Symantec Surpasses 1Q Estimates

The security vendor posted income of $68 million on revenue of $391 million for its first quarter ended July 4. That compares to income of $56.5 million on $316 million in revenue for the same quarter last year.

Symantec, Cupertino, Calif., posted earnings of 41 cents per share, compared to Thomson Financial/First Call consensus estimates of 39 cents per share.

Excluding amortization of intangibles from acquisitions, restructuring and other charges, Symantec reported income of $75 million or 45 cents per share.

In a conference call with analysts, Symantec Chairman and CEO John Thompson said the company was able to produce strong results despite continued weakness in the global economy and IT spending. International and consumer sales were very strong during the quarter, he said.

"We continue to innovate our way through these challenging times," Thompson said.

Microsoft's plans to move into the antivirus market are unclear but Symantec is prepared, he said.

"We are geared up and ready to compete when they enter the market," he said.

Thompson added that Symantec expects to see competition across the antivirus sector, from antivirus specialists like Network Associates and also large software vendors like Microsoft.