Actionable news
0
All posts from Actionable news
Actionable news in SYMC: Symantec Corporation,

Symantec Reports Second Quarter Fiscal Year 2016 Results

The following excerpt is from the company's SEC filing.

Revenue within guided range; Operating margin and EPS at the high end of guided range

Enterprise Security continues its growth trajectory, adjusting for currency; Consumer Security margins expand year-over-year to 55%

Board of Directors authorizes $500 million accelerated share repurchase

MOUNTAIN VIEW, Calif. – November 5, 2015 –

Symantec Corp. (NASDAQ: SYMC) today reported the results of its second quarter of fiscal year 2016, ended October 2, 2015.

Michael A. Brown, president and CEO, said, “With a security-focused Symantec, we continue to increase our momentum as the global l eader in cybersecurity. We drove growth in Enterprise Security for the second consecutive quarter, partly due to a 10 percent revenue increase in Information Protection solutions including another record quarter for DLP. To set the stage for continued progress, we will deliver more than a dozen new products and services over the next three quarters.”

Thomas Seifert

executive vice president and CFO,

said, “This was an important quarter for Symantec. On October 3, we completed the operational separation as planned, and Symantec and Veritas are now running as standalone businesses. The close of the Veritas sale is on track to occur by the end of Q3 and we have received board authorization to accelerate the return of $2 billion to shareholders, beginning with a $500 million accelerated share repurchase.”

Results for the Second Quarter of Fiscal Year 2016 (Dollars in millions, except EPS)

Reported Y/Y

Change

FX Adjusted

Y/Y Change

Operating Margin

(790) bps

(600) bps

Net Income

Deferred Revenue

EPS (Diluted)

Non-GAAP

(60) bps

50 bps

(More)

Third Quarter and Fourth Quarter of Fiscal Year 2016 Guidance (Dollars in millions, except EPS and FX rate)

New Security Company Guidance

FX Adj. Y/Y

Growth

$890 - $920

(5%) - (2

$885 - $915

(4%) - (1

$480 - $500

(2%) - 2

(1%) - 3

$410 - $420

(8%) - (6

$405 - $415

(8%) - (5

Information Management

8.5% - 10.5

17.5% - 19.5

EPS (Diluted)*

$0.22 - $0.25

$0.16 - $0.19

25.5% - 27.5

26.5% - 28.5

$0.24 - $0.27

Tax Rate

Share Count

665 million

653 million

FX Rate (€/$)

*Note: The impact from our information management business is included in 3Q16 GAAP EPS, but excluded from 3Q16 non-GAAP EPS. In addition, we are currently unable to estimate any potential gain on the proposed sale of our information management business and it has therefore been excluded from our guidance.

Symantec's Board of Directors has declared a quarterly cash dividend of $0.15 per common share to be paid on December 16, 2015 to all shareholders of record as of the close of business on November 23, 2015. The ex-dividend date will be November 19, 2015.

Conference Call

Symantec has scheduled a conference call for 8:30 a.m. ET/5:30 a.m. PT today to discuss its second quarter of fiscal year 2016 results, ended October 2, 2015 and to review guidance. Interested parties may access the conference call on the Internet at

http://www.symantec.com/invest

. To listen to the live call, please go to the website at least 15 minutes early to register, download and install any necessary audio software. A replay and our prepared remarks will be available on the investor relations home page shortly after the call is completed.

About Symantec

Symantec Corporation (NASDAQ: SYMC) is the global leader in cybersecurity. Operating one of the world’s largest cyber intelligence networks, we see more threats, and protect more customers from the next generation of attacks. We help companies, governments and individuals secure their most important data wherever it lives.

Symantec, the Symantec Logo and the Checkmark logo are trademarks or registered trademarks of Symantec Corporation or its affiliates in the U.S. and other countries. Other names may be trademarks of their respective owners.

FORWARD-LOOKING STATEMENTS: This press release contains statements regarding our projected financial and business results, capital allocation plans and our proposed divestiture of our Veritas business, which may be considered forward-looking within the meaning of the U.S. federal securities laws. These include statements regarding the anticipated closing of the Veritas sale and product development plans, as well as projections of future revenue, operating margin and earnings per share, amortization of acquisition-related intangibles, stock-based compensation, and restructuring, separation and transition charges. These statements are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from results expressed or implied in this press release. Such risk factors include those related to: the satisfaction of the conditions to closing of the Veritas divestiture; general economic conditions; risks related to the proposed divestiture of Veritas; maintaining customer and partner relationships; the anticipated growth of certain market segments, particularly with regard to security and storage; the competitive environment in the software industry; changes to operating systems and product strategy by vendors of operating systems; fluctuations in currency exchange rates; the timing and market acceptance of new product releases and upgrades; the successful development of new products and integration of acquired businesses, and the degree to which these products and businesses gain market acceptance. Actual results may differ materially from those contained in the forward-looking statements in this press release. We assume no obligation, and do not intend, to update these forward-looking statements as a result of future events or developments. Additional information concerning these and other risks factors is contained in the Risk Factors sections of our Form 10-K for the year ended April 3, 2015.

USE OF NON-GAAP FINANCIAL INFORMATION: Our results of operations have undergone significant change due to the impact of litigation accruals, stock-based compensation, restructuring, transition, and separation matters, charges related to the amortization of intangible assets, and certain other income and expense items that management considers unrelated to Symantec’s core operations. To help our readers understand our past financial performance and our future results, we supplement the financial results that we provide in accordance with generally accepted accounting principles, or GAAP, with non-GAAP financial measures. The method we use to produce non-GAAP results is not computed according to GAAP and may differ from the methods used by other companies. Non-GAAP financial measures are supplemental, should not be considered a substitute for financial information...


More