Super Micro Computer F2Q08 (Qtr End 12/31/2007) Earnings Call Transcript

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2008-01-30 18:25:55.0

Tags: Super Micro Computer Inc.

Question-and-Answer Session

(Operator Instructions) And we'll go first to Glenn Hanus with Needham. Please go ahead sir.

Glenn Hanus - Needham

Good afternoon. Can you hear me?

Charles Liang

Yes, Glenn.

Glenn Hanus - Needham

Okay. Could you maybe talk a little bit about the offsetting factors of seasonality and the new products. First talk about seasonality or whether you are seeing if that should be more severe than normal or about like normal? And then in terms of the new products, any sort of quantification you can help us with -- how much did new products sort of makeup of your revenues this past quarter and how do you expect that to rollout?

Charles Liang

Okay. Thank you, Charles again. Basically in history, in March quarter we have a seasoning added below our quarter. However this year we had a very strong product line like we just mentioned, our 1U Twin and a high density server have been growing well and we believe this trend will continue for the next couple of quarters at least.

As well as our UIO Universal I/O, which we introduce last March about nine months ago, this product line also continues growing. And again people like the feature we provide. Also, I mean, I just mentioned Intel's Quad-Core [San Clemente] space, Xeon DDR2 that's all of our lower power consumption solution for server and workstation. So we have that product line just in high volume production basically.

However with our Whisper-Quiet, I mean, both times we introduced a very quiet workstation solution for the market -- we call it Whisper-Quiet workstation solutions. So with all of those exceptional products, I believe in our March quarter we should have a record high in revenue again.

Glenn Hanus - Needham

As a follow-up, can you talk about the -- aside from the new products -- can you talk about the level of seasonality, and kind of macro factors you are seeing out there? Are you seeing any scaling back in spending or anything on those lines due to the overall macro environment?

Charles Liang

For example last year, three months ago our March quarter dropped quite a bit from last year, December one year ago. But this year should be different because again our very strong product line, new product line, so I believe like Howard just mentioned, this quarter we could see a 137 to 142. So we should be able to see some gross although maybe not large, because of the traditional seasonality. So Howard you are going to answer.

 

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