During Wednesday’s trade, Shares of VMware, Inc. (NYSE:VMW), lost -18.00% to $56.50.
EMC Corporation (EMC) and VMware (VMW), declared plans to form the Federation’s new cloud services business by combining their respective cloud capabilities, together with existing Virtustream cloud offerings, under the Virtustream brand. Virtustream will be jointly owned by VMware and EMC and led by Rodney Rogers, CEO of Virtustream. The parties are finalizing a definitive agreement for the transaction. Virtustream’s financial results will be merged into VMware’s financial statements startning in Q1 2016.
Virtustream is predictable to generate multiple hundreds of millions of dollars in recurring revenue in 2016, focused on enterprise-centric cloud services, with an outlook to grow to a multi-billion business over the next several years. Virtustream will be a leader in hybrid cloud, one of the largest markets for IT infrastructure spending. The company will provide a complete spectrum of managed services for on-premises infrastructure and its enterprise-class Infrastructure-as-a-Service platform, enabling customers to move all their applications, counting mission-critical applications, to cloud-based IT environments. Virtustream will offer a compatible public cloud experience for customers who deploy the Federation Enterprise Hybrid Cloud solution within their business.
“Through Virtustream, we are addressing the changes in buying patterns and IT cloud operation models that we are seeing in the market. Our customers compriseently tell us that they are focused on their IT transformations and journeys to the hybrid cloud. The EMC Federation is now positioned as a complete provider of hybrid cloud offerings,” said Joe Tucci, EMC Corporation Chairman and CEO.
VMware, Inc. provides virtualization infrastructure solutions in the United States and internationally. The company’s virtualization infrastructure solutions comprise a suite of products designed to deliver a software-defined data center (SDDC), run on industry-standard desktop computers and servers, and support a range of operating system and application environments, in addition to networking and storage infrastructures.
Shares of Parker-Hannifin Corp (NYSE:PH), declined -0.25% to $101.90, during its current trading session.
Parker Hannifin Corporation, declared that its human motion business unit will supply Indego exoskeleton devices for a four year, multi-center study which has been funded by the U.S. Department of Defense and the Congressionally Directed Medical Research Programs (CDMRP). The human motion business unit develops, manufactures and is commercializing the Indego exoskeleton device which assists gait impaired individuals to stand and walk again.
Three highly regarded rehabilitation centers will take part in this extensive study: Vanderbilt Medical Center in Nashville, TN, Mayo Clinic in Rochester, MN and the James A. Haley Veterans’ Hospital in Tampa, FL. During the project period, three different studies will be conducted. The first study will look at potential health, neurological recovery, and mobility benefits of walking with the Indego exoskeleton in complete and incomplete spinal cord injured individuals (SCI). In a second study, the impact of exoskeleton walking in conjunction with functional electrical stimulation (FES) will be assessed and the third study will investigate the use of this exoskeleton in a home/community setting. A total number of 54 subjects will be enrolled in the studies.
“This study will provide sound medical evidence to inform best practices for post injury SCI care and will assess effectively the rehabilitative and economic return of exoskeletal systems”, said Prof. Michael Goldfarb from Vanderbilt University who is the Principal Investigator for this clinical study.
Presently about 270,000 individuals in the United States suffer with SCI, with roughly 12,000 new injuries sustained nationally each year. One of the most note worthy impairments resulting from SCI is loss of legged mobility. Recently, powered lower limb exoskeletons have emerged as a rehabilitative option for people with SCI. These devices have the potential to provide substantial health benefits, promote neurological and functional recovery, and provide community ambulation for gait impaired individuals. However, studies have yet to be conducted to quantify or substantiate these potential benefits.
Parker-Hannifin Corporation manufactures and sells motion and control technologies and systems for various mobile, industrial, and aerospace markets worldwide. The company operates in two segments, Diversified Industrial and Aerospace Systems.
Finally, Shares of Synovus Financial Corp. (NYSE:SNV), lost -0.71%, and is now trading at $30.78.
Synovus Financial Corp., stated financial results for the quarter ended September 30, 2015.
Third Quarter Highlights
- Net income available to common shareholders for the third quarter of 2015 was $55.4 million or $0.42 per diluted share as contrast to $53.2 million or $0.40 per diluted share for the previous quarter and $44.2 million or $0.32 per diluted share for the third quarter 2014.
- Diluted EPS raised 32.2% as contrast to the third quarter 2014; adjusted diluted EPS raised 14.6% as contrast to the third quarter 2014.
- Total loans grew $369.4 million or 6.8% annualized from the previous quarter and $1.28 billion or 6.2% as contrast to the third quarter 2014.
- Average core deposits grew $592.2 million or 11.2% annualized from the previous quarter and $2.06 billion or 10.6% as contrast to the third quarter 2014.
- Adjusted pre-tax, pre-credit costs income was $104.7 million for the third quarter 2015, an improvement of $1.1 million or 1.1% from $103.6 million for the previous quarter and an improvement of $1.2 million or 1.2% as contrast to the third quarter 2014.
- Credit quality continued to improve as the NPL ratio declined to 0.72% at September 30, 2015 from 0.81% at June 30, 2015 and the annualized net charge‐off ratio for the third quarter declined to 0.12% and 0.15% year‐to‐date contrast to 0.24% for the third quarter 2014 and 0.41% for year‐to‐date 2014.
- The Company accomplished the $250 million common stock repurchase program declared in the fourth quarter 2014, which resulted in repurchases totaling 9.1 million shares and reduced total share count by 6.5%.
- The Board of Directors authorized a new share repurchase program of up to $300 million of the Company’s common stock to be executed over the next 15 months.
- Additionally, the Board of Directors approved a 20% improvement in the Company’s quarterly common stock dividend from $0.10 to $0.12 per share, effective with the quarterly dividend payable in January 2016.
“We are happy to declare a $300 million share repurchase program to be executed over the next 15 months and a 20% improvement in our quarterly common stock dividend. Our ability to take this action is a direct result of our sustained growth, significantly improved risk profile, and strong capital position,” said Kessel D. Stelling, Synovus Chairman and CEO. “Our performance in the third quarter demonstrated our team’s continued progress in growing loans, especially in high-growth markets; in growing core deposits across our footprint; and in improving the quality of our balance sheet. Moving ahead, we are actively engaged in initiatives that generate growth, specifically in areas that further diversify our balance sheet and improve our fee income contribution. We continue to add revenue-generating talent at an aggressive pace while also managing expenses to support our investments in growth. Above all, our team remains committed to serving customers and winning new relationships.”
Synovus Financial Corp. operates as the bank holding company for Synovus Bank that provides various financial products and services. It offers integrated financial services, counting commercial and retail banking, financial administration, insurance, and mortgage services.
