Symantec has had another record quarter, making $577 million last quarter, up 48 percent on last year. Net income more than doubled to $131 million.
The company's fortunes are thanks in part to the appearance of serious new threats, including the Sasser worm in May, said Greg Myers, the company's chief financial officer. Business was split evenly between Symantec's consumer and enterprise groups, with consumer purchases just edging it at 52 percent of total revenue, Myers said.
Demand in both areas was strong, but consumer demand for the company's security software spiked with the appearance of Sasser, driving consumer revenue up 79 percent over the same quarter a year earlier. Sales of enterprise products increased 24 percent. "The outbreak of Sasser had a powerful impact on our consumer channel, but enterprise revenue grew by 29 percent, which is better than our peer group," he said, referring to Symantec's competitors.
Within the enterprise business, sales of enterprise security products accounted for 35 percent of total revenue. Enterprise administration products, such as the company's life cycle management tools, accounted for 11 percent of total revenue. Symantec's security services business accounted for two percent of total revenue, and grew by 14 percent over last year.
Besides the steady stream of new threats and malicious code on the Internet, international sales helped boost Symantec's performance, Myers said. Revenue internationally grew 51 percent year-over-year and represented 52 percent of total revenue in the first quarter. Symantec saw big increases in sales over last year in Asia (62 percent); Europe, the Middle East and Africa (49 percent), and the Americas (43 percent).
While Symantec can't predict, and doesn't expect, continued windfalls like the Sasser worm, the company is confident that it will finish the year stronger than it initially estimated, Myers said. "The holiday season is usually one of our strongest periods. Assuming we meet our guidance for the September quarter, I anticipate we'll do well as we approach the end of the calendar year," he said.
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