Tue, Aug. 11, 11:10 AM
- In addition to missing FQ1 estimates, Symantec (NASDAQ:SYMC) is guiding for FQ2 revenue of $1.485B-$1.525B and EPS of $0.40-$0.43, below a consensus of $1.54B and $0.45. FY16 (ends March '16) guidance is revenue of $6.21B-$6.35B and EPS of $1.80-$1.90, in-line with a consensus of $6.27B and $1.86.
- Segment/regional performance: Consumer security revenue (hurt by both rival paid products/services and Microsoft's free offerings) fell 19% Y/Y in FQ1 to $430M, and enterprise security revenue fell 13% to $482M (share loss). Ahead of its sale to Carlyle, the Information Management (Veritas, storage software) unit saw revenue drop 10% to $587M. U.S. revenue was down 8%, and international 19%. Forex had a 7% impact on total revenue growth.
- Financials: With the help of job cuts, GAAP operating expenses fell 5% Y/Y to $1.04B. The deferred revenue balance fell 8% to $3.42B. $90M was spent on buybacks. Symantec ended FQ1 with $3.7B in cash, and $2.1B in debt.
- FQ1 results, PR, Veritas sale
- Update: Credit Suisse's Phillip Winslow has downgraded Symantec to Neutral. He argues the $1.5B tax liability produced by the Vertias sale - it wouldn't exist if a spinoff occurred - represents a destruction of shareholder value, and is also concerned about how Symantec might spend some of the proceeds.
Tue, Aug. 11, 7:04 AM
Mon, Aug. 10, 5:35 PM
Fri, May 15, 2:07 PM
- Symantec (NASDAQ:SYMC) has fallen below $25 after missing FQ4 estimates and offering light FQ1/FY16 guidance. No downgrades have arrived in response.
- On the CC (transcript), the company blamed its FQ4 miss on an $8M increase in forex pressures relative to guidance - revenue fell 6% Y/Y in dollars, but was up 1% in constant currency - and an $11M true-up for employee defined benefit plans. It added FQ1 guidance would be higher if the quarter didn't have one less week than the year-ago period.
- Segment performance: Consumer security sales (hurt by competition and Microsoft's free offerings) remained under pressure in FQ4, falling 13% Y/Y to $438M (worse than FQ3's -11%). Enterprise security sales fell 6% to $491M, worse than FQ3's -4% and underperforming peers seeing strong growth amid rising corporate cybersecurity spend. The Veritas Information Management unit (set to be spun off) saw revenue fall 1% to $619M, after rising 1% in FQ3.
- Total license revenue rose 2% to $200M, while content, subscription, and maintenance revenue fell 7% to $1.35B. The deferred revenue balance fell 6% to $3.66B.
- Forex contributed to an 11% drop in international revenue to $758M; U.S. revenue fell 2% to $790M. In spite of lower sales, operating expenses fell to 56.2% of revenue from 56.5% a year ago thanks to cost cuts. $500M was spent on buybacks.
- FQ4 results, PR
Thu, May 14, 4:07 PM
- Symantec (NASDAQ:SYMC): FQ4 EPS of $0.43 misses by $0.01.
- Revenue of $1.55B (-6.1% Y/Y) misses by $10M.
- Expects FQ1 revenue of $1.5B-$1.54B and EPS of $0.41-$0.44, below a consensus of $1.62B and $0.45.
- Expects FY16 (ends March '16) revenue of $6.21B-$6.35B and EPS of $1.80-$1.90, almost entirely below a consensus of $6.38B and $1.90.
- Shares -3.4% AH
- Press Release
Wed, May 13, 5:35 PM
Thu, Feb. 5, 4:05 PM
Mon, Jan. 5, 1:37 PM
- Symantec's (SYMC -0.8%) FQ3 report will be posted after the close on Thursday, February 5. A CC will be held at 5PM ET (webcast on IR site).
- Consensus is for revenue of $1.67B (-1.8% Y/Y), and EPS of $0.49. Symantec, which remains set to split its security and storage software ops by year's end, provided below-consensus FQ3 and FY15 revenue guidance in November. EPS guidance was a little healthier.
Nov. 6, 2014, 3:42 PM
- "As a result of restructuring, we expect headcount reductions of approximately 10%," Symantec (SYMC -0.5%) disclosed on its FQ2 CC (transcript). The company expects to record $100M-$120M in restructuring charges, about half of which will be recorded in FY15 (ends March '15).
