Symantec Corporation (SYMC) has reported 72.94 percent plunge in profit for the quarter ended Dec. 30, 2016. The company has earned $46 million, or $0.07 a share in the quarter, compared with $170 million, or $0.25 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $209 million, or $0.32 a share compared with $172 million or $0.26 a share, a year ago. 

Revenue during the quarter grew 14.52 percent to $1,041 million from $909 million in the previous year period. Gross margin for the quarter contracted 607 basis points over the previous year period to 77.43 percent. Operating margin for the quarter stood at negative 1.54 percent as compared to a positive 16.06 percent for the previous year period.

Operating loss for the quarter was $16 million, compared with an operating income of $146 million in the previous year period.

However, the adjusted operating income for the quarter stood at $331 million compared to $254 million in the prior year period. At the same time, adjusted operating margin improved 385 basis points in the quarter to 31.80 percent from 27.94 percent in the last year period.

Greg Clark, Symantec chief executive officer, said, "We're very pleased by our third quarter performance as it shows clear evidence that Symantec’s transformation is producing results and delivering innovation to our customers in the cloud generation. Our Integrated Cyber Defense Platform is resonating with enterprise customers and we closed important wins that underscore the unmatched value of our threat intelligence and the depth of our cloud security stack. We expect to see new momentum in our consumer business with the release of Norton Core, a favorite at CES this year. When joined with LifeLock next month, we will have created a new Digital Safety Platform to protect consumers’ digital lives and identities."

For the fourth-quarter, Symantec Corporation expects revenue to be in the range of $1,039 million to $1,059 million. It expects adjusted revenue to be in the range of $1,070 million to $1,090 million. The company forecasts net income to grow in the range of $1 percent to $3 percent. It expects adjusted operating income to grow in the range of 27 percent to 29 percent. On an adjusted basis, the company projects diluted earnings per share to be in the range of $0.27 to $0.29.

The company has spent $4,550 million cash to meet investing activities during the nine month period as against cash inflow of $674 million in the last year period

Cash flow from financing activities was $4,780 million for the nine month period as against cash outgo of $1,531 million in the last year period.

Cash and cash equivalents stood at $5,575 million as on Dec. 30, 2016, up 151.92 percent or $3,362 million from $2,213 million on Jan. 01, 2016.

Working capital declines
Symantec Corporation has witnessed a decline in the working capital over the last year. It stood at $2,906 million as at Dec. 30, 2016, down 13.15 percent or $440 million from $3,346 million on Jan. 01, 2016. Current ratio was at 1.81 as on Dec. 30, 2016, down from 1.87 on Jan. 01, 2016.

Days sales outstanding went down to 57 days for the quarter compared with 61 days for the same period last year.

At the same time, days payable outstanding went down to 91 days for the quarter from 172 for the same period last year.