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Silicon Graphics Reports A 47% Increase in Revenues And A 74% Increase in Earnings Per Share

Company's Value-Added Product Line Strategy Drives Growth

MOUNTAIN VIEW, Calif. (April 20, 1995) -- Silicon Graphics, Inc. (NYSE: SGI) today reported revenues totaling $552 million for its third fiscal quarter ending March 31, 1995, a 47% increase over the comparable quarter a year earlier. Net income was $64 million for the quarter, an increase of 83% over the same period for the prior fiscal year. Earnings per share were $.40 per share versus $.23 per share for the same quarter in the prior fiscal year, representing an increase of 74%.

For the first nine months of fiscal year 1995, Silicon Graphics reported revenues of $1.5 billion, up 43%. Net income was $160 million, up 65% for the same period a year earlier. Earnings per share were $1.00, an increase of 59% over the same period a year ago.

Edward R. McCracken, Silicon Graphics' chairman and CEO, commented, "Our revenue growth continued to accelerate as we experienced strong demand across our entire product line. Our business was well balanced; in fact, all of our major regions throughout the world posted significant year-to-year growth. From a product standpoint, we were particularly pleased with the 88% year-to-year increase in units of our desktop Indy (tm) system, which provides customers worldwide with significant price/performance advantages."

Silicon Graphics, Inc. is the leading manufacturer of high-performance visual computing systems. The Company delivers interactive three-dimensional graphics, digital media and multiprocessing supercomputing technologies to technical, scientific and creative professionals. Its subsidiary, MIPS Technologies, Inc., designs and licenses the industry's leading RISC processor technology for the computer systems and embedded control markets. Silicon Graphics has offices worldwide and headquarters in Mountain View, California.


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