CUPERTINO, Calif. -- January 24, 1996 -- Symantec Corporation (Nasdaq: SYMC) today announced revenues for the December 1995 quarter of $111.1 million. Income for the quarter, before acquisition and other non-recurring expenses, was $0.4 million and earnings per share before these charges were $0.01 on 55.6 million shares.
Gross margins were 81% or $89.6 million in the December 1995 quarter.
During the quarter, Symantec recorded acquisition and other non-recurring expenses of $37.2 million, which included $25.7 million for the acquisition of Delrina Corporation and loss on sale of Time Line Solutions Corporation and other business unit assets, $10.2 million for the write-off of capitalized software and $1.3 million for research and development expenses related to de-emphasized products.
The net loss for the quarter, after acquisition and other non-recurring expenses, was $36.8 million or $0.69 per share.
During the quarter, Symantec's Norton AntiVirus and pcANYWHERE products experienced high growth over the prior December 94 quarter, said Gordon E. Eubanks, Jr., president and CEO of Symantec Corporation. "Our commitment to provide products for high growth markets including Windows 95 and NT, internetworking and communications is the right strategic direction for the company."
Symantec announced the completion of its acquisition of Delrina Corporation. Delrina became a subsidiary of Symantec and Delrina shareholders received exchangeable shares of Delrina in exchange for their common shares, at the rate of 0.61 of an exchangeable share for each Delrina common share. Common shares of Delrina will no longer be traded, although Delrina exchangeable shares will be listed on the Toronto stock exchange only.
The merger was first announced July 6, with the goal of combining resources to add value for customers in the rapidly growing communications, electronic forms/workflow and networking software markets.
Symantec also announced that the management team of its wholly owned subsidiary, Time Line Solutions, Inc. had acquired all of the assets of that company as of October 1, 1995. The move allowed Time Line Solutions to pursue the market for advanced project management software and services, a business outside of Symantec's core product areas.
Symantec announced Norton DiskLock 4.0 for Macintosh, a powerful and flexible security solution for individuals, mobile professionals and home PC enthusiasts to protect Macintosh and Power Macintosh computer files from unauthorized use, theft and accidental erasure. DiskLock 4.0 provides encryption capabilities, the highest level of security for files and folders that need extreme protection.
Symantec's Delrina Group, worldwide leaders in communications software, announced pcANYWHERE32 for Windows 95 and Windows NT, an exciting new software solution that provides instant, remote access to the office computer or network from the home or on the road. Whether a user needs access to remote applications, files, e-mail or remote printers, Norton pcANYWHERE32 allows instant access to computers located everywhere.
The Delrina Group also announced and shipped CommSuite 95, a full-featured, integrated applications for fax, voice messaging, telephony, Internet, data, e-mail and paging. Taking full advantage of Windows 95, CommSuite 95 turns a PC into a one-stop communications center allowing users to work more productively, carrying out tasks such as sending faxes, downloading files or receiving voice messages completely in the background without interrupting other work on their computer.
Cyberjack 7.0, the first Windows 95 Internet suite was also announced and shipped. Cyberjack enables users to experience the full power of the Internet, by providing full-featured client applications including a Web browser, USENet News reader, FTP (File Transfer Protocol) file transfer, Internet chatting sessions (IRC - Internet Relay Chat), e-mail via Microsoft Exchange (the built-in e-mail client software in Windows 95), search capabilities with Gopher and Archie, Image and Zip managers with built-in Norton AntiVirus.
The company licensed the Java Internet programming language technology from Sun Microsystems and released the first Java development environment for Windows 95 and NT, code named Café. Café is Symantec's fully integrated development environment which seamlessly integrates Sun's Java Development Kit (JDK) for the creation of Java applets for Internet web pages. Café provides Java developers with class and project management capabilities within a graphical development environment. Developers who have licensed Symantec C++ can download Café from Symantec's Web site.
Java, developed by Sun, is an object-oriented programming language that operates independent of any particular operating system or microprocessor. Java programs -- called applets -- can be transmitted over a network and run on any client, providing the multimedia richness of a CD-ROM over corporate networks and the Internet. Java has been widely hailed by programmers because it eliminates the need to port applications, and by managers of information systems for its potential to lower the costs of distributing and maintaining applications across the network.
Product Awards and Recognition
The company's products continued to receive positive recognition in trade publication evaluations and reviews during the quarter. Norton Navigator, Norton AntiVirus and Norton Utilities for Windows 95 all continued to receive very positive reviews. Norton Navigator received an Editor's Choice from PC Magazine. Norton Administrator for Networks 2.0 (NAN 2.0) won an Editor's Choice in Network Computing. Early reviews of pcANYWHERE32 for Windows 95 and Windows NT were well received. pcANYWHERE32 won the best of COMDEX/Fall award from BYTE Magazine in the communications category. Second place in this category went to the Delrina Group's CommSuite 95. pcANYWHERE 2.0 was awarded top honors over Carbon Copy, ReachOut and LapLink in LAN Times. Enterprise Developer 2.5 won Software Development's Client/Server Super Bowl while Norton Utilities for Windows 95 was named best utility of 1995 by PC/Computing.
Symantec was honored with the Best Vendor Award at Fall VarVision. VarVision is a semi-annual meeting of presidents and key executives from the Value Added Reseller (VAR) and Systems Integrator (SI) community. The company beat out such notable vendors as Microsoft, Novell and Intel for this prestigious Best Vendor award.
This press release contains forward-looking statements. There are certain important factors that could cause results to differ materially from those anticipated by some of the statements made above. Among these are the anticipation of the growth of certain market segments, the positioning of Symantec's products in those segments, the competitive environment in the software industry, dependence on other products, such as Windows 95 and the importance of new Symantec products. Additional information concerning those and other factors is contained in the "Risk Factors" section of the Proxy Statement dated October 17, 1995.
About Symantec Corporation
Symantec Corporation develops, markets and supports a complete line of application and system software products designed to enhance individual and workgroup productivity as well as manage networked computing environments. Platforms supported included IBM personal computers and compatibles, Apple Macintosh computers as well as all major network operating systems. Founded in 1982, the company has offices in the United States, Canada, Australia, Japan and Europe. Information on the company and its products can be obtained by calling (800) 441-7234 toll free, or (541) 334-6054.
Product and Ordering Information:
Symantec Corporation, 10201 Torre Avenue, Cupertino, CA 95014 USA
(800) 441-7234 or (541) 334-6054