SOURCE Gen Digital Inc. WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM? 440k+ Newsrooms & Influencers , /PRNewswire/ -- Gen Digital Inc. (NASDAQ: GEN) today announced that its fiscal 2026 second quarter financial results will be released Thursday, November 6, 2025, after market close. Following the press release, Gen management will host a conference call and webcast at 2 p.m. PT / 5 p.m. ET. Fiscal 2026 Q2 Earnings Call November 6, 2025 2 p.m. PT / 5 p.m. ET Conference call dial-in and live webcast ...

Group 1 - Gen Digital Inc. (NASDAQ:GEN) is recognized as a tech stock with one of the lowest P/E ratios, indicating potential investment value [1] - The company has partnered with Intel to enhance AI-powered scam detection on Intel Core Ultra processors, which will improve user data privacy and detection speed [1][2] - Norton 360 customers now have access to advanced deepfake protection, allowing for direct analysis on devices without cloud data transmission [2] Group 2 - The Norton solution scans suspicious video and audio content to alert users about potential fraud, currently supporting platforms like YouTube and Facebook, with plans for expansion [3] - Gen Digital Inc. offers a range of cyber safety products under brands such as Norton, Avast, and LifeLock, providing protection against various online threats [3]

Financial Data and Key Metrics Changes - In Q1, bookings and revenue grew over 30% year over year on a reported basis and 10% on a pro forma basis [6][24] - Non-GAAP operating margins remained robust at 52% and non-GAAP EPS exceeded guidance at $0.64, up 20% year over year [6][34] - Q1 revenue was $1.26 billion, up 30% year over year, with an extra fiscal week contributing approximately nine points to reported growth [24][25] - Excluding MoneyLion's contribution and the extra fiscal week, revenue increased 5% year over year [6][25] Business Line Data and Key Metrics Changes - The Cyber Safety Platform represented two-thirds of Q1 revenue, growing 11% on a reported basis and 4% when normalizing for the extra week [8] - Trust Based Solutions represented one-third of revenue, growing over 100% on a reported basis and 25% when normalized for the extra week and MoneyLion baseline [12] - MoneyLion's revenue grew 45% pro forma, driven by strong performance in personal financial management and its AI-powered financial marketplace [15][39] Market Data and Key Metrics Changes - Direct revenue channels grew 25% as reported and 6% pro forma, with strong fundamentals across channels and geographies [26] - Partner channels grew 68% as reported and 38% pro forma, driven by strength in employee benefits and international partnerships [27] - The total paid customer count reached over 76 million, with 40.6 million direct paid customers and 28 million engaged through partner channels [30][31] Company Strategy and Development Direction - The company is focused on product innovation and integration of MoneyLion, aiming to enhance customer experience and drive growth [5][7] - A unified go-to-market model and an AI-first strategy are being implemented to deepen competitive advantages and enhance agility [21] - The company is raising its annual revenue guidance by $100 million to a range between $4.8 billion to $4.9 billion, reflecting confidence in growth prospects [21][39] Management Comments on Operating Environment and Future Outlook - Management highlighted the importance of staying ahead of evolving cyber threats and emphasized a commitment to AI-driven innovation [10][12] - The company remains optimistic about the integration of MoneyLion and the potential for cross-selling opportunities [48][80] - Despite macroeconomic uncertainties, the business is resilient, supported by a recurring revenue base and strong customer retention [39] Other Important Information - The company plans to host an investor briefing on September 8 to provide deeper insights into its strategic direction [18] - The Q1 ending cash balance was $828 million, with operating cash flow of $409 million and free cash flow of $405 million, up 55% year over year [35][36] Q&A Session Summary Question: Can you discuss the fundamental trends in MoneyLion's business? - Management noted that MoneyLion's growth has accelerated, with a reported growth rate of 45% in Q1, driven by strong customer acquisition and increased transactional products per customer [44][46] Question: How does the company view pricing as a lever for monetization? - Management emphasized a strategy focused on innovation and delivering value, which allows for potential ARPU increases as new products are launched [49][55] Question: What operational improvements have been implemented in MoneyLion? - Management highlighted the focus on growth and operational integration, with expectations of continued innovation and margin improvement as the business scales [60][61] Question: What are the growth expectations for the Cyber Safety and Trust Based Solutions segments? - Management expects mid single-digit growth for the Cyber Safety segment and double-digit growth for Trust Based Solutions as MoneyLion is integrated [75][76] Question: Can you elaborate on the transition of MoneyLion's business model? - Management indicated plans to develop a membership structure to enhance customer engagement and retention, which may impact short-term bookings but drive long-term value [80]

