Seagate Technology Holdings Plc · NASDAQ:STX
Seagate Technology — Investor Day (September 2019)
81 slides from Seagate Technology's investor day presentation, Sep 19, 2019
Slide 1: Analyst Day 2019 New York
Analyst Day 2019 NEW YORK
Slide 2: Safe Harbor Statement
Safe Harbor Statement This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, each as amended, including, without limitation, statements about the Company’s plans, strategies and prospec
Slide 3: Use of Non-GAAP Financial Information
Use of Non-GAAP Financial Information To supplement the consolidated financial statements information presented in accordance with generally accepted accounting principles (GAAP), the Company provides non-GAAP measures of adjusted revenue, gross margin, gross margin as a percentage of revenue, opera
Slide 4: Driving the Future of Data
Dave Mosley CHIEF EXECUTIVE OFFICER Driving the Future of Data
Slide 5: Vision, Mission, Values
VISION We Craft the Datasphere MISSION We help maximize humanity’s potential by delivering precision-engineered data solutions developed through sustainable and profitable partnerships. VALUES Inclusion / Innovation / Integrity 5
Slide 6: Strong Investment Thesis
Strong Investment Thesis Large and Growing Right Platform to Storage Creating Storage TAM Drive Growth Technology Leader Shareholder Value TAM – Total Available Market 6
Slide 7: Massive Growth In Data
Massive Growth In Data Creating Insatiable Demand for Storage to Maintain, Protect, Process, and Analyze Data In the year 2002 In the year 2020 23 Exabytes 23 Exabytes of data was created of data will be created every 5 hours Source: Data Age 2025, sponsored by Seagate with data from IDC Global Data
Slide 8: Datasphere Continues to Evolve
Datasphere Continues to Evolve 10M 2B 7B 42B CENTRALIZED DISTRIBUTED CENTRALIZED DISTRIBUTED 1960 - 1980 1980 - 2010 2005 - 2025 2020 - IT 1.0 Mainframe IT 2.0 Client-Server IT 3.0 Mobile-Cloud IT 4.0 Rise of the Edge Source: “The End of Cloud Computing”, Peter Levine, (December 2016), IDC (2019) 8
Slide 9: Massive Growth in Data Driving Demand for Storage
Massive Growth in Data Driving Demand for Storage Data Created (ZB) Storage Installed Base (ZB) 17 ZB 175 ZB Tripling from 2019-2025 and yet only a fraction of the data created being is stored. CY12 CY25 CY12 CY25 CY12 CY25 Source: Data Age 2025, sponsored by Seagate with data from IDC Global Datasp
Slide 10: IT 2.0 Leading Product Portfolio for Client-Server Markets
IT 2.0 Leading Product Portfolio for Client-Server Markets Minimal Investment to Maximize Return and Fuel Next Generation Investments Seagate Portfolio IT 2.0 Mission Critical PC and Gaming Pro Gaming Consumer Externals Client – Server 10
Slide 11: HDD Demand Has Transitioned
HDD Demand Has Transitioned From Client Compute to Mass Capacity Storage Markets IT 4.0 Public Cloud Private Cloud Increase in Drive Utilization Increase in Heads per Drive 10 IT 3.0 Edge Storage ~70% 70% 4.7 LEVEL OF UTILIZATION 39% 3.2 Other NL Desktop IT 2.0 Mission Critical CY15 CY19 CY23 CY15 C
Slide 12: IT 3.0 Industry Transition to the Mobile Cloud
IT 3.0 Industry Transition to the Mobile Cloud Higher Demand For Public Cloud Services Has Resulted In Increasing Infrastructure Build-out and Spend to Support Data Center Build-out Public Cloud Services Revenue ($B) Hyperscale Data Centers 570 249.8 509 $214 448 $182 386 338 IT 3.0 $145 $119 CY16 C
Slide 13: HDDs to Fulfill a Majority of Datasphere Storage
HDDs to Fulfill a Majority of Datasphere Storage Exabyte Shipments HDDs Support Growing Mass Capacity Demand 4.5 Bytes Shipped (ZB) High Performance Storage Total HDD Flash Compute Centric / Performance Optimized Mass Capacity Storage Data Centric / Capacity Optimized CY12 CY25 Source: IDC (2018), S
Slide 14: Technology Advancements and Capital Investments Required to Meet HDD Demand
