Western Digital 2015 Annual Report Download - page 3

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STEVE MILLIGAN
President and Chief Executive Offi cer
Western Digital Corporation
We achieved solid  nancial performance in  scal 2015, in light of macroeconomic and PC-industry
headwinds that resulted in softer demand during much of the year. We also continued to advance
our strategy to be an innovative leader in the storage industry and, in doing so, create long-term
value for our employees and shareholders.
In  scal 2015, we achieved revenue of $14.6 billion, gross margin of 29.0%, net income of $1.5 billion,
and diluted earnings per share of $6.18. We shipped 249 exabytes of storage, up 16% from  scal
2014. Nearly 60% of our revenue was generated from non-PC markets, versus 53% a year ago.
In addition, our participation in growing, more pro table and largely cloud-related storage markets
continued to expand. Re ecting this trend, our average terabytes per drive shipped grew 26% from
the prior year to 1.1 terabytes.
We generated $2.2 billion in cash from operations during the 2015  scal year and we utilized $1.4 billion
for dividends and share repurchases. We believe our capital allocation plan over the last several years is
an appropriate and balanced approach that allows for both near-term and long-term value creation.
We are focused on managing the decline in our PC-related business and accelerating the growth of
our cloud-related businesses as we enter  scal 2016. Our strategic investments and execution over
the last several years have resulted in a strong product and technology positioning for us as
we navigate this transition.
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