Symantec CEO Greg Clark steps down; shares tumble over 14%

A declining chart

The company named Richard Hill as interim chief; he has been a director since January this year.

Mr. Hill added, "During the CEO search process and beyond, we will benefit from our deep bench of leaders, including Art Gilliland and Samir Kapuria, to help maintain continuity and leadership across our Enterprise and Consumer organizations".

Mr. Clark, who has served as CEO since Symantec's acquisition of Blue Coat in 2016, said, "It has been a privilege to lead this great organization and I am proud of all that the team has accomplished in almost three years".

"Investors were desperately hoping to see some stabilization for the current quarter, but what they got instead was a number of negative surprises in the form the company's CEO heading out and its struggles to grow sales", analyst Haris Anwar said.

"Greg Clark had issues with his father being ill".

No specific reason was given for the departure of Clark.

The leadership change follows multiple key executive exits at Symantec late past year, including the chief operating officer and the chief marketing officer.

The board also announced that Vincent Pilette has been appointed as the new chief financial officer of Symantec, following the departure of Nicholas Noviello, who announced his departure in January.

Mr. Pilette, who now serves as CFO of Logitech and has been appointed Symantec's new EVP and CFO, said, "I join Symantec with a deep background in operations and as an investor in the Company".

Symantec reported fourth-quarter non-GAAP revenue of $1.195 billion, down 2.2% year over year and $10 million shy of the average analyst estimate.

The company reported net income of $34 million, or $0.05 per diluted share, improved from a net loss of $59 million, of $0.10 per share, the year before.

Symantec's board reported in November 2018 that its investigation had concluded and that it had found that a $13 million fourth-quarter 2018 customer transaction was incorrectly recorded as revenue.

Consumer security division's revenue of $605 million was above expectations of $601.4 million.

On an adjusted basis, the company's profit was 39 cents per share, in line with estimates. Officials blamed the lukewarm result on poor performance in enterprise sales, an area that suffered lower-than-expected bookings and a disappointing decline in year-over-year billings.

The company's Enterprise Security business will focus on operational discipline, increasing sales productivity, expanding operating margins and managing the shift to its ratable cloud delivered solutions.



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