Economic Performance
We believe that a sustainable business is one that treats environmental, societal, economic and governance practices holistically and creates value for all of our shareholders and stakeholders. Our ability to identify opportunities and effectively manage risks such as competition, regulation, disruptive technologies, social developments and environmental changes plays a significant role in our economic performance. This section further explores our financial performance and indirect economic opportunities.
Financial Performance
Our Annual Report on Form 10-K provides an overview of the company’s business and financial condition.
In 2011, EMC’s performance was the best in our company history. Equipped with the most distinctive product and services portfolio, and aligned strategically with our partners, we are confident in our position to lead the transformative shift to Cloud Computing, and ultimately, to IT-as-a-Service.
In 2011, we reported consolidated revenue of $20.0 billion, which represents an increase of 18% year over year. GAAP net income increased 30 percent year over year to $2.5 billion. Our GAAP diluted earnings per share (EPS) increased 25 percent year over year to $1.10 per share. We achieved record full-year operating cash flow of $5.7 billion, an increase of 25 percent compared with 2010.
With 2011 behind us, we remain committed to double-digit revenue and profit growth for the next several years and stand poised to continue strengthening our competitive position for the long term. Our goal is to achieve $28 billion in revenue by 2014, which represents a compound annual growth rate of 13% from 2010, and to grow EPS even faster over the same period.
To learn more, visit Corporate Profile.
Indirect Economic Opportunities
EMC provides information solutions to optimize business functions, accelerate research, and enhance public infrastructure. Our goal is to offer Information Technology (IT) departments the foundation to store, manage, protect and analyze their most valuable asset — information — in a more agile, trusted and cost-efficient way through Cloud Computing. This shift to Cloud Computing should deliver greater economies of scale as data and applications become more centralized and consolidated.
Our products and services help organizations leverage the value in stored data, which creates economic benefits that extend beyond EMC and our customers. As companies seek to unlock the information contained in the enormous volumes of data, the insights they gain hold promise for many of today’s challenges.
Indirect Opportunities in our Communities
EMC works to create value for our global communities and the Information Heritage project is one example of these efforts. The Information Heritage project assists organizations with digitizing and preserving cultural collections around the world, and has the opportunity to reach virtually every person on the globe. To learn more, visit Strengthening Communities.
Indirect Opportunities through Public Policy
We also create indirect economic opportunities through our public policy involvement. EMC is actively engaged with organizations that encourage action on public policy in the key areas of education, competitiveness, cyber-security and energy. To learn more, visit Public Policy.