Feeds

NAI posts profit on revenue up 13%

Good Q

  • alert
  • submit to reddit

Internet Security Threat Report 2014

ComputerWire: IT Industry Intelligence

Network Associates Inc has reported net income of $9m for its third quarter, ended September 30, on revenue up 13% at $232.2m, including revenue from its recently reacquired McAfee.com Inc subsidiary.

The Santa Clara, California-based security software and services vendor's net income compared with a net loss of $11.3m on revenue of $205.7m in the same quarter last year.

Excluding McAfee.com, of which NAI acquired the 25% it did not already own for $200m in September, the company reported net income of $26.9m on revenue of $211.2m, compared to net income of $8.5m on revenue of $189.5m in the same quarter last year.

For the nine months to date NAI recorded net income of $46m on revenue of $685.8m, including McAfee,com, compared to a net loss of $95.8m on revenue of $554.4m in the first three quarters of 2001.

Excluding the consumer-focused McAfee.com subsidiary, the company's net income to date is $63.4m on revenue of $625.4m, compared to a net loss of $14.5m on revenue of $511m in the first three quarters of last year.

NAI's CEO George Samenuk commented that the company had enjoyed a good quarter in a difficult economic climate, and also announced employee relocation and severance programs designed to reduce costs.

The company is moving 200 general and administrative staff from Santa Clara to Plano, Texas in January 2003, a move that it believes will save it $2m a year. NAI has also reduced its headcount by 100, or 2.5% in the last week.

With those cost savings in effect, combined with an estimated saving of $5m a year following the consolidation of McAfee.com, Samenuk said that the company is on track to increase its operating margin to 16% in 2003. The operating margin for the third quarter was 12%.

Looking ahead, the company's COO and CFO, Steve Richards, said he expects fourth-quarter net revenue to be between $252m and $257m, including McAfee.com, with revenue for the full calendar year expected to be between $1bn and $1.03bn.

In terms of new product developments, the company is expecting the first benefits of its August 2002 acquisition of Traxess Inc to be realized in the first half of the year with the delivery of the Infinistream network forensics technology, which will be capable of capturing network speed data in real time.

The company's partnership with intrusion-detection specialist Internet Security Systems Inc is also due to deliver a network intrusion detection product that combines ISS's RealSecure IDS software with NAI's Sniffer network monitoring software in the first quarter of 2003.

© ComputerWire

Providing a secure and efficient Helpdesk

More from The Register

next story
Scrapping the Human Rights Act: What about privacy and freedom of expression?
Justice minister's attack to destroy ability to challenge state
WHY did Sunday Mirror stoop to slurping selfies for smut sting?
Tabloid splashes, MP resigns - but there's a BIG copyright issue here
Hey Brit taxpayers. You just spent £4m on Central London ‘innovation playground’
Catapult me a Mojito, I feel an Digital Innovation coming on
Google hits back at 'Dear Rupert' over search dominance claims
Choc Factory sniffs: 'We're not pirate-lovers - also, you publish The Sun'
EU to accuse Ireland of giving Apple an overly peachy tax deal – report
Probe expected to say single-digit rate was unlawful
Inequality increasing? BOLLOCKS! You heard me: 'Screw the 1%'
There's morality and then there's economics ...
While you queued for an iPhone 6, Apple's Cook sold shares worth $35m
Right before the stock took a 3.8% dive amid bent and broken mobe drama
EU probes Google’s Android omerta again: Talk now, or else
Spill those Android secrets, or we’ll fine you
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.
Security for virtualized datacentres
Legacy security solutions are inefficient due to the architectural differences between physical and virtual environments.
A strategic approach to identity relationship management
ForgeRock commissioned Forrester to evaluate companies’ IAM practices and requirements when it comes to customer-facing scenarios versus employee-facing ones.