---------------------------------------------------------------------------- The Florida SunFlash Sun's Earning and Revenues (Second Fiscal Quarter) Up 20% SunFLASH Vol 37 #21 January 1992 ---------------------------------------------------------------------------- Sun Microsystems Announces 20% Higher Revenues And Earnings For Second Fiscal Quarter MOUNTAIN VIEW, Calif. -- January 28, 1992 -- Sun Microsystems, Inc. (SUNW), today reported that revenues for its second fiscal quarter ended December 27, 1991, rose more than 20% to $909.1 million, over the $753.5 million reported for the corresponding period of fiscal 1991. Net income for the quarter also increased more than 20% to $47.4 million, or 47 cents per share, from the $39.1 million, or 39 cents per share, for the same period a year ago. Revenue unit shipments at 49,000 set a new company record. For the first six months of fiscal 1992, Sun recorded revenues of $1.7 billion, up 16% from the same period a year earlier. Net income for the six-month period increased nearly 14% to $74.2 million, or 74 cents per share, from the $65.2 million, or 65 cents per share, reported in the corresponding period a year ago. Kevin C. Melia, Sun's chief financial officer, said, "We are very pleased with our fiscal 1992 second quarter results. The company continued to experience strong demand in the commercial marketplace. Demand for our product offerings was especially robust in the U.S. and Japan, whereas European demand, in general, remained sluggish." Melia noted that the company is also pleased with the initial acceptance of the SPARCserver 600MP Series of multiprocessing servers introduced at the beginning of the quarter. "Since its introduction on September 30, 1991," Melia stated, "Sun Microsystems Computer Corporation, SMCC, has shipped over 2,600 units including systems and upgrades, making it one of the leading suppliers of multiprocessing machines in the industry." Melia further noted that SMCC expects to be the No.1 multiprocessing supplier by the close of calendar year 1992. Revenue per employee for the last 12 months reached $279,000 and continues to be among the best in the industry. And, the company's return on net assets before interest and taxes, RONABIT, increased to 32.2% from 24.3% a year ago. Melia went on to state, "While the results of our second quarter were gratifying, we are mindful that economic uncertainties persist, competition continues to intensify, and the company will need to manage important hardware and software transitions during calendar year 1992. Any of these factors could temporarily impact revenues and margins." Melia concluded, "Our outlook is optimistic for the long term. We continue to target our investments in product development, demand creation, and infrastructure while maintaining a sharp focus on asset management, overall spending controls and productivity enhancements." Sun Microsystems, Inc., is one of the world's leading suppliers of client-server computing solutions that feature networked workstations and servers that store, process and distribute information. According to analysts, Sun's products command the largest share of one of the computer industry's fastest growing market segments: workstations and servers. The company was founded in 1982 and is headquartered in Mountain View, California. Sun Microsystems, Inc., Sun Microsystems and the Sun logo are registered trademarks of Sun Microsystems, Inc. Analyst contact: Thomas J. Meredith (415) 336-0245 Press contact: Cindee Mock (415) 336-3563 ++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++ For information send mail to info-sunflash@sunvice.East.Sun.COM. Subscription requests should be sent to sunflash-request@sunvice.East.Sun.COM. Archives are on solar.nova.edu, paris.cs.miami.edu, uunet.uu.net and src.doc.ic.ac.uk All prices, availability, and other statements relating to Sun or third party products are valid in the U.S. only. Please contact your local Sales Representative for details of pricing and product availability in your region. Descriptions of, or references to products or publications within SunFlash does not imply an endorsement of that product or publication by Sun Microsystems. John McLaughlin, SunFlash editor, flash@sunvice.East.Sun.COM. (305) 776-7770.