Check Point Earns $77M, Says Economy Still An Issue

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Check Point Software Technologies Tuesday posted earnings that were slightly better than expected, but down when compared with last year.

The security-software vendor posted net income of $77 million on $122.5 million in revenue for its fourth quarter, ended Dec. 31. That compares with net income of $81 million on $140.4 million in revenue for the same quarter last year.

Earnings of 30 cents per share beat Thompson Financial/First Call consensus estimates of 29 cents per share.

Looking ahead, the company will continue to face a challenging global economy, said Check Point Chairman and CEO Gil Shwed in a conference call. But at the same time, "security and VPN solutions are very high on the purchasing priority list for corporations," he said.

The company expects first-quarter earnings and revenue "to be flat, maybe down" reflecting the economic conditions, Shwed said.

However, Check Point expects to see growth in the second quarter and higher growth rates in the second half of the year, he added.

Shares of Check Point were down $4.52 to $39.90 in Tuesday trading.

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