SMART Global Holdings Reports Fourth Quarter Financial Results

SMART Global Holdings (NASDAQ:SGH), memory and computing technology company announced US$278.4 million in net sales for the fourth quarter of 2019, dropping 6 percent year-over-year. The company reported adjusted earnings before interest, tax, amortization and depreciation of US$25.2 million and net income of US$5.6 million, driven by its memory and storage operations.

As quoted in the press release:

“Fiscal 2019 was a year of two halves.  In the first half we experienced a healthy memory pricing environment and our financial results benefited from that strength.  In the second half of fiscal 2019 component pricing in the memory market declined significantly, which primarily impacted our business in Brazil and, to a lesser extent, our Specialty Memory Products, and resulted in overall revenues in fiscal 2019 declining year-over-year by 6%,” commented Ajay Shah, Chairman and CEO.

“Despite this challenging business environment, our Specialty Memory Products business grew year-over-year, and our Specialty Compute and Storage Solutions business finished strong representing 30% of total net sales for the fourth quarter of fiscal 2019. Additionally, during the year we added $66.8 million in cash while utilizing an additional $75 million to complete two significant acquisitions that are both accretive to earnings in the first full quarter of operations.”

Click here to read the full press release.