Quantum: Solid Foundations and Strategic Decisions for the Future

Quantum is driving its transformation process forward with determination and presents encouraging results for the second quarter of fiscal year 2025. Revenue amounted to $70.5 million, while the GAAP gross margin was 41.5%. Despite supply chain challenges, the company was able to make significant progress in improving operational efficiency and automation. This led to an almost balanced adjusted EBITDA, with significant cost reductions of nearly $40 million expected compared to fiscal year 2023. A key component of Quantum's innovation strategy is the focus on forward-looking products like Myriad and ActiveScale. Additionally, the company is impressed by the remarkable data reduction and recovery rates of its new DXi T-Series, which is capturing the market through the rapid conclusion of several strategic deals. The sales department is also showing encouraging signs. With over 1,000 subscription customers, Quantum is experiencing a positive development in its transformation towards subscription-based business models. Although Quantum faces a slight decrease in revenue compared to the previous year, the ongoing structural and product-related progress underscores the company's efforts to increase profitability. An improving EBITDA and a positive operational cash flow are tangible goals for the second half of fiscal year 2025 and beyond. Ultimately, Quantum aims to drive future growth through innovative products, an enhanced customer experience, and leveraging its global presence. Despite temporarily challenging supply chain conditions, Quantum is confident that the company's long-term prospects remain robust, with expectations of positive revenue, profit, and cash flow trends starting from the second half of fiscal year 2025.