VMware CEO Raghu Raghuram said the company’s sales met expectations this past quarter, rising one percent, aided by double-digit subscription revenue growth.
Raghuram said that in the past quarter the company unveiled many new offerings across our portfolio, including VMware vSphere 8, VMware vSAN 8 and VMware Aria.
“We remain committed to and engaged in helping customers transform their businesses and unlock the full potential of multi-cloud.”
Sales for its third quarter of fiscal year 2023 came in at $3.21 billion, up from $3.18 billion a year ago. Net income for the quarter, meanwhile was down 42 percent to $231 million from a year ago when it came in at $398 million.
The company is being acquired by Broadcom, if the regulators ever let it go, and Broadcom CEO Hock Tan said at the May announcement of the $61 billion takeover that he wants more of VMware’s revenue to come through subscription.
VMware, which has also been aiming for higher subscription revenue rates, delivered 20 percent growth in subscription revenue growth, and 24 percent growth to its annual recurring revenue.
Subscription revenue now accounts for 31 percent of the Palo Alto, Calif.-based company’s total third quarter sales.
