Symantec Reports Strong Earnings

Symantec reports strong earnings amid the backdrop of a grow web of worms and other vunerabiities.

Symantec Corp today reported the results of its first quarter of fiscal year 2009, ended July 4, 2008. GAAP revenue for the quarter was $1.650 billion and non-GAAP revenue was $1.655 billion, up 16 percent over the comparable period a year ago.

The quarter’s strong growth was driven by our team’s ability to cross-sell and up-sell the breadth of our product portfolio which is reflected in the number of large transactions that include multiple products,” said John W. Thompson, chairman and chief executive officer, Symantec. “The fiscal year is off to a terrific start with solid execution and performance across all segments and geographies.”

What this means is that Symantec is taking advantage of the growing consolidation in the enterprise security space.  Recently Symantec has been buying up firms to offer CIOs and enterprises a wide variety of security products.   In addition Symantec has been tinkering with its’ sales mix between direct and indirect.

Overall, customers (enterprise, SMBs, and consumers) will always needs securtiy products.  With consolidation this allows Symantec to take advantage of the economies of scale of multiple products while maintaining high prices.