Symantec Corporate Presentation
- 2. 2 Forward Looking Statements This presentation contains statements regarding our intention to execute a new strategy, implement operational and organizational changes and our projected financial and business results, as well as our intention to return cash to shareholders through dividends and continued share buyback activity, which may be considered forward‐looking within the meaning of the U.S. federal securities laws. These statements are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements to differ materially from results expressed or implied in this presentation. Such risk factors include those related to: maintaining customer and partner relationships; the anticipated growth of certain market segments, particularly with regard to security and storage; the competitive environment in the software industry; changes to operating systems and product strategy by vendors of operating systems; fluctuations in currency exchange rates; the timing and market acceptance of new product releases and upgrades; the successful development of new products and integration of acquired businesses; and the degree to which these products and businesses gain market acceptance. Actual results may differ materially from those contained in the forward‐looking statements in this presentation. Additional information concerning these and other risk factors is contained in the Risk Factors section of our Form 10‐K for the year ended March 29, 2013. Any information regarding pre-release Symantec offerings, future updates or other planned modifications is subject to ongoing evaluation by Symantec and therefore subject to change. This information is provided without warranty of any kind, express or implied. Customers who purchase Symantec offerings should make their purchase decision based upon features that are currently available. We assume no obligation to update any forward‐looking information contained in this presentation.
- 3. 3 Use of GAAP and Non-GAAP Financial Information Our results of operations have undergone significant changes due to a series of acquisitions, the impact of SFAS 123(R), impairment charges and other corporate events. To help our readers understand our past financial performance and our future results, we supplement the financial results that we provide in accordance with generally accepted accounting principles, or GAAP, with non‐GAAP financial measures. The method we use to produce non‐GAAP results is not computed according to GAAP and may differ from the methods used by other companies. Our non‐GAAP results are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our non‐GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. These non‐GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Investors are encouraged to review the reconciliation of our non‐GAAP financial measures to the comparable GAAP results, which is attached to the financial review presentation, and which can also be found, along with other financial information, on the investor relations page of our website at www.symantec.com/invest.
- 4. Presentation Identifier Goes Here Founded in 1982 IPO in 1989 Approximately 21,500 Employees Operations in more than 50 Countries #379 on the 2013 Fortune 500 100 Percent of Fortune 500 Companies are Customers $6.9 Billion Revenue in FY2013; Approximately 52% Outside of the U.S. More Than 1,900 Global Patents Invests 14% of Annual Revenue in R&D* * R&D Investments is Non-GAAP
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- 6. 6 Key Symantec Strengths Strong Assets Deep Expertise and Capability Portfolio of Leading Products Strong Brands Reach and Installed Base 6
- 7. 7 Financial Strength – FY13 Business Snapshot Revenue Mix by Geography Americas EMEA APJ 54% 27% 19% Segment Revenue $ (in millions) Y/Y Growth (FX adjusted) Storage & Server Management $2,479 5% Consumer $2,109 2% Security & Compliance $2,053 7% Services $265 7% FY13 $6.9 billion 3%* Revenue Mix by Segment Consumer 31% 29% Security & Compliance 36% Storage & Server Mgmt 4% Services 7*Organic FX adjusted Y/Y Revenue Growth
- 8. 8 Corporate Responsibility Investing in the community, workplace and environment • STEM Education, Online Safety, Diversity, Environment • $24M philanthropy in FY13 • More than 25,000 hours volunteered • Annual Code of Conduct training • Signatory UN Global Compact • 100% Human Rights Campaign Corporate Equality Index • Signatory, Women’s Empowerment Principles • FTSE4Good Global Index • Dow Jones Sustainability Index – North America and World • 2013 World’s Most Ethical Companies • Energy-saving Green IT solutions • 20 LEED-certified buildings globally • 12 Energy Star buildings globally • Established employee Green Teams • #40 NewsWeek Green Rankings
- 9. 9 Reliability of the Public Infrastructure Control of Identities & Privacy Financial Integrity Intellectual Property Protecting What Matters 9
- 10. Presentation Identifier Goes Here 10 Global Intelligence Network Identifies more threats + takes action faster + prevents impact Global Scope and Scale 24x7 Event LoggingWorldwide Coverage Rapid Detection Threat Activity Malcode Intelligence Vulnerabilities Spam/Phishing 240,000+ Sensors 200+ Countries 133M Client, Server, Gateway Global Coverage 40,000+ Vulnerabilities 14,000 Vendors 105,000+ Technologies 5M Decoy Accounts 8B+ Email Messages/Daily 1B+ Web Requests/Daily Information Protection Threat Triggered ActionsPreemptive Security Alerts 10
- 11. 11 ” Enabling people, businesses and countries… to protect and manage their digital information… so they can focus their time and energy achieving their aspirations
- 12. 12 Revolutionizing Our Business For You Meet Customer Needs that Matter Today Provide Unique Customer Advantages Strengthened Offerings Three Newly-Focused Areas 12
- 13. 13 4.0 How We Win Best of Need Scale Integration Cross Platform 13
- 14. 14 We Will Strengthen Our Offerings: More R&D Better and Easier Customer Experience New Offerings Right-for-Me Offering Better Meet Customer Needs . . . Faster Organic Growth