Technology Advancements and Capital Investments are Required to Meet HDD Storage Demand Total HDD Storage Demand (ZB) 3.0 + Incremental industry manufacturing capacity +12% CAGR +17% CAGR + Assisted magnetic recording +6% CAGR Exabyte growth o Current industry capacity and current technology Exabyte
Slide 15: IT 3.0 Strong Portfolio to Address Mobile Cloud Needs
IT 3.0 Strong Portfolio to Address Mobile Cloud Needs Leadership in Capacity, Performance and Cost / TB Largest Mass Capacity Hard Drive 16TB Shipping in volume on highly extendable 9D plaform World’s Fastest Hard Drive Dual actuator shipping and in qualification IT 3.0 Highest TCO Capability Leader
Slide 16: The Rise of The Edge
The Rise of The Edge IT 1.0 IT 2.0 IT 3.0 IT 4.0 Mobile – Cloud Edge 16
Slide 17: Trends Driving Data Growth at IoT
Generating insights from Big Data AI 10-50 TB per autonomous vehicle per day Trends Driving Data Growth at IoT ~42B More connected devices, more data connected devices by 2025 the EDGE Faster connectivity, more data movement 5G 310 PB mobile traffic per day Source: : “What Edge Computing Means for H
Slide 18: Edge Resulting in Market Expansion with New Verticals
Edge Resulting in Market Expansion with New Verticals Moving Compute and Storage Closer to Data Creation Enables Industries to Extract Value from Data Factors Driving Storage Content Delivery Autonomous Smart to the Edge Telco Healthcare Networks Vehicles Manufacturing Cost Latency Data Protection 1
Slide 19: Emergence of Edge Storage Driving Incremental $3B-$6B TAM by 2025
Emergence of Edge Storage Driving Incremental $3B – $6B TAM by 2025 HDD Mass Capacity Storage $TAM IT 4.0 $3B - $6B Incremental Opportunity IT 3.0 ~$24B (Nearline, Surveillance, NAS drives) CY15 CY16 CY17 CY18 CY19 CY20 CY21 CY22 CY23 CY24 CY25 Note: Chart reflects revenue TAM for Nearline, Surveill
Slide 20: Seagate Well Positioned To Address Market Opportunities
IT 4.0 Edge Storage Seagate Well Positioned To Address Market Opportunities IT 3.0 Mobile Cloud 20TB Enabling Lower TCO (Total Cost of Ownership) IT 2.0 Client Server 20
Slide 21: Seagate Has a Strong Platform to Address Evolving Market
EB Exabyte – Systems Seagate Has a Strong Platform to Address Evolving Market PB Petabyte – Cloud Devices Expertise in Manufacturing, Technology, Systems 20TB Architecture TB Terabyte – Cloud & Edge Devices 21
Slide 22: Operational Strength at Scale
Operational Strength at Scale Well Positioned For Future Mass Capacity Storage Opportunities Reduced Product Platforms Concentrated R&D Locations Optimized Manufacturing Footprint Product Platforms R&D Sites Manufacturing Sites >80% >50% 50% FY16 FY19 FY16 FY19 FY16 FY19 Cloud and Edge have Focused
Slide 23: Technology Leader
Technology Leader Technology Leadership is Not Just About Making Larger Hard Drives, It’s About Engaging With Our Customers to Solve Their Pain Points. Total Cost of Performance Fleet Health Security Ownership 23
Slide 24: Financial Strength
Financial Strength Focus on Improving Profitability and Free Cash Flow Through Industry Cycles Operating Income Free Cash Flow EPS $1.5B $4.82 $1.2B $1.1B $0.9B $2.26 FY16 FY17 FY18 FY19 FY16 FY17 FY18 FY19 FY16 FY17 FY18 FY19 Reflects non-GAAP financial performance; see the “Reconciliation Tables”
Slide 25: Target Increasing Dividend Consistently Over Time
~3% Raising Quarterly Dividend $0.65 Per Share ($2.60 annualized) Target Increasing Dividend Consistently Over Time Note The payment of any future quarterly dividends will be at the discretion of the Board of Directors of the Company (the "Board") and will be dependent upon Seagate’s financial posit
Slide 26: Our Speakers Today
Our Speakers Today Addressing Data Driving the Future Leading Technology Creating Value for Challenges in Of Data Innovation Shareholders A Multi Cloud World Dave Mosley CEO Ravi Naik CIO John Morris CTO Gianluca Romano CFO 26
