Symantec repels ransomware attacks
Growing cybersecurity threats are good for business for security vendors such as Symantec (SYMC). Enterprises and consumers have in recent months been hit by ransomware attacks with WannaCry and Petya attacks gaining significant media attention. These attacks have raised the need for better digital protection for businesses and individuals.
Is Symantec taking advantage of these growing cyber threats to win more customers or boost its customer retention? Symantec CEO Greg Clark said at the release of the latest quarterly earnings results that Symantec successfully secured its customers from WannaCry and Petya attacks. He said that they were able to block over a billion incursions at a time when “many organizations were incapacitated.” This may have earned Symantec some points against the competition.
Revenue up 39%
In fiscal 1Q18 (June quarter), Symantec reported adjusted sales of $1.2 billion, implying an increase of 39% year-over-year. Adjusted EPS (earnings per share) was $0.33, up 14% from a year ago. Analysts on average were expecting sales of $1.2 billion and EPS of $0.31 for the quarter. The above chart shows Symantec’s revenue trend for the last five quarters.
Fairly good track record
Symantec has topped or met earnings and sales expectations in three of the last four quarters. Rivals FireEye and SecureWorks have a similar track record.