#United States #financial results #Cyber Safety #Gen Digital #Tempe, Arizona

Gen Digital Announces Third Quarter FY25 Results

Introduction
Gen Digital Inc., a prominent player in the digital freedom space, has just released its financial results for the third quarter of fiscal year 2025, concluding on December 27, 2024. Building momentum from previous quarters, the company showcases improved revenue, profitability, and even an upward revision of its full-year guidance.

Financial Highlights

The key financial metrics for Q3 FY25 revealed significant improvements:

• - Total Revenue: Gen Digital reported a revenue of $986 million, marking a 4% increase compared to the same quarter from the previous year.
• - Operating Income: Their operating income stood at $374 million, reflecting a 13% rise over last year.
• - Operating Margin: The operating margin improved to 38%, indicating a 3-point uplift.
• - Diluted Earnings Per Share (EPS): The diluted EPS for the quarter rose to $0.26, which is an 18% increase year-over-year.
• - Operating Cash Flow: A substantial operating cash flow of $326 million was observed, also up by 3%.

Non-GAAP Performance

In terms of non-GAAP results:

• - Total revenue held steady at $986 million, up 4% when adjusted for currency fluctuations.
• - The company booked revenues of $1,036 million, with an uptick of 3%.
• - Non-GAAP operating income reached $577 million, marking a 4% increase from the comparative quarter in FY24
• - EPS on a non-GAAP basis was $0.56, 15% higher than the previous year.

Strategic Confidence

Vincent Pilette, CEO of Gen, emphasized the necessity of robust cybersecurity measures, stating, "With increasing sophisticated scams and financial fraud, comprehensive solutions are essential for protecting personal information all around the globe. Millions trust us to provide the best technology-driven solutions that not only address current challenges but also anticipate future ones."

Natalie Derse, CFO, echoed these sentiments, attributing the quarterly performance to forward-thinking strategies and disciplined execution by the entire team at Gen. She stated, "The strong results underline the rising demand in the consumer cyber safety space and our capability to meet those needs effectively. By continuing to invest smartly and executing our plans diligently, we are in a robust position to carry this momentum forward."

Forward Guidance

Looking ahead to the fourth quarter of FY25, Gen Digital anticipates revenue in the range of $990 - $1,005 million, with projected EPS between $0.57 - $0.59. The full-year fiscal guidance has also been revised, expecting total revenue between $3,915 - $3,930 million and an EPS of $2.20 - $2.22.

Quarterly Dividend Announcement

In a show of confidence in their steady financial health, Gen has declared a regular quarterly cash dividend of $0.125 per share, scheduled for distribution on March 12, 2025, with eligibility for shareholders on record by February 17, 2025.

Conclusion

Gen Digital remains committed to providing solutions that empower its customers in their digital journeys. As they continue to innovate and address the challenges posed by a constantly evolving cyber landscape, their future looks promising, bolstered by a solid performance in Q3 FY25 and an optimistic outlook for the year ahead.

For more detailed financial data or insights into Gen Digital's products and services, visit GenDigital.com.

Disclaimer: Forward-looking statements in this report contain risks and uncertainties, please refer to Gen Digital's financial disclosures for more details.