is the most quickly growing in structure. RSA Information Security business divisions grew by 13% in comparison with the same period the previous year. Business systems of storage business of high-end of DWH of Symmetrix where EMC Symmetrix VMAX enters grew by 19% in the same expression, grew by 15%. Business selling storage systems of the middle class grew by 27%.

The chairman of the board of directors and the CEO of EMC Joseph Tucci explained such indicators with increase in demand for solutions for storage of large volumes of data and cloud computing. The companies face all large volumes of data therefore they need such products as NAS (network-attached storage) from Isilon Systems which EMC absorbed at the end of 2010.

The profit of EMC in the USA grew by 17% one quarter prior to $2.5 billion. 52% of turnover of EMC fell to the share of the USA. Business outside the USA reached record levels in $2.3 billion. Business of the company Latin America – 43% became the region of the maximum growth. Business in the Pacific Rim and Japan grew by 34%, in EMEA region where Europe, for 20% enters.

Taking into account the set growth rates, according to own forecasts of EMC its revenue on the end of the year can make $19.6 billion according to Tucci, in 2011 IT expenses will grow by 5-7%, and storage costs, security and large volumes of data will be much higher.

As for an earthquake and a tsunami in Japan in March of this year, according to him, business of EMC did not suffer. "We have no large problem in supply chains", - he said. Commenting on a hacker attack to division of RSA in March, representatives of the company said that they spent $66 million for replacement of all user keys which were threatened as a result of an incident.