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Primeur weekly 2016-08-08

Focus

OpenSoC Fabric to create Open Source Network-on-Chip systems for demonstration purposes ...

ExaNoDe project is looking for chiplet solutions stacked on an active silicon interposer ...

Quantum computing

New quantum computer module sets stage for general-purpose quantum computers ...

Diamond-based light sources will lay a foundation for quantum communications of the future ...

Focus on Europe

IBM scientists imitate the functionality of neurons with a phase-change device ...

European Commission issues booklet on e-Infrastructures as the foundation of the European Open Science Cloud ...

Middleware

Bright Computing releases Version 7.3 of Bright Cluster Manager and Bright OpenStack ...

Hardware

HiPEAC community delivers video processing with up to eight times faster edge detection and 50 times faster motion detection ...

AMD open sources professional GPU-optimized photorealistic renderer ...

Curtiss-Wright collaborates with Dolphin Interconnect Solutions to dramatically increase HPEC system fabric speed ...

New UK consortium to explore use of magnetic skyrmions in data storage ...

Smallest photodetector worldwide for optical data transmission ...

Cray reports second quarter 2016 financial results and updates 2016 outlook ...

Panasas introduces ActiveStor 20 ...

World's Highest Density Deep Learning Supercomputer in a Box by Joint Creators Orange and CoCoLink Korea ...

Applications

Rail researchers select liquid cooled computing for Big Data risk analysis ...

SC16 selects industry veteran Katharine Frase as keynote speaker ...

University of Kentucky biology graduate student wins prestigious Blue Waters Fellowship ...

Partnership between University of Maryland and U.S. Army Research Laboratory harnesses the power of defense supercomputing to create opportunities for scientific discovery ...

Personalized virtual brains: Big data - big theory ...

Analysis of metastatic prostate cancers suggests treatment options ...

Penn researchers improve computer modeling for designing drug-delivery nanocarriers ...

The Cloud

5.3 million euro HNSciCloud tender for Hybrid Cloud Platform released ...

IBM captures leadership position in hybrid Cloud environment adoption, according to research firm ...

IBM named leader in private Cloud adoption by market research firm ...

Cray reports second quarter 2016 financial results and updates 2016 outlook

2 Aug 2016 Seattle - Cray Inc. has issued financial results for the second quarter ended June 30, 2016. All figures are based on U.S. GAAP unless otherwise noted.

Revenue for the second quarter of 2016 was $100.2 million, which compares with $186.2 million in the second quarter of 2015. Net loss for the second quarter of 2016 was $13.1 million, or $0.33 per diluted share, compared to net income of $5.8 million, or $0.14 per diluted share in the second quarter of 2015. Non-GAAP net loss was $11.4 million, or $0.29 per diluted share for the second quarter of 2016, compared to non-GAAP net income of $12.4 million, or $0.30 per diluted share for the same period of 2015.

Overall gross profit margin on a GAAP and non-GAAP basis for the second quarter of 2016 was 36%, compared to 27% for the second quarter of 2015.

Operating expenses for the second quarter of 2016 were $51.8 million, compared to $40.0 million for the second quarter of 2015. Non-GAAP operating expenses for the second quarter of 2016 were $49.0 million, compared to $37.3 million for the second quarter of 2015. GAAP and non-GAAP operating expenses for the second quarter of 2016 included approximately $2.3 million associated with the Company's exercising of an early lease termination option.

As of June 30, 2016, cash, investments and restricted cash totaled $224 million. Working capital decreased at the end of the second quarter of 2016 to $381 million compared to $418 million at the end of the first quarter.

Peter Ungaro, president and CEO of Cray, stated: "While we had a number of exciting product launches in the second quarter, the drop in our revenue expectations for the second half of the year due to recent developments is extremely disappointing. However, I do not believe that our leadership position in the market has changed. We remain confident in our strategy, competitive position and our ability to drive growth into the future."

