SGI announced Q4 and FY2008 results on Thursday. Revenue was down year over year, but up for the quarter. The company lost more money year over year and Q4 over Q4
Revenue for the fourth quarter was $93.9 million, compared to $79.1 million in the third quarter and $122.3 million in the fourth quarter of the prior year, representing an increase of 19 percent and a decline of 23 percent, respectively. Revenue for fiscal 2008 was $354.1 million, a decline of 24 percent from the prior fiscal year.
The fiscal 2008 operating loss was $127.2 million, compared to a loss of $101.2 million for the prior fiscal year. The fourth quarter operating loss was $28.6 million, compared to $40.6 million in the third quarter and $24.8 million in the fourth quarter of the prior year.
SGI opened its results release with a litany of good news about why you shouldn’t worry about the company. These are the first two of their “good news” items:
Grew bookings 25 percent year-over-year to $356 million through a mix of high performance compute, storage and visualization solutions and services.
Saw backlog more than double year-over-year, putting the Company in a stronger position heading into fiscal 2009 with beginning backlog of $147 million compared to $66 million at the end of the prior year.
So, the company managed to lose money while getting 25% more orders, and it has significantly reduced its capability to ship product. Now, I’m no financial professional, but those don’t seem like healthy indicators to me.
Thats right.