crayxk7Seattle supercomputer maker Cray today posted a first quarter net loss of $7.6 million on revenue of $79.5 million. That compared to net income of $5 million on revenue of $112.3 million for the same period last year.

The company’s profit margin also shrunk to 30 percent from 40 percent, with the product margin also slipping based on items related to the acquisition of Appro and the weakening of the Japanese Yen. It finished the quarter with $251 million in cash and investments.

In the earnings release, CEO Peter Ungaro called it a “solid first quarter.” Last month, Cray was awarded a $32 million contract by the Swiss National Supercomputing Centre. It also installed a XC30 supercomputer with the Japan Advanced Institute for Science and Technology.

“In HPC, our latest generation XC30 supercomputer is off to a strong start with a number of big wins and is shipping to customers around the world, and our new CS300 cluster is gaining traction. In Big Data, our storage and graph analytics offerings are continuing to make progress in this fast growing market,” said Ungaro. “While we have a lot of work left to do in order to achieve our outlook, we remain on track to deliver strong revenue growth and I’m excited about our prospects for the rest of the year.”

Cray’s shares fell more than three percent in after-hours trading.

The company said it expects revenue of about $500 million for the year, with about 45 percent of the revenue coming in the fourth quarter.

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