VMware, Inc. announced unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2014. For the quarter, the company reported total revenue of $1,703 million against $1,483 million a year ago. Income before income taxes was $358 million against $381 million a year ago. Operating income was $344 million against $374 million. Net income was $326 million or $0.75 per diluted share against $335 million or $0.77 per diluted share a year ago. Net cash provided by operating activities was $414 million against $688 million a year ago. Free cash flow was $316 million against $590 million a year ago. On Non-GAAP basis, the company reported income before income taxes of $573 million. Operating income was $567 million, an increase of 7% from the fourth quarter of 2013. Non-GAAP EPS fully diluted was $1.08 against $1.01 a year ago. Additions to property and equipment were $98 million against $98 million a year ago. Non-GAAP net income for the quarter was $467 million, or $1.08 per diluted share, an increase of 7% per diluted share compared to $436 million, or $1.01 per diluted share, for the fourth quarter of 2013.

For the full year, the company reported total revenue of $6,035 million against $5,207 million a year ago. Non-GAAP EPS fully diluted was $3.56 against $3.37 a year ago. Operating cash flow was $2,180 million against $2,535 million a year ago. CapEx was $352 million against $345 million a year ago. Income before income taxes was $1,048 million against $1,147 million a year ago. Operating income was $1,027 million against $1,093 million a year ago. Net income was $886 million or $2.04 per diluted share against $1,014 million or $2.34 per diluted share a year ago. Free cash flow was $1,828 million against $2,190 million a year ago. On Non-GAAP basis, the company reported income before income taxes was $1,895 million against $1,794 million a year ago. Operating income was $1,879 million against $1,771 million a year ago. Net income was $1,544 million or $3.56 per diluted share against $1,462 million or $3.37 per diluted share a year ago.

For the first quarter of 2015, the company expects total revenue is to be in the range between from $1,490 million to $1,510 million. Non-GAAP tax rate is to be $18.5%. GAAP tax rate is to be approx. 0.5 to 2.5 points lower than non-GAAP tax rate. Non-GAAP EPS is to be $0.83 to $0.85. Intangible amortization is to be $0.08. GAAP diluted earnings per share is to be $0.35 to $0.43. The negative impact of foreign exchange is currently expected to be around 1 percentage point on total revenue growth and approximately 3 percentage points on license revenue growth. Adjusting for currency, total revenues are expected to increase 11% to 12% year-over-year. Non-GAAP operating margin to be approximately 29.5%.

For the year 2015, the company expects total revenue is to be in the range between from $6,640 million to $6,760 million. Non-GAAP EPS is to be $3.96 to $4.04. Non-GAAP tax rate is to be $18.5%. GAAP tax rate is to be approx. 0.5 to 2.5 points lower than non-GAAP tax rate. CapEx is to be $400 million. Non-GAAP EPS is to be $3.96 to $4.04. Cash flow from operations is be $2 billion. Intangible amortization is to be $0.32. GAAP diluted earnings per share is to be $2.16 to $2.53. Non-GAAP operating margin to be approximately 31.5%, which balances some margin expansion against continued investment in growth businesses.