Tokyo, Japan – August 9, 2007 – Trend Micro, Incorporated (TSE: 4704), a leader in network antivirus and Internet content security software and services, today announced record earnings results for the second quarter 2007(in accordance with Japan GAAP).
Trend Micro posted consolidated net sales of 25.14 billion Yen (or US $207.84 million, 120.95JPY = 1USD), and operating income and net income both performed above expectations. The company posted operating income of 8.87 billion Yen (or US $73.33 million) and net income of 6.40 billion Yen (or US $52.95 million) for the quarter. These figures reflect 23 percent growth in net sales compared to the same period a year ago, a 37 percent growth in operating income and a 47 percent growth in net income for the same timeframe.
The Company continued to see strong growth, led by a 48 percent year-over-year revenue increase in North America, followed by a 22 percent increase both in APAC and Latin America. Europe and Japan achieved 17 and 14 percent growth respectively.
“We are extremely pleased with the strength of our achievements in the second quarter of 2007. Trend Micro’s results were driven by continued progress in both business and consumer sales, and our plans for long-term growth are sustained through the introduction of new innovations made this quarter,” said Eva Chen, CEO of Trend Micro. “The continued integration of Trend Micro Total Web Threat Protection technology to our solutions helps ensure our ability to continue this growth momentum.”
Based on information currently available to the company, consolidated net sales for the third quarter ending September 30, 2007 is expected to be 24.40 billion Yen (or US $206.78 million, based on an exchange rate of 118JPY = 1USD). Operating income and net income are expected to be 7.40 billion Yen (or US $62.71 million) and 5.45 billion Yen (or US $46.19 million), respectively.
Growth rate figures are calculated from Japanese Yen results. Some discrepancy may therefore be noted in US Dollar comparisons owing to fluctuations in currency conversion rates.
Second Quarter Business Highlights
In April 2007, Trend Micro announced enhancements to its channel partner programs, adding further to the value proposition already available to channel partners. Beginning in North America, Trend Micro is rolling out globally a new customer management tool for partners, the Worry-Free Remote Manager, a secure, hosted remote console. Also announced was the new SMB Support Portal. This is a new online resource that provides partners and customers quick and easy access to technical expertise. The goal of the SMB Support Portal is to automate and consolidate technical support needs using a single web interface.
New customers in the second quarter included:
In the United States and Canada – Acument Global Technologies, SSHA (Smart Systems for Health Agency, Zarlink Semiconductor and Hamilton Health Science.
In Europe - Maxeda It Services Bv, Achmea GITS, E.ON and eSpeed International.
In Japan – Olympus, SBI holdings and Ishigaki city and in China - SHANXI Electric Power Corporation, Neim Meng Gu Telecom, Zhengzhou Yutong Bus Co., Ltd. and Beijing Fangshan Government.
Trend Micro introduced the following products in the first quarter 2007:
Notice Regarding Forward-looking Statements
Certain statements that we make in this release are forward-looking statements. These forward-looking statements are based upon management's current assumptions and beliefs in light of the information currently available to it, but involve known and unknown risks and uncertainties. Many important factors could cause our actual results to differ materially from those expressed in our forward-looking statements. These factors include:
Trend Micro Incorporated (TSE: 4704), a global cloud security leader, creates a world safe for exchanging digital information with its Internet content security and threat management solutions for businesses and consumers. A pioneer in server security with over 20 years' experience, we deliver top-ranked client, server and cloud-based security that fits our customers' and partners' needs, stops new threats faster, and protects data in physical, virtualized and cloud environments. Powered by the Trend Micro™ Smart Protection Network™ cloud security infrastructure, our industry-leading cloud-computing security technology, products and services stop threats where they emerge, on the Internet, and are supported by 1,000+ threat intelligence experts around the globe.
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Mr. Mahendra Negi
Chief Operating Officer / Chief Financial Officer / IR Officer