Supercomputer maker Cray Inc. today reported net income of $147.4 million on revenue of $84.2 million, a “strong quarter” in the words of CEO Peter Ungaro. The boost in net income came in part through a $139.1 million gain tied to the company’s sale of its interconnect hardware development program to Intel Corporation. The company, whose supercomputer systems are used for intensive computing analysis in bioinformatives, meteorology, automobile design and other areas, finished the quarter with cash balances totaling $223 million.
“During the first half of the year, we made good progress on each of our three growth initiatives while also delivering strong operating results,” said Ungaro. The company’s gross profit margin increased to 41 percent from 38 percent.
“We have a lot of work left to do in order to achieve our outlook for this year, but our business is in excellent shape as we continue to build on our strong market position now and into the future,” Ungaro added. The company said that a “wide range of results remains possible for 2012.”
The company said it is waiting on one possible customer that could drive $150 million into the business, which would account for the largest system it has ever built.
Assuming acceptance of this system occurs in 2012, Cray anticipates total revenue to be in the range of $430 million to $450 million for the year, the company said. Shares of Cray are up 105 percent in the past year.