Slide 27: Addressing Data Challenges in A Multi Cloud World
Ravi Naik CHIEF INFORMATION OFFICER Addressing Data Challenges in A Multi Cloud World
Slide 28: CIO Challenges – Past
CIO Challenges – Past Cost Support Scalability Interoperability 28
Slide 29: CIO Challenges – Present
CIO Challenges – Present What Stays the Same and What Changed User Business Data Cost Experience Outcomes Privacy Cost Support Scalability Interoperability 29
Slide 30: The Promise Of Public Cloud
/ Simpler Architecture The Promise / Easy to Adopt Of Public Cloud / Lower TCO In Search of Simplicity / Easier to Secure 30
Slide 31: From a Centralized Cloud to Private Cloud and Edge
From a Centralized Cloud to Private Cloud and Edge Bandwidth Latency Real Time Analytics On-Prem & Private Cloud Public Cloud Edge Cost Compliance Localization 31
Slide 32: Data Continues to Grow in Private Cloud, Public Cloud and Edge
Data Continues to Grow in Private Cloud, Public Cloud and Edge CY25 37% will be stored in Enterprise / Private Cloud 49% will be stored in Public Cloud 22% will be created at the Edge CY19 CY12 Source: IDC (2018) 32
Slide 33: Workload Repatriation – Which Data Goes Where
Workload Repatriation – Which Data Goes Where On-Prem & Edge Public Cloud Private Cloud Latency sensitive Latency tolerant data for High volume data for data for analytics traditional IT apps Machine Learning apps 33
Slide 34: A Closer Look: AI/ML Big Data Analytics in Public and Private Clouds
A Closer Look: AI/ML Big Data Analytics in Public and Private Clouds Annual TCO in Public vs. Private Cloud 2PB data – Big Data Analytics Annual TCO 24 x 7 x 365 Workload Annual TCO Comparison 40% Public Cloud costs are Cost Reduction Migration to storage sensitive Public Cloud $5M 80% Cost Reductio
Slide 35: Data Growth Drives Storage Demand Across All Environments
Data Growth Drives Storage Demand Across All Environments On-Prem & Private Cloud Public Cloud Edge Edge Analytics Traditional IT Big Data / AI-ML Workloads Resilient Solutions Highest Capacity HDDs High Density Systems ML – Machine Learning High Capacity 35
Slide 36: The Perfect Future
The Perfect Future Seamless and Secure Data Storage and Movement Across the Datasphere Public Edge Cloud Performance / Security / Data Management On-Prem & Private Cloud Efficient Simple UX Outcome Driven Secure UX - User Experience 36
Slide 37: Complete Portfolio And Expertise to Address Customer Needs
Storage is growing in the Public Cloud, Private Cloud and Edge Complete Portfolio And Expertise to TCO remains the primary driver for Address Customer evaluating storage needs Needs Now and Into The Future Mass capacity HDDs and systems best address customers’ storage growth and TCO needs 37
Slide 38: Break
BREAK
Slide 39: Leading Technology Innovation
John Morris CHIEF TECHNOLOGY OFFICER Leading Technology Innovation
Slide 40: HDDs continue to be competitive and critical
“HDDs continue to be competitive and critical for the Cloud Bulk Storage tier for the visible horizon.” Google Platforms, August 2018 40
Slide 41: Seagate Addressing the Mass Capacity Storage Challenges
Seagate Addressing the Mass Capacity Storage Challenges Customer Storage Challenges Seagate’s Solutions Meeting Exabyte Increase Areal Density Demand Growth Maintaining SLAs with Scale Performance High Performance with Capacity Total Cost Reduce $ / TB Of Ownership SLA – Service Level Agreement 41
Slide 42: Seagate Addressing the Mass Capacity Storage Challenges
Seagate Addressing the Mass Capacity Storage Challenges Customer Storage Challenges Seagate’s Solutions Meeting Exabyte Increase Areal Density Demand Growth Maintaining SLAs with Scale Performance High Performance with Capacity Total Cost Reduce $ / TB Of Ownership 42
Slide 43: Seagate Technology Enabling Step Function Growth in HDD Capacity
