Symantec Cuts Q4 Guidance, Shares Plunge; Announces CEO Transition Plan

(RTTNews) - Symantec Corp. (SYMC) announced the company now expects its fourth-quarter revenue to be $873 million compared to previous guidance of $885 to $915 million. The company said a shift in enterprise security customer buying preferences is resulting in less license revenue during the quarter and more revenue being deferred to future periods.

Symantec expects fourth-quarter non-GAAP EPS of $0.22, below previous guidance of $0.24-$0.27. The company said the shortfall is primarily a result of lower than expected revenue. Analysts polled by Thomson Reuters expect the company to report profit per share of $0.25 on revenue of $901.16 million. Analysts' estimates typically exclude special items. Shares of Symantec Corp. were down more than 16% in pre-market trade Thursday.

Symantec also announced that Michael Brown will be stepping down as President and CEO. Brown will continue to serve as CEO and as a director of the company until a successor has been appointed. The Symantec Board has begun the search for the next CEO.