MOUNTAIN VIEW, Calif. – April 24, 2012 – Symantec Corp. (Nasdaq: SYMC) today announced preliminary financial results for the fiscal fourth quarter, ended March 30, 2012. Symantec will release actual results for the fiscal fourth quarter after the market closes on May 2, 2012.
The company anticipates GAAP revenue for its fiscal fourth quarter of approximately $1.68 billion compared to prior guidance of $1.72 billion to $1.73 billion and compared to $1.67 billion in the year ago period.
The company also anticipates GAAP diluted earnings per share of approximately $0.78, including the one-time impact from the sale of our share of the Huawei-Symantec joint venture, as compared to the previous forecast of $0.23 to $0.24 per share and compared to $0.22 per share in the year ago period. The company also anticipates non-GAAP diluted earnings per share of approximately $0.38 as compared to the previous forecast of $0.41 to $0.42 per share and compared to $0.38 per share in the year ago period. For a reconciliation of GAAP to non-GAAP results, please refer to the attached reconciliations.
GAAP deferred revenue is expected to be approximately $3.97 billion as compared to the prior guidance of $3.915 billion to $3.935 billion and compared to $3.82 billion in the year ago period, up 4 percent year-over-year and up 5 percent after adjusting for currency. Cash flow from operations is expected to be approximately $685 million.
“A greater percentage of enterprise subscription contracts resulted in higher deferred revenue than expected,” said Enrique Salem, Symantec president and chief executive officer. “We experienced weaker than expected license performance due to fewer license rich storage and server management deals in the quarter compared to the year ago period.”
Symantec has scheduled a conference call and simultaneous webcast for 9:00 a.m. ET/6:00 a.m. PT today to discuss the preliminary results for fiscal fourth quarter, ended March 30, 2012. To participate in the call, interested parties may call US and Canada toll free 866-500-0030 or 719-325-3245, passcode 2974971. Participants should dial in 10 minutes prior to the scheduled start of the call. The webcast will be available on the Internet at http://www.symantec.com/invest/. Please go to the Web site at least 15 minutes early to register, download, and install any necessary audio software. A replay and script of our officers’ remarks will be available on the investor relations’ home page shortly after the call is completed.
Additionally, Symantec will webcast its quarterly earnings conference call on Wednesday, May 2, 2012 at 5 p.m. ET/2 p.m. PT to discuss the actual results of its fiscal fourth quarter and fiscal year 2012. Investors will have the opportunity to listen to the conference call and the replay over the Internet through Symantec’s investor relations’ Web site listed above.
Symantec is a global leader in providing security, storage and systems management solutions to help consumers and organizations secure and manage their information-driven world. Our software and services protect against more risks at more points, more completely and efficiently, enabling confidence wherever information is used or stored. More information is available at www.symantec.com.
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Forward-looking Statements: This press release contains statements regarding our financial and business results, which may be considered forward-looking within the meaning of the U.S. federal securities laws, including statements relating to our preliminary financial results for the fourth quarter of fiscal 2012. 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: 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. Additional information concerning these and other risk factors is contained in the Risk Factors section of our Form 10-K for the year ended April 1, 2011. We assume no obligation to update any forward-looking information contained in this press release.
USE OF NON-GAAP FINANCIAL INFORMATION: Our results of operations have undergone significant change due to a series of acquisitions, the impact of SFAS 123(R) and other corporate events. 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. Our non-GAAP results are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Investors are encouraged to review the reconciliation of our non-GAAP financial measures to the comparable GAAP results, which is attached to this release and which can be found, along with other financial information, on the investor relations page of our Web site at www.symantec.com/invest/center.html.