Seagate Technology Enabling Step Function Growth in HDD Capacity On the Cusp of the Next Decade of Scalability HAMR Areal Density (Gbpsi) Perpendicular à HAMR Areal Density (Gbpsi) Pre-HAMR Log Scale Longitudinal à Perpendicular Incorporated Magnetoresistive Reader CY90 CY93 CY95 CY98 CY01 CY04 CY06
Slide 44: Enabling Higher Capacity & Areal Density – Media Technology
Enabling Higher Capacity & Areal Density – Media Technology ~Bit size for 16 TB ~Bit size for 32 TB 5.6nm FePt HAMR Media Glass Media • Enables higher sputter temperatures needed for FePt material • Seagate volume on NL started in 2015 • Robust mechanics for high disk count assemblies New Magnetic M
Slide 45: Enabling Higher Capacity & Areal Density – Head Technology
Enabling Higher Capacity & Areal Density – Head Technology Areal Density Writability Challenge • Write smaller bits on high coercivity media Near-Field Transducer (NFT) Design • Creates electric field that couples into media • Perpendicular writer sets bit Proven and Reliable Design • Heats and cool
Slide 46: HAMR Enabling Higher Capacity & Areal Density – Manufacturing
HAMR Enabling Higher Capacity & Areal Density – MANUFACTURING Drive Assembly • ~55K drives built, leveraging 9 disk platform Components • Automation for volume build and test • >7.6M heads assembled and built in last 5 years Readiness • Systems with HAMR drives under evaluation with customers (sub-2
Slide 47: Cray Selects Seagate's HAMR Technology
Cray Selects Seagate’s HAMR Technology to Power the World’s Largest High-Speed Storage System Cray selected to build Frontier; anticipated HAMR won by offering the industry’s to debut in 2021 as the world’s most Highest capacity density / powerful supercomputer. Best performance / Lowest power per T
Slide 48: Seagate Technology Continues to Drive the Areal Density Curve
Seagate Technology Continues to Drive the Areal Density Curve HAMR 50+TB 50 TB by 2026 Volume HAMR Production 75ZB 30+TB Capacity (TB) Key Partner Initial HAMR Deployment 14TB 20+TB 18TB 20TB PMR 20 TB by 2020 16TB (CMR) (SMR) 14TB 12TB 18TB 10TB 1st Functional HAMR samples shipped to the industry C
Slide 49: Seagate Addressing the Mass Capacity Storage Challenges
Seagate Addressing the Mass Capacity Storage Challenges Customer Storage Challenges Seagate’s Solutions Meeting Exabyte Increase Areal Density Demand Growth Maintaining SLAs with Scale Performance High Performance with Capacity Total Cost Reduce $ / TB Of Ownership 49
Slide 50: Cloud Data Centers Rely on Both HDDs and SSDs
Cloud Data Centers Rely on Both HDDs and SSDs for Quality of Service Latency <1ms 1-100ms >>100ms Block HDD Latency >>100ms Offline storage File type File Latency 1-100ms Mass capacity storage Object Scalability Latency <1ms Compute Exabytes 50
Slide 51: Multi-Actuator Technology Addresses Performance and Capacity Needs
Multi-Actuator Technology Addresses Performance and Capacity Needs PMR HAMR 1st Generation Multi-Actuator Production Drive 14TB 8TB Optimal IOPS/TB 20+TB 10TB 30+TB 50+TB Multi Actuator 12TB Maintain sequential performance as capacity scales 14TB 16TB 18TB Minimum IOPS/TB 20+TB Single Actuator 30+TB
Slide 52: MACH.2 Launched into the Datasphere
MACH.2 Launched into the DATASPHERE! Performance • 2x sequential bandwidth @ 520 MB/sec • IOPS sufficient to avoid stranded capacity in latency sensitive storage applications Capacity • 14TB CMR and 16TB SMR Efficiency • Improved IOPS/Watt to optimize data center total ownership cost Readiness • In
Slide 53: Seagate Addressing the Mass Capacity Storage Challenges
Seagate Addressing the Mass Capacity Storage Challenges Customer Storage Challenges Seagate’s Solutions Meeting Exabyte Increase Areal Density Demand Growth Maintaining SLAs with Scale Performance High Performance with Capacity Total Cost Reduce $ / TB Of Ownership 53
Slide 54: Areal Density Since 2012
