History (1988): Revenue of Conner Peripherals at $68 Million in 3FQ18, Up 112% Y/Y

Conner Peripherals, Inc. (San Jose, CA) reported sales and net income for the third quarter ended September 30, 1988.

Sales were $67.8 million, up 112% from the $32.0 million reported in the same period last year and 35% from the quarter ended June 30, 1988.

Net income for the third quarter was $6.8 million, up 66% from $4.1 million in 1987 and up 55% from the second quarter.

Earnings per share increased to $.19 from $.16 last year and $.13 in 2FQ88, despite a 36% increase in shares outstanding from 3FQ87.

Sales to Compaq were 42% of total sales in 3FQ18 compared to 92% in the same quarter last year.

For the nine months ended September 30, 1988, sales were $160.5 million,compared to $62.0 million for the first nine months of 1987, and net income totaled $14.6 million, or $.43 per share, compared with $5.3 million,or $.21 per share in the previous year.

“We completed the quarter with record backlog and improved margins,” said Finis Conner, chairman and CEO, Conner Peripherals. “But the results could have even been better. Availability of key components constrained sales. The resultant lower sales plus increasing prices of static RAMs adversely impacted our margins.”

During the Californian company’s third quarter, Toshiba introduced two new laptop computers incorporating Conner’s 20 and 100MB drives, and NEC announced a family laptops incorporating the company’s 20, 40 and 100MB drives.

In addition, Compaq announced its first laptop, which incorporates both Conner’ 20MB drive and its new 40MB unit, the CP3040.

This article is an abstract of news published on the former paper version of Computer Data Storage Newsletter on issue ≠11, volume ≠1, published on December 1988.