Symantec’s Licensing Revenues Continue Growth Trend in 4Q15
In fiscal 4Q15, Symantec’s (SYMC) licensing non-GAAP revenue grew 2% to $200 million. Licensing revenues saw an increase of 5% on a year-over-year basis.
Growth in the NetBackup appliance market has ensured an increase in Symantec’s PBBA revenues. They were $417.5 million in 2014 compared to $359.4 million in 2013.
Veritas was the only one to report growth in 4Q15. Veritas’s non-GAAP revenues grew to $2.56 billion. It was a meager growth of 1% on a year-over-year basis.
Veritas is expected to split off by October 2015. The Dow Jones Newswires believes Veritas could fetch more than $8 billion, which would bring substantial cash flows into Symantec.
In 4Q15 and fiscal 2015, Symantec’s Consumer Security segment had revenues of $438 million and $1.92 billion, respectively, a decline of 13% and 7%.
DPM has substantial liquidity of $1.25 billion under its revolver credit facility. With a current debt-to-EBITDA ratio of 3.3x and a TTM coverage ratio of 1.1x, DPM has a cushion for raising fresh capital.
DPM received a “buy” rating from 53.3% of the analysts, while 13.3% rated it as “sell.” The remaining 33.3% of the analysts recommended a “hold.”
DPM generates 60% of its earnings from fee-based contracts and 35% from PoP contracts. Under its PoP contracts, these earnings are linked to movement in energy prices.
NGL Logistics was DPM’s top-performing segment in 1Q15. The segment’s adjusted EBITDA increased by 129.4% in 1Q15 QoQ, driven by an increase in NGL pipeline throughput volumes.
The increase in DPM’s EBITDA was driven by strong operating performance from its NGL Logistics and Wholesale Propane Logistics segments.
Since November 2014, DCP Midstream Partners’ stock has fallen by ~25%. Flat distribution growth and falling natural gas prices may impact its stock.
The TPP (Trans-Pacific Partnership) aims to benefit from the competitive advantages of trade propagated by classical economists like David Ricardo.
Ratification of the TPP will likely have a major impact on food and beverage firms. The US exported $150 billion worth of these products in 2014.
Nike is the world’s number one athletic footwear brand. It clocked $16.2 billion in global footwear sales. Its footwear is manufactured abroad.
Including Vietnam in the TPP important for firms in the footwear and apparel industries. About 11.6% of the total US apparel imports are sourced from Vietnam.
The NRF estimates that the tariffs from the countries included in the proposed TPP and TTIP were ~$6 billion in 2013 on consumer products alone.
The benefits of the TPP and TPA are particularly relevant for firms in the consumer and retail sectors. The NFR supports the TPA and TPP trade deals.
The Trans-Pacific Partnership is a proposed free trade agreement between the US and 11 other countries. It has been on the anvil since 2009.
eBay’s CEO, John Donahoe, has been in the news often. Two proxy firms urged Intel’s shareholders to vote against Donahoe for the director position at Intel.
The loan business is becoming a big business for payment processing firms like eBay’s (EBAY) PayPal. PayPal has plans to raise the highest loan limit.
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