Symantec Reports Record Growth
Earnings Growth of 1650% and Revenue Growth of 27% for September Quarter
CUPERTINO, Calif. --October 29, 1997-- Symantec Corporation (Nasdaq: SYMC) today reported record results for the September quarter ended October 3, 1997. The company posted net revenue for the quarter of $139 million, a new company record, and a 27 percent increase over prior year revenues of $109.2 million. Earnings per share were 35 cents, versus 2 cents in the prior year second quarter. The latest results indicate a strong showing for one of the leaders in PC software with the company's fourth consecutive record quarter.
"This is a very solid quarter for Symantec," said Gordon Eubanks, president and CEO of Symantec Corporation. "We are firmly focused on increasing growth by delivering value to our customers and expanding into new markets with additional product offerings."
Symantec Corporation is a worldwide leader in desktop software that helps make users productive and keep their computers safe and reliable anywhere and anytime. Key factors to the net revenue increase included continued growth of the U.S. distribution channel as well as expanded international business. The Norton WinFax product lines.
Second Quarter Highlights
Two new products were announced in the September Quarter, which represent the first in a stream of new products from Symantec, aimed specifically at the broad utilities market: Norton Safe on the Web. Norton Uninstall Deluxe is the safest way to remove programs and files that users no longer need and is currently available to end-users. Norton Safe on the Web protects users worldwide against Internet threats to systems security and user privacy and is a preview product offered free for a limited time from Symantec's website.
Symantec experienced growth in the Security and Assistance business unit. New versions of the desktop and server anti-virus products shipped in the second quarter with availability of Norton AntiVirus for Firewalls, a new product that provides comprehensive anti-virus protection for corporations with compatible firewalls, by catching and destroying Internet-borne viruses before they invade corporate computer networks. Symantec partners for this product include Checkpoint Software Technologies, Trusted Information Systems, Secure Computer, CyberGuard Corporation and Milkyway.
The Norton AntiVirus Multi-Tier strategy continued to gain customer acceptance as illustrated by several key customer purchases. Unisys purchased an enterprise-wide license for Norton AntiVirus installation on servers and more than 25,000 workstations in 200 locations throughout the world and Telemex, the largest telecommunications company in Mexico awarded Symantec one of the company's largest international contracts ever signed in the Latin America region.
The Remote Productivity Solutions group demonstrated solid performance in the quickly evolving communications market with an strong showing from pcANYWHERE with the launch of the new 8.0 version as well as continued strong showing from WinFax 8.0. New features of pcANYWERE 8.0 continue to expand Symantec's market leadership by giving users the most secure, fastest and easiest remote-control solution for Windows 95 and NT. In the second quarter, the Remote Productivity Solutions group shipped enhanced versions of ACT! for Macintosh and ACT! for Windows CE.
Symantec's Internet Tools group continued to provide a visual, robust and easy-to-use product line in the explosive Java development marketplace. In the second quarter, Internet Tools shipped several new editions of Visual Café including Visual Café for Java, which provides the most complete, feature-rich solution to each growing Java developer segment. Internet Tools also shipped Visual Page for Windows, which provides users with the fastest and easiest way to move important business documents and crucial business information to the Web.
In additional news, Symantec's website now receives an average of more than 3 million hits each day and more than 400,000 trial version downloads of Symantec product were recorded in the September quarter. The company's electronic software distribution business is growing with the current Symantec storefront including seven versions of the store online with twenty localized Symantec products.
Symantec products continued to win recognition from the press community. Once a year, PC World recognizes the best products of the year, Norton AntiVirus, pcANYWHERE, WinFax and Internet Fast Find all received World Class Awards. Federal Computer Week called Norton AntiVirus the "best of the bunch, the perfect defender" in its July 14 shootout of anti-virus software. Windows Sources found WinFax to be an "invaluable part of our working environment" and a Windows Experts' Choice award recipient. Norton Your Eyes Only received the Secure Computing Award for best encryption product. LAN TIMES awarded CrashGuard the "Best of LAN Times" adding it's "just shy of miraculous, a must-have product for any Windows shop." Norton Utilities for NT, pcANYWHERE, Visual Café Pro and WinFax all received Reader's Choice Awards from ENT Magazine. PC Magazine and Windows Magazine both named Norton AntiVirus, Norton Utilities and WinFax to their Top Ten list of best-selling Windows business software. No other vendor, including Microsoft, had more than two products on the list.
Symantec Corporation helps make users productive and keep their computers safe and reliable anywhere and anytime. Symantec offers a broad range of solutions and is acclaimed as a leader in both customer satisfaction and product brand recognition. The company is focused on addressing customer needs in three main application areas: the Norton Product line of anti-virus and PC-assistance products; the pcANYWHERE, WinFax, and ACT! product lines that cater to remote user productivity; and the Café product lines in Internet development tools.
Founded in 1982, the company's global operations span North America, Europe, Japan, and several fast-growing markets throughout Asia Pacific and Latin America. Traded on Nasdaq under the symbol SYMC, Symantec Corporation is based in Cupertino, California, and employs more than 2,000 people. Information on the company and its products can be obtained by calling (800) 441-7234 toll free, (541) 334-6054, or accessed on the World Wide Web at http://www.symantec.com.
Click here to download a spreadsheet containing both a Consolidated Balance Sheet and Income Statement for the first quarter.
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