VMware unveils healthy results, but won’t be drawn on further Dell links
Written by David Adams
VMware has produced some positive results, with revenue for the fiscal year 2018 up 12 per cent from 2016 to $7.92 billion, despite being hit by a $970 million charge in advance of the new US tax regulations announced in December. Key reasons for these pleasing figures were strong performance in the EMEA region in particular and healthy demand for integrated cloud and network virtualisation software platforms.
Gossip among analysts centred on a rumoured reverse merger with Dell, which now owns 80 per cent of VMware following its own merger with EMC, but VMware top brass had absolutely no comment to make about that. The link-up with Dell also explains the slightly jarring leap from 2016 to 2018 figures, as VMware adopts Dell’s financial calendar.
VMware has also benefitted from the acquisitions of Wavefront and Apteligent, which have added technology and customers; along with partnerships deals with other companies including DXC, IBM, Amdocs, Ricoh and Vodafone. Software license sales rose 14 per cent to $3.2 billion, while software maintenance services were up ten per cent to $4.1 billion.
“Our strong Q4 and terrific fiscal year 2018 results demonstrate the power of our broad-based portfolio and a strategy that continues to resonate, resulting in strong customer momentum,” said VMware CEO Pat Gelsinger.