- 15. 15 We Will Strengthen Our Offerings: More R&D Leverage Innovation Zero-based mindset More Innovation • Whole company scope • Resource best growth opportunities • Eliminate redundancy • Increase R&D spend • Redeploy and hire • Advanced research Center of Excellence File Systems DLP Encryption Endpoint Protection Security Intelligence More R&D Better and Easier Customer Experience New Offerings Right-for-Me Offering Better Meet Customer Needs . . . Faster Organic Growth
- 16. 16 We Will Strengthen Our Offerings: Better and Easier Customer Experience More R&D Better and Easier Customer Experience New Offerings Right-for-Me Offering Better Meet Customer Needs . . . Faster Organic Growth • Focus product teams on end-to-end customer use experience • Simplified licensing • Self-healing technology To Use, Upgrade and Maintain To Get Help and Support • Simplified support options • Expanded support channels ex. Web, chat, community support • Knowledge management
- 17. 17 We Will Strengthen Our Offerings: Right-For-Me-Offerings More R&D Better and Easier Customer Experience New Offerings Right-for-Me Offering Better Meet Customer Needs . . . Faster Organic Growth Tailored Offerings Choice of Deployment Option • Software • Appliance • Cloud • Hybrids • Consumers • Small Businesses • Large Enterprise • Governments • Geographies • Specific Industries…v erticals
- 18. 18 New Offerings Will Address broader Customer Needs More R&D Better and Easier Customer Experience New Offerings Right-for-Me Offering Better Meet Customer Needs . . . Faster Organic Growth •Integrated, modular, solving bigger jobs •Customer can buy existing products OR new integrated offerings •Turn on new capability as needed
- 19. 19 Symantec Addresses Unmet, Underserved Needs In Three Areas Make it simple for me to be productive & protected at home and work Keep my business safe and compliant Keep my business information and applications up and running User Productivity & Protection Information Security Information Management: Availability & Scalability
- 20. 20 New Current Offerings Map to Customer Jobs User Productivity & Protection Information Security Information Management: Availability & Scalability Enterprise Mobility Endpoint Encryption User Authentication Norton 360 Norton Mobile Security Norton Data Services Endpoint Protection Control Compliance Suite Critical System Protection Trust Services Managed Security Services Data Loss Prevention Mail and Web Security O3 Backup Exec BE.cloud FileStore Storage Foundation HA NetBackup Enterprise Vault/eDiscovery Current Offering Examples 20
- 21. 21 We Will Deliver New Integrated, Modular Offerings Over the Next 6-24 Months User Productivity & Protection Information Security Information Management: Availability & Scalability Mobile Workforce Productivity Norton Protection Norton Cloud Information Security Service Identity/Content-aware Security Gateway Data Center Security Business Continuity Integrated Backup Object Storage Platform New Higher-Value Offerings 21
- 22. 22 User Productivity & Protection Higher-Value Offering: Mobile Workforce Productivity Enables authorized users to access corporate resources from any corporate or personal mobile device, PC or Mac while protecting data, applications, devices and identities Employee Owned/BYOD Corporate Owned Enterprise Applications Cloud Services • Endpoint protection • Corporate • Personal • Mobile device management • Mobile container • Mobile application Management • Enterprise app store • Endpoint encryption • Endpoint DLP • User authentication Integrated 22
- 23. 23 Information Security Higher-Value Offering: Information Security Service Provides visibility into, and comprehensive protection from, advanced threats leveraging Symantec and 3rd-party products Enterprise Apps Symantec Security Offerings 3rd-Party Products and Tools Symantec Global Security Intelligence Network • Analysis • Correlation • Visibility • Dashboard • Threat Detection • Prioritization and Workflow • Incident Management • Risk Management Integrated 23
- 24. 24 Information Management Higher-Value Offering: Business Continuity Applications Platforms Storage • Windows Backup • Unix/Linux Backup • Virtual Backup • Clustering • Virtual HA • Replication • Disaster Recovery • Service Orchestration Integrated Delivers high availability, performance, and scalability for business applications in virtual, private cloud environments 24
- 25. 25 Simplified Go-to-Market (GTM) Strategy Customer Segment Commercial Norton Consumer and Small Business Enterprise Global • Global & Enterprise… Symantec direct + Customer led channel involvement • Channel-led… dedicated Symantec team support • Combination of direct through e-business and channel-led Applied “Right for GEO” manner 25
- 26. 26 New Marketing and Sales Capabilities • Expanded high quality/ lower cost models - Telesales - e-Business - In product • New business growth - Field paid only on new over time - Separate renewals org • New global sales and partner enablement organization • New, enhanced partner program - More selective based on capabilities - Better enablement & Symantec support - New performance-based incentives • Expanded Marketing - Total customer experience - New centers of excellence - Strategic Pricing & Licensing Offerings Customers Beyond Current Point Products to Integrated Offerings Beyond Short-Term Bookings to Lasting Customer Value 26
- 27. Organization Simplification Addressing spans and layers Executed in 3 waves Completed by July 27
- 28. 28 Financial Objectives Organic growth greater than 5% in FY15-FY17 Planning on 5 quarters of transition Non-GAAP operating margins grow 200 bps in FY14 & FY15 Return approximately 50% of FCF to shareholders through dividends and share repurchases 28
- 29. 29 How This Benefits Customers How They Want to Buy Right-for-Me Offerings Solve Bigger Problems Better and Easier 29
- 30. 30 Contact Investor Relations Helyn Corcos Vice President (650)527-5523 hcorcos@symantec.com Shaila Vemuluri Manager (650)527-6273 shailaja_vemuluri@symantec.com Jared Christensen Manager (650)527-4536 jared_christensen@symantec.com 30
Editor's Notes
- #9: Removed: #3, Fortune’s World’s Most Admired Companies, computer softwareChanged: CR 100 Best Corp CitizensPhilanthropy – actual $24,147, 086Volunteer hours – actual 25, 8192013 World’s Most Ethical Co20 LEED buildings , 12 energy star #40 on Newsweek Green Rankings for 2012