Symantec Posts Big 2Q GainsSymantec Posts Big 2Q Gains

A summer of big virus and worm attacks, such as Sobig and Blaster, provided a healthy boost to Internet security company Symantec Corp.'s bottom line. The company reported Wednesday that second-quarter sales increased 32%, while net income for the quarter ended Oct. 3 increased 60%, to $83.4 million, from $52 million for the same period last year. Total sales for the quarter rose to $428.7 million, up from $325.2 million for the year-ago quarter.

Company officials also raised sales estimates for the year to $1.73 billion from $1.67 billion.

Greg Myers, Symantec's senior VP of finance, said a large portion of its consumer antivirus sales for the quarter was directly related to the number of high-profile worm and virus outbreaks this past summer and is "probably not sustainable."

The company says its board of directors has approved a two-for-one stock split that will go into effect on or about Nov. 19. Shareowners of record at the close of business on Nov. 5 will be issued one additional share of common stock for each share owned as of that date. The stock split is expected to increase total outstanding shares from about 154 million to about 308 million.

Says Pete Lindstrom, research director at Spire Security, "The stock split is an indication of the good health of the economy and that this is a company that wants to grow."