Thursday, McAfee, Inc. (MFE) reported a 25% decline in third-quarter net profit, as increases in the company's revenues failed to offset higher expenses and charges. However, per share earnings, on an adjusted basis, rose from last year and topped the Street expectations.
Net income for the quarter declined to $36.78 million or $0.23 per share from $48.80 million or $0.31 per share a year ago. The company's recent quarter results included stock-based compensation charges of $26.6 million and acquisition-related costs of $27.83 million, among other charges.
Non-GAAP net income for the quarter increased to $98.59 million or $0.62 per share from $82.24 million or $0.53 per share in the year-ago period. On average, twenty-nine analysts polled by Thomson Reuters estimated revenues of $0.61 per share. Analysts' estimates typically exclude special items.
The Santa Clara, California based company, which manufactures anti-virus software, reported that revenues increased by 18% to $485.27 million from $409.67 million in the year-ago period. Twenty seven Wall Street analysts estimated revenues of 486.61 million.
McAfee's Corporate business revenue grew 25% year-over-year to $308 million. The company closed 472 deals greater than $100,000 in value, including 74 deals greater than $500,000 in value and 31 deals greater than $1 million in value. Revenues for the company's Consumer business grew 8% year-over-year to $177 million,
McAfee's North America revenues grew 25% year-over-year to a record $273 million in the third quarter of 2009. North America revenues accounted for 56% of total revenue for the quarter. International revenues grew 11% year-over-year to a record $212 million and accounted for 44% of the total revenue for the quarter.
"We are pleased to report our record results for the third quarter of 2009. We made significant improvements across our key financial metrics, including non-GAAP operating margin growth of 310 basis points year-over-year and operating cash flow growth of 74 percent year-over-year to a record $152 million," said Dave DeWalt, McAfee's president and chief executive officer.
Spending in the sector is expected to increase as there is an increase in demand for cybersecurity. The company's competitor Symantec Corporation's revenues beat estimates during the same quarter.
According to the guidance issued, the company projects fourth-quarter net income per share in the range of $0.32 - $0.38 and adjusted non-GAAP net income of $0.61 - $0.65 per share, on revenues of $505 million - $525 million. The Street estimates earnings of $0.63 per share, on revenues of $506.70 million.
Year-to-date, net income declined to $118.89 million or $0.75 per share from $126.80 million or $0.79 per share in the comparable period year-ago. Non-GAAP net income for the period increased to $281.88 million or $1.78 per share from $237.31 million or $1.48 per share a year ago. Revenue for the nine month period increased to $1.401 billion from $1.176 billion in the last year.
MFE closed Monday's last trade on the New York Stock Exchange at $43.75, up $1.51 or 3.57%.
For comments and feedback contact: editorial@rttnews.com
June 12, 2026 17:14 ET Major central bank action was the focus this week in economic news. The European Central Bank became the first major central bank to move in response to the rising inflationary pressures in the backdrop of the conflict in the Middle East. In North America, the U.S. inflation and trade data as well as Canada’s central bank decision gained attention. The Chinese trade data was the main news in Asia.