Back to Table of contents

Primeur weekly 2011-08-01

Exascale supercomputing

T-Platforms participates in formation of European Technology Platform for High Performance Computing ...

The Cloud

Dell unveils industry's first OpenStack Infrastructure-as-a-Service Cloud solution ...

Loyalty New Zealand implements Oracle Business Intelligence 11g for the 'Loyalty Center' ...

SquareTwo Financial goes live with Oracle Engineered Systems - Oracle Exalogic Elastic Cloud and Oracle Exadata Database Machine ...

Organizational culture is less of a barrier for private Cloud implementation, according to survey by Platform Computing ...

Platform Computing to host webinar on how to select a private Cloud solution ...

Desktop Grids

Gears, a technology for browser-based volunteer computing ...

GPUGRID.net computes against cancer ...

University of Coimbra to launch new project Surveill@Home ...

EuroFlash

Bull launches OLM: an automated solution for migrating Oracle databases to Bull Escala servers ...

Wisebed: the first pan-European sensor network open to the scientific community ...

Mellanox boosts scalability and performance of France GRID’5000 - a large scale, nationwide high-performance computing infrastructure ...

USFlash

University of Louisville collaborates with IBM to speed scientific breakthroughs ...

NASA's iPad app beams science straight to users ...

Cray reports second quarter 2011 financial results ...

Dell leads shift to “chiller-less" data centres with fresh air technology ...

DigiCert hosted 2011 TAGPMA Face-to-Face Meeting ...

Services provider Core Services selects HP to host business applications ...

From detonation to diapers: Los Alamos computer codes at core of advanced manufacturing tools ...

Institute for Advanced Health announces high performance secure "National Health Intranet" ...

Middle school girls to learn science, math, and technology skills ...

Texas Advanced Computing Center a major partner in $121 million advanced computing project ...

TACC and Whamcloud sign partnership to bring Lustre manageability enhancements to the Open Science Community ...

Dell unveils new Bing Maps Boulder microsite with Mellanox InfiniBand ...

Mellanox announces limited time offer for next generation 10/40GbE end-to-end solutions bundles ...

Cray reports second quarter 2011 financial results

28 Jul 2011 Seattle - Cray Inc. has issued financial results for the second quarter ended June 30, 2011. Revenue for the quarter was $67.9 million compared to $28.7 million in the prior year period. The company reported a net loss for the quarter of ($3.0 million) or ($0.08) per share compared to a net loss of ($6.6 million) or ($0.19) per share in the second quarter of 2010.

Total gross profit margin for the second quarter 2011 was 38% compared to 39% for the second quarter of 2010. For the second quarter 2011, product margin was 34% and service margin was 48%. Second quarter 2011 service margin benefited from strong maintenance margin and revenue on a Custom Engineering contract on which costs were recognized in a prior period.

Operating expenses for the second quarter of 2011 were $28.7 million compared to $17.6 million in the second quarter of 2010. In the prior year quarter, operating expenses benefited from $12 million in research and development (R&D) co-funding credits related to the completion of a Defense Advanced Research Projects Agency (DARPA) milestone. Second quarter 2011 results included non-cash items of $2.1 million for depreciation and amortization and $1.0 million related to stock compensation expense.

Revenue for the six-month period ended June 30, 2011 was $107.8 million compared to $57.1 million in the prior year period. For the first half of the year, total operating expenses were $46.7 million compared to $35.9 million in the prior year period. The higher operating expenses were almost entirely due to less R&D co-funding credits. Net loss was ($4.4 million) or ($0.13) per share for the first half of 2011 compared to a net loss of ($18.2 million) or ($0.53) per share in the prior year period. The first half of 2011 results included non-cash items of $4.3 million for depreciation and amortization and $2.1 million related to stock compensation expense.

As of June 30, 2011, cash balances totaled $135.6 million.

"We had a solid quarter, with revenue up substantially year over year and strong gross profit margins", stated Peter Ungaro, president and CEO of Cray. "We are getting great market feedback on our latest products and I'm particularly excited about our new hybrid supercomputer, the Cray XK6, which will be the first general-purpose supercomputer that allows users to harness the capability of GPUs to run real-world applications faster than ever before. In addition to a planned processor upgrade for our high-end systems, we continue to make good progress on our product roadmap and expect to release new Custom Engineering offerings late this year. While we have a lot of work left to do, we are confident in our prospects for the rest of the year and remain focused on our long term goals of growth and sustained profitability."