- Symantec also expects to record "separation costs" of $80M-$100M over the next five quarters related to its planned breakup.
- The company already carried out a string of job cuts under the departed Steve Bennett. Opex was down 3% Y/Y in FQ2 to $894M.
- Shares are off slightly post-earnings, after having gone into the report near a 52-week high of $25.35. Ahead of the breakup, Symantec's security software/services units saw revenue collectively fall 4% Y/Y in FQ2 to $996M, and its storage software/services unit saw revenue rise 3% to $621M.
- FQ2 results, guidance, PR
Nov. 5, 2014, 5:36 PM
Nov. 5, 2014, 4:03 PM
Aug. 6, 2014, 4:21 PM
- Though it beat FQ1 estimates, Symantec (NASDAQ:SYMC) is guiding for FQ2 revenue of $1.6B-$1.64B and EPS of $0.40-$0.44, unfavorable to a consensus of $1.63B and $0.45. FY15 (ends March '15) guidance is for revenue of $6.63B-$6.77B and EPS of $1.84-$1.92, in-line with a consensus of $6.69B and $1.88.
- License revenue tumbled 15% Y/Y in FQ1 to $161M. Content, subscription & maintenance revenue rose 4% to $1.57B. Symantec's deferred revenue balance fell 4% to $3.71B.
- Information Security (enterprise security) revenue +3% Y/Y to $345M, user productivity/protection (PC/mobile security) +1% to $740M, information management (storage software) +1% to $650M. User productivity/protection made up a majority of segment op. profit ($270M out of $427M).
- Opex was 58.7% of revenue vs. 58.4% a year ago. $125M was spent on stock repurchases.
- SYMC +0.3% AH. FQ2 results, PR.
Aug. 6, 2014, 4:13 PM
May 8, 2014, 4:15 PM
- Symantec (SYMC) expects FQ1 revenue of $1.65B-$1.69B and EPS of $0.41-$0.43 vs. a consensus of $1.64B and $0.43. FY15 guidance is for revenue of $6.63B-$$6.77B and EPS of $1.84-$1.92 vs. a consensus of $6.69B and $1.83.
- FQ4 segment data highlights ongoing share losses: User productivity/protection (PC/mobile security software, 43% of revenue) -6% Y/Y vs. -4% in FQ3. Information management (storage software, 38% of revenue) -7% vs. -6%, infomration security (enterprise security, 19% of revenue) -2% vs. -3%.
- Thanks to job cuts, opex fell to 56.4% of revenue from 58.7% a year ago. Gross margin fell 30 bps to 83.9%, and $125M was spent on buybacks.
- Symantec thinks it can achieve a 30% op. margin by FY15's fourth quarter, up from 27.3% in the last quarter.
- Expectations were fairly low after shares tumbled in response to Steve Bennett's firing.
- FQ4 results,.PR
May 8, 2014, 4:06 PM
Jan. 30, 2014, 10:19 AM
- Though Symantec (SYMC -7%) beat FQ3 estimates, the company has guided for FQ4 revenue of $1.615B-$1.655B and EPS of $0.40-$0.42, below a consensus of $1.67B and $0.46.
- Like plenty of other tech companies, Symantec's Asia-Pac sales (17% of revenue) have come under pressure: They fell 12% Y/Y in FQ3. NSA fallout could be a factor. But Americas and EMEA sales were only comparatively better, declining 4% and 1% respectively.
- Symantec's User Productivity & Protection (PC/mobile security software, 42% of revenue) sales fell 4% Y/Y in FQ3 vs. 3% in FQ2. Information Security (enterprise security, 19% of revenue) sales fell 3% vs. 2%; Information Management (storage software) sales fell 6% vs. 5%. The numbers point to share loss against rivals such as McAfee (Intel), CommVault, and Veeam.
- Symantec's deferred revenue balance fell 6% Y/Y to $3.59B. FQ3 EPS got a boost from $125M in buybacks. It also benefited from a 14% Y/Y drop in opex to $1.02B, the result of job cuts.
- CC transcript
SYMC vs. ETF Alternatives
Symantec Corp provides security, backup and availability solutions. Its products and services protect people and information in any environment, from the smallest mobile device, to the enterprise data center, to cloud-based systems.
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