Western Digital 2011 Annual Report Download - page 38

Item 6. Selected Financial Data
Financial Highlights
This selected consolidated financial data should be read together with the Consolidated Financial Statements and
related Notes contained in this Annual Report on Form 10-K and in the subsequent reports filed with the SEC, as well as
the section of this Annual Report on Form 10-K and the other reports entitled “Management’s Discussion and Analysis of
Financial Condition and Results of Operations.”
July 1,
2011
July 2,
2010
July 3,
2009
June 27,
2008
June 29,
2007
(in millions, except per share and employee data)
Revenue, net ............................... $ 9,526 $ 9,850 $ 7,453 $ 8,074 $ 5,468
Gross margin ............................... $ 1,791 $ 2,401 $ 1,337 $ 1,739 $ 900
Net income ................................ $ 726 $ 1,382 $ 470 $ 867 $ 564
Net income per common share:
Basic .............................. $ 3.14 $ 6.06 $ 2.12 $ 3.92 $ 2.57
Diluted ............................ $ 3.09 $ 5.93 $ 2.08 $ 3.84 $ 2.50
Working capital ............................. $ 3,317 $ 2,697 $ 1,705 $ 1,167 $ 899
Total assets................................. $ 8,118 $ 7,328 $ 5,291 $ 4,875 $ 2,901
Long-term debt ............................. $ 150 $ 294 $ 400 $ 482 $ 10
Shareholders’ equity .......................... $ 5,488 $ 4,709 $ 3,192 $ 2,696 $ 1,716
Number of employees ......................... 65,431 62,500 45,991 50,072 29,572
No cash dividends were paid for the years presented. Number of employees excludes temporary employees and
contractors.
Item 7. Management’s Discussion and Analysis of Financial Condition and Results
of Operations
Forward-Looking Statements
The following discussion and analysis contains forward-looking statements within the meaning of the federal securities laws. You
are urged to carefully review our description and examples of forward-looking statements included earlier in this Annual Report on
Form 10-K immediately prior to Part I, under the heading “Forward-Looking Statements.” Forward-looking statements are subject to
risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. You
are urged to carefully review the disclosures we make concerning risks and other factors that may affect our business and operating
results, including those made in Item 1A of this Annual Report on Form 10-K, and any of those made in our other reports filed with the
Securities and Exchange Commission (the “SEC”). You are cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the date of this document. We do not intend, and undertake no obligation, to publish revised forward-looking
statements to reflect events or circumstances after the date of this document or to reflect the occurrence of unanticipated events.
Our Company
We are a global provider of solutions for the collection, storage, management, protection and use of digital content,
including audio and video. Our principal products are hard drives, which are devices that use one or more rotating
magnetic disks (“magnetic media”) to store and allow fast access to data. Hard drives are currently the primary storage
medium for digital content. Our hard drives are used in desktop and notebook computers, corporate and cloud
computing data centers, home entertainment equipment and stand-alone consumer storage devices. In addition to hard
drives, our other products include solid-state drives and home entertainment and networking products.
Planned Acquisition of Hitachi Global Storage Technologies
On March 7, 2011, we entered into a stock purchase agreement (the “Purchase Agreement”) with Hitachi, Ltd.
(“Hitachi”), Viviti Technologies Ltd., until recently known as Hitachi Global Storage Technologies Holdings Pte. Ltd., a
wholly owned subsidiary of Hitachi (“HGST”), and Western Digital Ireland, Ltd., our indirect wholly owned subsidiary
(“WDI”). Pursuant to the Purchase Agreement, WDI agreed to acquire all of the issued and outstanding paid-up share
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