The share price of Israeli big data connectivity company Mellanox Technologies Ltd. (Nasdaq:MLNX) rose 7.9% in aftermarket trading after the company's raised its guidance for the first quarter of 2018. Mellanox now sees revenue of $240-250 million, up from its previous estimate of $222-232 million. There are no changes in its guidance for non-GAAP gross profit margins of 68.5-69.5% and operating expenses of $120-122 million. RELATED ARTICLES Oracle sells Mellanox shares Mellanox reports strong fourth quarter results Starboard escalates Mellanox fight Starboard doubts Mellanox can meet 2018 targets Mellanox CEO Eyal Waldman said, "Throughout the first quarter, it has become clear that the trends we experienced at the end of 2017 are holding firm, and customer transition from 10 gigabit per second to 25 gigabit per second Ethernet adapters is accelerating across the board. We are particularly pleased to see that this widespread adoption of 25 gigabit per second technology covers the majority of customer categories in every major market around the world, a direct result of the strategy we have been executing on in recent years. Our investment in R&D is driving product innovation and sustainable long-term growth, and we are well positioned to capture further market share as the landscape shifts to 25 gigabit per second and beyond. In fact, Mellanox is already offering leading edge 25, 50 and 100 gigabit per second Ethernet solutions. We continue to build momentum and make progress on our financial and operational initiatives, by reducing our operating expense run rate and driving efficiencies in our business, and are confident that our focused investment strategy will continue to deliver positive results into the future." Mellanox also announced that CFO Jacob Shulman is stepping down in May and that a replacement is being sought. Published by Globes [online], Israel business news - www.globes-online.com - on February 22, 2018 © Copyright of Globes Publisher Itonut (1983) Ltd. 2018
