CUPERTINO, Calif. - April 19, 2000
Symantec Corp. (Nasdaq: SYMC) today announced that continued strength in the retail market and solid performance in the enterprise market resulted in record revenue of $187.2 million for the fourth fiscal quarter, ended March 31, 2000. This represents an increase of 22 percent, on a pro-forma basis, over the same quarter a year ago. Net revenue, on a pro-forma basis, for fiscal year 2000 was $704.9 million, an increase of 33 percent compared to revenue of $530.1 million for fiscal year 1999.
All figures, except the March 2000 quarter numbers, exclude the results of operations from the company's recent divestiture of the Visual Café and ACT! product lines.
Earnings before the amortization of goodwill and one-time charges for the quarter increased 62 percent to $40.2 million, compared to earnings of $24.7 million in the same period a year ago. For fiscal year 2000, earnings before amortization of goodwill and one-time charges was $130.9 million, an increase of 65 percent from fiscal year 1999.
Earnings per share before the amortization of goodwill and one-time charges for the fourth quarter was $0.63, 46 percent higher than the same quarter last year and 19 percent higher than the previous quarter. For fiscal year 2000, earnings per share before the amortization of goodwill and one-time charges was $2.10, an increase of 56 percent compared to the earnings per share of $1.35 for fiscal year 1999.
Symantec incurred a quarterly charge related to the amortization of goodwill of $4.5 million and one-time charges of $7.1 million. The charges were primarily associated with in-process R&D related to the purchase of L-3 Network Security and reductions in workforce related to site consolidations.
"During the fourth quarter, we solidified several strategic relationships in the OEM and infrastructure space and continued our success with our key retail suites. In addition, we signed a number of significant enterprise customers worldwide," said John W. Thompson, Symantec chairman, president and CEO. "We ended our fiscal year with a greatly expanded market opportunity to deliver enhanced risk management solutions targeted at the enterprise. Our consistent performance over the past year provides clear evidence of solid execution and focus on the growing importance of corporate security."
Worldwide, Symantec's consumer business in the fourth fiscal quarter grew by 26 percent compared to the March 1999 quarter and represents 58 percent of total revenue for the quarter. The growth was driven by the strong performance of Norton Internet Security since its launch in December and the continued strength of Norton SystemWorks.
Enterprise revenue for the quarter represents 42 percent of Symantec's revenue mix and grew at 16 percent from the March quarter a year ago. Symantec's license business grew 49 percent from fiscal year 1999 and accounts for 46 percent of total revenue for fiscal year 2000.
In the March 2000 quarter, international revenue represented 43 percent of total revenue. International revenue increased 31 percent from the March quarter a year ago. Driven by continued strong performance in the enterprise license business, Symantec's Europe, Middle East and Africa (EMEA) region grew 24 percent from the March quarter a year ago and accounts for 27 percent of total revenue. Revenue from the Asia Pacific region grew at 31 percent and represents four percent of total revenue. Symantec's Japan region grew at 35 percent and accounts for nine percent of total revenue.
Symantec has scheduled a conference call for 5 p.m. EDT today to discuss fiscal fourth quarter and year-end results. Interested parties may access the conference call on the Internet through Vcall at www.vcall.com. To listen to the live call, please go to the Web site at least 15 minutes early to register, download and install any necessary audio software.
Symantec is the world leader in providing solutions to help individuals and enterprises assure the security, availability, and integrity of their information. Headquartered in Cupertino, Calif., Symantec has operations in more than 40 countries. More information is available at www.symantec.com.
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FORWARD LOOKING STATEMENT: This press release contains forward-looking statements. There are certain important factors that could cause Symantec's future development efforts 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, changes to operating systems and product strategy by vendors of operating systems, and the importance of new Symantec products. Additional information concerning those and other factors is contained in the "Risk Factors" section of the company's annual report on Form 10-K for the fiscal year ended April 2, 1999 and all quarterly reports filed subsequent to such date.