A wide range of results remains possible for 2011 and the company's quarterly and annual results are highly dependent on completing a handful of large transactions already contracted as well as securing additional opportunities. One of these opportunities not yet contracted is now anticipated to be more than $60 million in revenue for 2011. Assuming all necessary acceptances are achieved within the year, total revenue for 2011 is anticipated to be $300-$340 million. Quarterly revenue is expected to fluctuate for 2011 with third quarter revenue in the range of $35 million and fourth quarter revenue likely representing more than 50% of the annual total.

For the year, total gross margins are expected to be in the mid-30% range. With a second $12 million DARPA milestone anticipated for the fourth quarter, total operating expenses for 2011 are expected to be approximately $100-$105 million, including restructuring expenses related to the company's workforce rebalancing announced in March 2011. Based on this outlook, we expect to be profitable for 2011.

Actual results for any future period are subject to large fluctuations given the nature of Cray's business.

Recent highlights include:

  • At the Cray User Group (CUG) meeting in May, Cray launched the company's new hybrid supercomputing system - the Cray XK6 supercomputer. The Cray XK6 system combines Cray's Gemini interconnect, next generation CPUs from AMD, and NVIDIA Tesla 20-Series GPUs. Cray's unified CPU/GPU programming environment is a unique capability that provides users with powerful and tested tools, libraries, compilers and third-party software. The Cray XK6 is expected to be available in the second half of 2011, and is scalable to more than 50 petaflops of compute power.
  • In May, Cray signed a contract with the Swiss National Supercomputing Centre (CSCS) to upgrade its Cray XT5 system, nicknamed "Monte Rosa" to a Cray XE6 supercomputer. Cray will add the Gemini interconnect to the Monte Rosa system and will also upgrade all of the supercomputer's processors to new AMD Opteron 6200 Series processors (code-named "Interlagos"). The upgrade is expected to be completed later this year and will provide CSCS users with more than 400 teraflops of computing power.
  • In June, Cray sold a Cray XE6m supercomputer to GE Global Research - the technology development arm for the General Electric Company. The Cray XE6m system will be used to support simulation-based engineering and science across the various disciplines at GE Global Research, and will give the organisation's users the ability to run more complex simulations as they explore multi-physics challenges, gain higher fidelity insights and pursue areas of science and product development that could not be simulated using standard commodity clusters.
  • Cray shipped its first next-generation Cray XMT supercomputer during the second quarter, delivering the system to CSCS in Switzerland. Also in the second quarter, Virginia Governor Bob McDonnell announced the establishment of the Center for Applied High Performance Computing in Danville, Virginia, which will be home to the first next-generation Cray XMT system located outside of a federal laboratory or academic institution. Expected to be delivered and installed later this year, the Cray system will support the Center's mission of accelerating the development and commercialization of applications requiring graph analytics.
Source: Cray

Back to Table of contents

Primeur weekly 2011-08-01

Exascale supercomputing

T-Platforms participates in formation of European Technology Platform for High Performance Computing ...

The Cloud

Dell unveils industry's first OpenStack Infrastructure-as-a-Service Cloud solution ...

Loyalty New Zealand implements Oracle Business Intelligence 11g for the 'Loyalty Center' ...

SquareTwo Financial goes live with Oracle Engineered Systems - Oracle Exalogic Elastic Cloud and Oracle Exadata Database Machine ...

Organizational culture is less of a barrier for private Cloud implementation, according to survey by Platform Computing ...

Platform Computing to host webinar on how to select a private Cloud solution ...

Desktop Grids

Gears, a technology for browser-based volunteer computing ...

GPUGRID.net computes against cancer ...

University of Coimbra to launch new project Surveill@Home ...

EuroFlash

Bull launches OLM: an automated solution for migrating Oracle databases to Bull Escala servers ...

Wisebed: the first pan-European sensor network open to the scientific community ...

Mellanox boosts scalability and performance of France GRID’5000 - a large scale, nationwide high-performance computing infrastructure ...

USFlash

University of Louisville collaborates with IBM to speed scientific breakthroughs ...

NASA's iPad app beams science straight to users ...

Cray reports second quarter 2011 financial results ...

Dell leads shift to “chiller-less" data centres with fresh air technology ...

DigiCert hosted 2011 TAGPMA Face-to-Face Meeting ...

Services provider Core Services selects HP to host business applications ...

From detonation to diapers: Los Alamos computer codes at core of advanced manufacturing tools ...

Institute for Advanced Health announces high performance secure "National Health Intranet" ...

Middle school girls to learn science, math, and technology skills ...

Texas Advanced Computing Center a major partner in $121 million advanced computing project ...

TACC and Whamcloud sign partnership to bring Lustre manageability enhancements to the Open Science Community ...

Dell unveils new Bing Maps Boulder microsite with Mellanox InfiniBand ...

Mellanox announces limited time offer for next generation 10/40GbE end-to-end solutions bundles ...