EMC reports double digit growth

Storage specialist EMC has delivered double digit growth in its systems, software and services business across all regions for the 16th consecutive quarter.

Total sales for the second quarter have increased 21 per cent to $3.1bn (£1.5bn) and profits are also up by 33 per cent to $334.4m (£162.1m).

Strong revenue growth in EMC's mid-range information storage products, software licence and maintenance sales, and demand for subsidiary RSA’s security products and VMWare Virtual Infrastructure contributed to the firm's continuing strong performance.

VMware delivered a particularly positive quarter, with sales rising 89 per cent to $298m (£144.5m). The division is continuing to expand its product portfolio with the new release of virtual desktop software.

Security specialist RSA’s sales are up 21 per cent to $125m (£60.6m).

‘Customers continue to choose EMC for the depth and breadth of our information infrastructure technologies, which translated into solid revenue growth that was well balanced across our systems and geographies,’ said EMC chief executive Joe Tucci.

‘Add the explosion of digital information and the positive 2007 IT spending outlook and it is clear that we are in a sweet spot of the IT industry.’

North America continues to be its primary market with sales up 20 per cent to account for 58 per cent of all revenue, while sales outside North America grew 23 per cent.

EMC predicts that overall sales for the year will top $12.7bn (£6.1bn).