Brocade Communications Systems. said its chief executive is resigning after a seven-year tenure, as it reported that its fiscal third-quarter profit surged. Michael A. Klayko plans to step down from the helm of the company when a successor is named. The company has formed a search committee and will bring in an executive-recruiting firm to help with the search.
In the latest period, storage business revenue was up 13%, while ethernet business revenue rose 5%. For the quarter ended July 28, Brocade posted earnings of US$43.3 million, or nine cents a share, up from US$1.94 million, or break-even a share, a year earlier. The year-earlier period included a US$25.5 million write- ff on debt-issuance costs and debt extinguishment. Revenue increased 10% to US$555.3 million.
Source: Total Telecom