Q3 FY26 Earnings February 5, 2026 Forward-Looking Statements This presentation contains statements which may be considered forward-looking within the meaning of the U.S. federal securities laws. In some cases, you can identify these forward-looking statements by the use of terms such as "expect," "will," "continue," or similar expressions, and variations or negatives of these words, but the absence of these words does not mean that a statement is not forward-looking. All statements other than statements of ...

Core Viewpoint - Antivirus software provider Gen Digital has raised its annual revenue forecast for the third consecutive quarter, indicating strong demand for its digital security services [1] Company Summary - Gen Digital is experiencing robust growth in its digital security services, as evidenced by the upward revision of its revenue forecast for three consecutive quarters [1]

Group 1: Cybersecurity Industry - The Betashares Global Cybersecurity ETF (ASX: HACK) provides exposure to companies in the cybersecurity sector, which is increasingly important as digital services expand [1][3] - The ETF includes major companies such as Infosys, Cisco Systems, Palo Alto Networks, and CrowdStrike, which are expected to see rising profits over the long term [3] - The HACK ETF has delivered an average annual return of 16.7% over the past five years, indicating strong performance potential [3] Group 2: Online Retail Industry - Temple & Webster Group Ltd (ASX: TPW) is a leading online retailer in Australia, specializing in homewares, furniture, and home improvement [4] - The Australian furniture and homewares market has an addressable market of $19 billion with only 20% online penetration, suggesting significant growth potential as online shopping adoption increases [5] - Home improvement revenue for Temple & Webster surged by 40% year on year, with a total addressable market of $18 billion and low online penetration of 5% to 10% [6] - The company's expansion into New Zealand is yielding positive results, with growth in conversion and traffic, and an 18% year-on-year revenue increase [7]

Consumer Cybersecurity Threats - Cybersecurity breaches are projected to cost consumers approximately $15 billion in the current year [1] - By 2026, the distinction between reality and fake online content will become increasingly blurred, necessitating human verification for consumers [2][3] - The industry has blocked 140,000 AI-powered fake e-commerce websites targeting consumers' finances [4] - Attackers are leveraging AI, including generative AI, to enhance their reach and personalize attacks against consumers [7] - Stolen data from enterprise breaches is being used to create fake identities and trick consumers into divulging personal information [13] Enterprise Cybersecurity Challenges - Companies face a growing number of larger and more sophisticated cyberattacks [6] - These attacks systematically exploit vulnerabilities in AI supply chains and financial systems [6] - Identity is a key battleground for both consumers and businesses [6][7] - The cybersecurity landscape is dynamic, requiring comprehensive, end-to-end security solutions [9][10] Cybersecurity Platform Strategies - The cybersecurity industry is trending towards platform-based solutions to provide comprehensive protection [8][9] - Gen Digital focuses on providing a comprehensive defense for consumers' personal digital footprints across text, voice, and web [10][11] - The company uses AI to predict risks and assess data security for consumers [14]

Consumer Impact - Cyber breaches and hacks are projected to cost consumers approximately 15 billion dollars in 2023, highlighting significant financial implications for individuals [1] - The rise of AI is expected to blur the lines between reality and fake, necessitating human verification for consumers to navigate the digital landscape [2] - A total of 140,000 AI-powered fake e-commerce websites have been blocked, indicating a growing threat to consumer financial security [2] Enterprise Challenges - Major enterprises, including Amazon and Capital One, are facing an increase in cyber attacks that are becoming more sophisticated and systematic, particularly in relation to AI and supply chain vulnerabilities [4] - The common risk factor for both consumers and enterprises is identity, which is increasingly targeted by attackers using AI to create personalized attacks [5] Cybersecurity Trends - Platformization is a notable trend among cybersecurity companies, as they seek to combine various services to address the dynamic threat landscape [6] - Companies are diversifying their vendors and solutions to mitigate risks associated with service outages, as seen with recent incidents involving Crowdstrike and AWS [7] Risk Management - The biggest risk for consumers stems from data breaches within enterprise environments, which can lead to the theft of personal data and the creation of fake identities by bad actors [11] - Companies are leveraging AI to predict risks and manage digital footprints, while also offering insurance and restoration services in the event of a breach [13][14]

Core Insights - Gen Digital raised its annual revenue forecast for the second consecutive quarter, driven by strong demand for its cybersecurity products and the acquisition of fintech firm MoneyLion [1] Group 1: Revenue Forecast - The company has increased its revenue forecast, indicating positive growth trends [1] - This marks the second consecutive quarter of raised revenue expectations, suggesting sustained performance [1] Group 2: Demand and Acquisition - Robust demand for cybersecurity products has significantly contributed to the revenue growth [1] - The acquisition of MoneyLion, a fintech firm, is a strategic move that supports the company's growth objectives [1]

Core Insights - Reklaim Ltd. has appointed Mark Thompson, former Head of Privacy Product Management at Gen Digital, as Vice President of Product to enhance the expansion and innovation of its Reklaim Protect platform focused on consumer privacy protection [2][3]. Company Overview - Reklaim Ltd. is the only company globally that allows consumers to view, protect, and receive compensation for their data, operating through subscription (Reklaim Protect) and rewards-based (Reklaim Rewards) platforms [5]. Leadership and Experience - Mark Thompson brings extensive experience in building consumer privacy products, having led the launch of various privacy solutions at Gen Digital, which includes VPN, Privacy Monitor, AntiTrack, and Private Email, significantly advancing digital protection for millions [3][4]. - Neil Sweeney, Founder and CEO of Reklaim, emphasized that Thompson's expertise in user trust, design, and innovation will be crucial for scaling the Reklaim Protect platform globally [4].

