PC market slowdown hits Symantec
Another Love Bug-style virus scare should see it right
Symantec has issued a profit warning that suggests the slowdown in consumer PC sales is having a knock-on effect on the security market.
Weak sales to consumer and small business of its antivirus and security products, and the effects of currency fluctuations, have forced Symantec to warn that its first quarter sales will be only between $225 million to $235 million.
This is around $30 million less than the $255 million to $263 million the firm previously forecast.
Because of lowered sales, Symantec expects to report profit of between 39 cents to 47 cents a share, against prior estimates of 62 cents to 67 cents a share.
However Symantec expects sales to recover later this year. For its full financial year Symantec expects revenue growth "in the mid- to high-teens" from the $944.6 million it recorded in its last financial year.
John Thompson, chairman, president and chief executive of Symantec, said: "Although security spending is not recession-proof, we remain confident in the long-term health of the Internet security industry and continue to see strong order levels for our enterprise security solutions." ®
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