Areal Density Since 2012 Seagate is Enabling Mass Storage <10% CAGR PMR Economics Through the Next Areal Density - The Next Decade Decade >20% CAGR HAMR Source: Seagate 54
Slide 55: Seagate Offers the Best Portfolio For Hyperscale Workloads
Seagate Offers the Best Portfolio For Hyperscale Workloads Cost HAMR $/TB Capacity limited $/TB, TB/Watt workloads Data Centers Performance Power $/IOPS $/Watt Performance sensitive workloads MACH.2 IOPS/Watt, Tput/Watt 55
Slide 56: Listen, Collaborate, Contribute
Listen, Collaborate, Contribute Preparing for IT 4.0 - Innovation for the Next Decade Open Customers Consortia Source Engineering focus on Hyperscale forums (ex. Enable developers (ex. proof of concepts OCP, Linux Foundation) Kubernetes, VMs) Customer experience Emerging Edge Ensure data security em
Slide 57: Seagate is Leading Data Storage Innovation
Seagate is Leading Data Storage Innovation Areal Density Maximizing Driving Innovating with Leadership Capacity Gains Lower TCO Customers HAMR: 10x areal MACH.2: scaling drive Delivering $/TB Ecosystem and density growth over performance with reduction and power customer engagements 15 years capacit
Slide 58: Creating Value for Shareholders
Gianluca Romano CHIEF FINANCIAL OFFICER Creating Value for Shareholders
Slide 59: What I Will Cover Today
Change to useful lives estimate 1 and impact to FQ1’20 guidance What I Will Cover 2 Our focus on value creation Today 3 Target long-term financial performance 59
Slide 60: FQ1'20 Guidance
FQ1 2020 Guidance Aligning Useful Life of Our Capital Equipment With Future Utilization FQ1’20 Guidance Aug 2, 2019 Sep 18, 2019 Revenue $2.55B +/- 5% $2.55B +/- 5% Non-GAAP EPS $0.90 +/- 5% $0.99 +/- 5% Note: Updated guidance includes the impact of a change in the estimated useful lives of our capi
Slide 61: Creating Long-Term Value
Creating Long-Term Value Operating in a Optimizing Enhancing Structurally Improved Profit and Cash Flow Value for All of Our HDD Industry Through Cycles Stakeholders Consolidated Industry Product leadership Investing for future growth Optimized Manufacturing Footprint Cost/TB reduction Efficient cap
Slide 62: Seagate is Storage Industry Leader
45% Seagate is Storage Industry Leader 367 EB SEAGATE EB SHARE % Exabyte Shipments (EB) SEAGATE HDD EB SHIPMENTS 15 YR CAGR 35% 30% 4 EB CY03 CY04 CY05 CY06 CY07 CY08 CY09 CY10 CY11 CY12 CY13 CY14 CY15 CY16 CY17 CY18 Source: TrendFocus (2019) 62
Slide 63: From Distributed Manufacturing Footprint
From Distributed Manufacturing Footprint… 2 UK 1 United States 3 China 1 Mexico 2 Thailand 1 Brazil 3 Malaysia 1 Singapore FY16 14 sites 63
Slide 64: ...to Optimized Manufacturing Footprint
…to Optimized Manufacturing Footprint Realized Cost Reduction and Improved Operational Efficiencies 1 UK 1 United States 1 China 2 Thailand 1 Malaysia 1 Singapore FY19 7sites 64
Slide 65: Technology Leadership Supports Continuous Cost Decline
Technology Leadership Supports Continuous Cost Decline Cost / TB Decline by Doubling Capacity 50% 46% 46% 45% 45% 40% 38% 35% 33% 30% 25% 22% 20% 15% LMR à PMR PMR HAMR 10% 5% FY03 à FY08 FY10 FY13 FY16 FY20 FY24 0% 0.5 → 1TB 1 → 2TB 2 → 4TB 4 → 8TB 8 → 16TB 16 → 32TB Nearline market Source: Seagate
Slide 66: Driving OPEX Efficiency
Driving OPEX Efficiency Investing in High Growth Opportunities While Managing Expenses $B $2.2 $1.8 $1.8 $1.6 $1.4 33% OPEX REDUCTION FY15 FY16 FY17 FY18 FY19 • Streamlined product roadmap, rationalized product families, focused investments on Mass Capacity Storage • Optimized R&D geographic footpri
Slide 67: Executing Strong HDD Product Roadmap
Executing Strong HDD Product Roadmap To Extend Our Technology Leadership CY19 CY20 CY21 CY22 CY23 CY24 CY25 CY26 16TB 18-20TB PMR / SMR HAMR 20+TB 30+TB 50+TB 67
Slide 68: Strong HDD Exabyte TAM Growth