Core Insights - The article provides a comprehensive evaluation of Microsoft in comparison to its major competitors in the Software industry, focusing on financial metrics, market standing, and growth prospects [1] Company Overview - Microsoft develops and licenses both consumer and enterprise software, known for its Windows operating systems and Office productivity suite [2] - The company is organized into three segments: productivity and business processes, intelligence cloud, and more personal computing [2] Financial Metrics Comparison - Microsoft has a Price to Earnings (P/E) ratio of 37.97, which is 0.29x less than the industry average, indicating potential for growth at a reasonable price [6] - The Price to Book (P/B) ratio is 11.21, below the industry average by 0.79x, suggesting the stock may be undervalued based on book value [6] - The Price to Sales (P/S) ratio is 13.72, which is 0.83x the industry average, indicating potential undervaluation based on sales performance [6] - The Return on Equity (ROE) stands at 8.19%, which is 1.26% above the industry average, highlighting efficient use of equity [6] - Microsoft’s EBITDA is $44.43 billion, which is 56.96x above the industry average, demonstrating stronger profitability [6] - The gross profit of $52.43 billion is 34.72x above that of its industry, indicating higher earnings from core operations [6] - Revenue growth for Microsoft is 18.1%, significantly below the industry average of 66.99%, suggesting challenges in increasing sales volume [6] Debt to Equity Ratio - Microsoft has a debt-to-equity (D/E) ratio of 0.18, indicating a favorable balance between debt and equity compared to its top peers [11] - The D/E ratio is a key metric for evaluating financial health and risk profile within the industry [9] Summary of Key Takeaways - Microsoft exhibits low P/E, P/B, and P/S ratios compared to peers, indicating potential undervaluation [9] - High ROE, EBITDA, and gross profit suggest strong profitability and operational efficiency [9] - The low revenue growth rate may raise concerns for future performance relative to industry peers [9]

Core Insights - The article provides a comprehensive analysis of Microsoft in comparison to its key competitors in the Software industry, focusing on financial metrics, market position, and growth prospects [1] Company Overview - Microsoft develops and licenses consumer and enterprise software, known for its Windows operating systems and Office productivity suite, organized into three segments: productivity and business processes, intelligence cloud, and more personal computing [2] Financial Metrics Comparison - Microsoft has a Price to Earnings (P/E) ratio of 37.32, which is below the industry average by 0.32x, suggesting potential undervaluation [5] - The Price to Book (P/B) ratio for Microsoft is 11.02, also below the industry average by 0.82x, indicating possible undervaluation based on book value [5] - Microsoft's Price to Sales (P/S) ratio is 13.49, which is 0.94x the industry average, suggesting it may be undervalued based on sales performance [5] - The Return on Equity (ROE) for Microsoft is 8.19%, which is 1.39% above the industry average, indicating efficient use of equity to generate profits [5] - Microsoft has an EBITDA of $44.43 billion, which is 57.7x above the industry average, indicating stronger profitability and robust cash flow generation [5] - The gross profit for Microsoft is $52.43 billion, which is 35.19x above the industry average, indicating stronger profitability from core operations [5] - Microsoft's revenue growth rate is 18.1%, significantly lower than the industry average of 58.94%, indicating potential concerns regarding sales performance [5] Debt to Equity Ratio - Microsoft has a debt-to-equity (D/E) ratio of 0.18, indicating a favorable balance between debt and equity compared to its peers, which is a positive aspect for investors [9] - The analysis of Microsoft's D/E ratio in relation to its top 4 peers provides insights into its financial health and risk profile [7]

Core Insights - The article discusses the emerging competition in the AI browser market, highlighting the potential disruption to traditional search engines and browsers, particularly Google Chrome [4][49][70] - It emphasizes the strategic importance of browsers in the AI era, suggesting that they will evolve into more interactive and intelligent platforms [10][21][109] Group 1: AI Browser Competition - Perplexity's ambition to acquire Google's Chrome browser for $34.5 billion signals a significant shift in the browser landscape, indicating that AI browsers are becoming a focal point for investment and innovation [24][32][38] - Anthropic's launch of Claude for Chrome adds to the competitive landscape, suggesting that AI capabilities are becoming essential for modern browsers [3][4] - The article posits that the browser market, previously stable, is now ripe for disruption due to advancements in AI technology [7][10][49] Group 2: Strategic Importance of Browsers - Browsers are increasingly seen as the primary interface for user interaction with AI, shifting the focus from traditional operating systems [9][10][21] - The article argues that the future of browsing will involve more proactive and personalized experiences, where browsers act as intelligent assistants rather than passive tools [99][100][109] - The potential for AI to redefine search and browsing interactions is highlighted, suggesting that users will rely more on AI agents for information retrieval rather than traditional search methods [73][80][81] Group 3: Market Dynamics and Future Outlook - The current browser market is characterized by Google's dominance, but there is a belief that this could change as new players emerge with innovative AI solutions [38][49][63] - The article suggests that the next decade may see a significant shift in browser usage, with a decline in Chrome's market share as new AI-driven browsers gain traction [38][42][49] - The discussion includes the potential for initial startups to disrupt the market, leveraging open-source technologies like Chromium to create competitive products [65][66][90] Group 4: Challenges and Innovations - The article outlines the need for advancements in AI agent technology to fully realize the potential of AI browsers, indicating that current capabilities are still in early stages [95][96][102] - It discusses the importance of user experience in the development of AI browsers, emphasizing the need for a balance between proactive assistance and user control [106][108] - The potential for multi-modal interactions in browsers is explored, suggesting that future browsers will need to adapt to various user preferences and contexts [120][127][130]