For 2016, while a wide range of results remains possible, the company now expects revenue to be in the range of $650 million. The change in the company's revenue outlook was driven by the level and timing of new orders and the delays of key third-party components, the risks of which were outlined last quarter, as well as a very recent electrical smoke event caused by a failed manufacturing facility power component that will delay the company's ability to deliver on some customer contracts in 2016, including an impact on anticipated third quarter revenue. Revenue for the third quarter is anticipated to be in the range of $80 million. GAAP and Non-GAAP gross margin for the year is expected to be in the range of 34%. Non-GAAP operating expenses for the year are anticipated to be about $200 million. For 2016, GAAP operating expenses are anticipated to be about $12 million higher than non-GAAP operating expenses, and GAAP gross profit is expected to about $1 million lower than non-GAAP gross profit. Based on this outlook, the company expects to be profitable on a GAAP and non-GAAP basis for 2016.

Given the company's updated outlook for 2016, the effective GAAP and non-GAAP tax rates for the year are now expected to be about 6% and 30%, respectively, but are subject to significant variability.

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

Recent highlights include the following:

  • In July, Cray and Deloitte Advisory Cyber Risk Services introduced the first commercially available high-speed, supercomputing threat analytics service, Cyber Reconnaissance and Analytics. The subscription-based offering, which is powered by the Cray Urika-GX and is currently in production, is designed to help organizations effectively discover, understand and take action to defend against cyber adversaries.
  • In May, Cray launched the Urika-GX system, the first agile analytics platform that fuses supercomputing technologies with an open, enterprise-ready software framework for big data analytics. The Broad Institute of MIT and Harvard, one of the world's leading life sciences research centres, is currently using the Urika-GX system for analyzing high-throughput genome sequencing data.
  • In June, the US Department of Energy's Argonne Leadership Computing Facility at Argonne National Laboratory selected a Urika-GX system to perform research in the areas of life science, material science, and machine learning, as well as to support the 2016 ALCF Data Science Programme.
  • In June, the Academic Center for Computing and Media Studies at Kyoto University in Japan awarded the company with a contract for a Cray XC40 supercomputer, featuring the Cray DataWarp technology, as well as a Cray CS400 cluster supercomputer. The 5.4 petaflop XC40 system will also include the new Intel Xeon Phi processors, formerly codenamed "Knights Landing".
  • The Centre for Modelling & Simulation (CFMS) in Bristol, UK recently purchased a CS400 cluster supercomputer. The Centre is supported by a consortium of commercial manufacturing companies, including Airbus, BAE Systems, Rolls Royce, MBDA, and Williams F1.

Source: Cray

Back to Table of contents

Primeur weekly 2016-08-08

Focus

OpenSoC Fabric to create Open Source Network-on-Chip systems for demonstration purposes ...

ExaNoDe project is looking for chiplet solutions stacked on an active silicon interposer ...

Quantum computing

New quantum computer module sets stage for general-purpose quantum computers ...

Diamond-based light sources will lay a foundation for quantum communications of the future ...

Focus on Europe

IBM scientists imitate the functionality of neurons with a phase-change device ...

European Commission issues booklet on e-Infrastructures as the foundation of the European Open Science Cloud ...

Middleware

Bright Computing releases Version 7.3 of Bright Cluster Manager and Bright OpenStack ...

Hardware

HiPEAC community delivers video processing with up to eight times faster edge detection and 50 times faster motion detection ...

AMD open sources professional GPU-optimized photorealistic renderer ...

Curtiss-Wright collaborates with Dolphin Interconnect Solutions to dramatically increase HPEC system fabric speed ...

New UK consortium to explore use of magnetic skyrmions in data storage ...

Smallest photodetector worldwide for optical data transmission ...

Cray reports second quarter 2016 financial results and updates 2016 outlook ...

Panasas introduces ActiveStor 20 ...

World's Highest Density Deep Learning Supercomputer in a Box by Joint Creators Orange and CoCoLink Korea ...

Applications

Rail researchers select liquid cooled computing for Big Data risk analysis ...

SC16 selects industry veteran Katharine Frase as keynote speaker ...

University of Kentucky biology graduate student wins prestigious Blue Waters Fellowship ...

Partnership between University of Maryland and U.S. Army Research Laboratory harnesses the power of defense supercomputing to create opportunities for scientific discovery ...

Personalized virtual brains: Big data - big theory ...

Analysis of metastatic prostate cancers suggests treatment options ...

Penn researchers improve computer modeling for designing drug-delivery nanocarriers ...

The Cloud

5.3 million euro HNSciCloud tender for Hybrid Cloud Platform released ...

IBM captures leadership position in hybrid Cloud environment adoption, according to research firm ...

IBM named leader in private Cloud adoption by market research firm ...