Strong HDD Exabyte TAM Growth Driven by Mass Capacity Storage Demand >90% IT 3.0 – IT 4.0 Driving Mass Capacity Storage 2.5 ZB by 2024, 5X CY19 demand Total HDD Exabyte Shipment TAM Mass Capacity Storage HDD TAM % Mass Capacity Storage as a % of HDD TAM Mass Capacity 5 YR CAGR 35% Total HDD TAM 15 Y
Slide 69: Strong Shareholder Returns Resulting From Our Focus
Strong Shareholder Returns Resulting From Our Focus on Profitability and Free Cash Flow 493% 149% Seagate 3 Year Total Shareholder Return Percentage 262% S&P 500 Index 197% 183% 178% 148% 143% 53.5% 117% 108% 106% 104% 92% 86% 84% 84% 77% 66% 65% 62% 57% 32% 20% 20% 18% -19% -46% Source: FactSet 69
Slide 70: Delivering Strong Return on Invested Capital
Delivering Strong S&P 500 ROIC Return on Invested 2016 Capital Greatly Improved Return on 2019 Invested Capital Performance from 2016 to 2019 to Top 20% of S&P 500 Ongoing Focus for the Future Seagate Bottom Top Position Position ROIC based on prospective company fiscal year (FY)-ends Source: Nasdaq
Slide 71: Focused on Optimizing Profitability and Cash Flow
Focused on Optimizing Profitability and Cash Flow Through Industry Cycles $11.2 $10.8 $11.2 $10.4 $1.8 Operating Income ($B) Revenue ($B) $1.5 $1.5 $0.9 FY16 FY17 FY18 FY19 FY20 FY16 FY17 FY18 FY19 FY20 $5.51 $4.82 Earnings Per Share Free Cash Flow ($B) $4.12 $1.7 $1.5 $1.1 $1.2 $2.26 FY16 FY17 FY18
Slide 72: Capital Strategy
Capital Strategy Invest in Our Business and Return Excess Capital to Our Investors • CAPEX & OPEX Business Needs • Strategic investments • 3% increase to $2.60 per year Dividends • Target increasing dividend consistently over time • $2.2B Remaining on Authorization as of FY19 Opportunistic Share Rep
Slide 73: Capital Strategy
Capital Strategy Invest in Our Business and Return Excess Capital to Our Investors SHARE REPURCHASE $2.9B Business Needs • CAPEX & OPEX DIVIDENDS PAID $2.7B • Strategic investments CAPEX $2.0B Dividends 5.0 4.8 • 3% increase to $2.60 per year • Target increasing dividend consistently over time 4.1 4
Slide 74: Target Long-Term Financial Performance
$ Target Long-Term Financial Performance Revenue Growth Operating Margin CAPEX % of Revenue Shareholder Return % of Free Cash Flow 2-6% 13-16% 6-8% >50% 74
Slide 75: Closing Remarks
Dave Mosley CHIEF EXECUTIVE OFFICER Closing Remarks
Slide 76: Seagate Is Built To Last
Seagate Is Built To Last Sustainability Growth Value Creation 76
Slide 77: Analyst Day Q&A
Analyst Day Q &A 2019 NEW YORK 77
Slide 78: Reconciliation Tables
Reconciliation Tables Reconciliation of Revenue to Non-GAAP Revenue ($M) FY16 FY17 FY18 FY19 Revenue 11,160 10,771 11,184 10,390 Adjustment to discontinued products (4) - (6) 1 Non-GAAP Revenue 11,156 10,771 11,178 10,391 Reconciliation of Gross Margin to Non-GAAP Gross Margin ($M) FY16 FY17 FY18 FY
Slide 79: Reconciliation Tables
Reconciliation Tables Reconciliation of Net Income to Non-GAAP Net Income ($M) FY16 FY17 FY18 FY19 Net Income 248 772 1,182 2,012 Adjustment to discontinued products (4) (1) (6) 1 Accelerated depreciation, impairment and other charges related to cost saving efforts 76 83 8 2 Amortization of acquired
Slide 80: Non-GAAP measures adjusted for the following items
Non-GAAP measures adjusted for the following items: Adjustment to discontinued products These adjustments relate to sales of certain discontinued products or changes in sales provision for discontinued products. These adjustments are inconsistent in amount and frequency and are excluded in the non-G
Slide 81: Non-GAAP measures adjusted for the following items
Non-GAAP measures adjusted for the following items: Strategic investment losses, (gains) or impairment recognized From time to time, the Company incurs losses or gains from strategic investment accounted under equity method of accounting or records impairments charges which are not considered as par
Seagate Technology Holdings — Investor Day (September 2019) on 6ix