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Will Symantec’s CFO’s Resignation Disrupt Operations?

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Noviello to stay on until successor appointed

Nicholas Noviello, Symantec’s (SYMC) CFO, has decided to step down from the position to pursue opportunities outside the cybersecurity company. Noviello will stay on until his successor is appointed so that there’s a smooth transition in the CFO role.

Symantec has already begun the search for a new CFO. Noviello’s commitment to stay on until his replacement is found should ensure that his departure doesn’t disrupt operations at Symantec as the company attempts a turnaround.

Noviello was an executive at Blue Coat Systems, a company that Symantec bought in 2016. At one point, Noviello was tasked with leading cost-reduction efforts at Symantec.

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Symantec posted a $65 million profit

Symantec made a profit of $65 million on revenue of more than $1.2 billion in the third quarter of fiscal 2019, which ended in December. This profit translated to adjusted EPS of $0.44, beating the consensus estimate of $0.39. Symantec’s revenue rose 0.2% YoY (year-over-year), topping the consensus estimate of $1.18 billion.

Among Symantec’s peers, revenue rose 3.9% YoY at Check Point Software Technologies (CHKP) but fell 4.7% YoY at Juniper Networks (JNPR) in the comparable quarter. Cisco Systems (CSCO) and Palo Alto Networks (PANW) reported revenue rises of 8.0% and 31% YoY, respectively, in their fiscal 2019 first quarters, which ended in October.

March quarter revenue guidance

Symantec expects revenue of between $1.19 billion and $1.22 billion in its current quarter, which ends in March. The company expects adjusted EPS of $0.37–$0.41.

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