Symantec revenue misses, shares fall

By Jim Finkle

BOSTON (Reuters) - Symantec Corp (SYMC.O) said on Wednesday its fourth-quarter revenue declined more than expected due to weak sales to small businesses, and its shares fell 4.7 percent.

The maker of computer security and backup software said its non-GAAP revenue, which excludes deferred revenue related to acquisitions, fell 4 percent to $1.49 billion during the fiscal fourth quarter ended April 3.

Analysts, on average, had expected revenue of $1.52 billion, according to Reuters Estimates.

Symantec's division that sells security software to businesses posted the biggest decline as sales fell 14 percent to $370 million.

Chief Financial Officer James Beer said in an interview that the group's sales were hurt by declining demand from small and mid-sized businesses.

He said that while Symantec had recently revamped its product line for SMBs, it would take at least several quarters for that to have an impact.

"We think there is an opportunity to really turn that business around," Beer said.

Backup software sales dropped 4 percent, and consumer sales were down 1 percent. Beer said he expects the consumer business to be relatively stable going forward.