Financial Data and Key Metrics Changes - In Q1, bookings and revenue grew over 30% year over year on a reported basis and 10% on a pro forma basis [6] - Non GAAP operating margins remained robust at 52% and non GAAP EPS exceeded guidance at $0.64, up 20% year over year [6][36] - Q1 bookings were $1.2 billion, up 32% year over year, and revenue was $1.26 billion, up 30% year over year [25] Business Line Data and Key Metrics Changes - The Cyber Safety Platform represented two-thirds of Q1 revenue, growing 11% on a reported basis and 4% when normalizing for the extra week [9] - Trust Based Solutions represented one-third of revenue, growing over 100% on a reported basis and 25% when normalized for the extra week and MoneyLion baseline [13] - MoneyLion's revenue grew 45% pro forma, driven by personal financial management offerings and the AI-powered financial marketplace [15] Market Data and Key Metrics Changes - The direct revenue channels grew 25% as reported and 6% pro forma, with strong fundamentals across channels and geographies [27] - Partner channels grew 68% as reported and 38% pro forma, driven by strength in employee benefits and international partnerships [28] - The total paid customer count reached over 76 million, with 40.6 million direct paid customers and 28 million engaged through partner channels [30][32] Company Strategy and Development Direction - The company is focused on product innovation and integration of MoneyLion, with plans to launch the first integrated product under Gen's brand by fall [7][18] - The strategy includes leveraging AI for operational efficiency and customer engagement, aiming to become an AI-first company [20][21] - The company raised its annual revenue guidance by $100 million to a range of $4.8 billion to $4.9 billion, reflecting confidence in growth [21][41] Management's Comments on Operating Environment and Future Outlook - Management highlighted the resilience of the business amid macroeconomic uncertainty, supported by a recurring revenue base and strong customer retention [41] - The evolving cyber threat landscape necessitates continuous innovation and proactive measures to protect consumers [10][11] - The integration of MoneyLion is expected to enhance customer engagement and retention, driving long-term value creation [18][82] Other Important Information - The company plans to host an investor briefing on September 8 to discuss strategic direction and MoneyLion's product portfolio [17] - Q1 operating income was $650 million, translating to a 52% operating margin, with high margins expected to continue [35] - The company repurchased nearly 5 million shares during Q1 and paid down $180 million in debt [38] Q&A Session Summary Question: Can you discuss the fundamental trends in MoneyLion's business? - Management noted that MoneyLion's growth accelerated to 45% in Q1, with strong performance in both personal financial management and the marketplace [46][48] Question: How does the company view pricing as a lever for monetization? - The strategy focuses on delivering innovative products that enhance customer protection, which in turn justifies price increases and higher ARPU [50][56] Question: What operational improvements have been implemented in MoneyLion? - Management highlighted the focus on growth and operational integration, with expectations for continued innovation and margin improvement [62][63] Question: What drove the strength in the Cyber Safety business in Q1? - The company attributed the strength to cross-selling, upselling, and strong retention rates, maintaining a mid single-digit growth rate [72][73] Question: How will the growth rates of the new reporting segments be structured going forward? - Cyber Safety is expected to maintain mid single-digit growth, while Trust Based Solutions is projected to see double-digit growth as it integrates with MoneyLion [76]

Core Insights - The Q2/2025 Gen Threat Report highlights a significant rise in cyber threats, particularly those utilizing AI, with a focus on fake pharmacies and ransomware [1][2][3] Cyber Threat Trends - There has been a 21% increase in data breaches, with nearly 16% more breached emails reported [7] - Financial scams surged by 340% from April to June 2025, with many linked to deceptive ads on Facebook [6][7] - Sextortion scams doubled, indicating a growing trend in personal-targeted cybercrime [1][7] - Tech support scams on Facebook accounted for 14% of all blocked threats, driven by fake help pages [7] PharmaFraud Operations - Gen researchers identified over 5,000 fraudulent online pharmacy websites, collectively referred to as "PharmaFraud," which have been responsible for 1 million blocked attacks [3][4] - These scams employ tactics such as malicious code injection, manipulated search results, and AI-generated content to appear legitimate [4] Ransomware Developments - Gen uncovered a critical flaw in FunkSec, the first known AI-assisted ransomware, allowing victims to recover files without payment through a free decryptor [5] Emerging Threats - There was a 317% increase in malicious push notifications, often disguised as legitimate alerts [7] - Remote access attacks rose by 62%, particularly involving the Wincir RAT and cloud service abuses [12] Company Initiatives - Gen offers various protective solutions, including Norton Genie and Scam Guardian, to help users avoid falling victim to these scams [8]

Core Insights - Gen Digital Inc. is set to host an investor event to discuss its strategic expansion into Financial Wellness following the acquisition of MoneyLion [1][2] - The event will cover the company's vision for financial wellness, platform integration, product capabilities, and market strategies [1] - Gen aims to combine cyber safety and financial wellness solutions to provide value for consumers and shareholders in a digital-first environment [1] Event Details - The Financial Wellness Opportunity: Analyst and Investor Briefing 2025 is scheduled for September 8, 2025, from 10:30 AM to 12:30 PM EST in New York City [2] - A live webcast of the event will be available on the company's investor relations website and will be accessible for replay for one year [2] Company Overview - Gen Digital Inc. (NASDAQ: GEN) focuses on empowering Digital Freedom through its consumer brands, including Norton, Avast, LifeLock, and MoneyLion [3] - The company aims to provide financial empowerment and cyber safety for digital generations, serving nearly 500 million users across more than 150 countries [3] - Gen offers award-winning products and services in cybersecurity, online privacy, identity protection, and financial wellness [3]

Core Insights - Gen Digital Inc. will release its fiscal 2026 first quarter financial results on August 7, 2025, after market close [1] - Following the earnings release, Gen management will conduct a conference call and webcast at 2 p.m. PT / 5 p.m. ET [2] Company Overview - Gen Digital Inc. (NASDAQ: GEN) is a global company focused on empowering Digital Freedom through its consumer brands, including Norton, Avast, LifeLock, and MoneyLion [2] - The company aims to provide financial empowerment and cyber safety for the first digital generations, serving nearly 500 million users across more than 150 countries [2]

Core Insights - The Q1/2025 Gen Threat Report reveals significant increases in cyber threats, including a 186% rise in breached personal information and a 466% increase in phishing reports [2][4][5] - The report highlights the evolution of online threats, with attackers utilizing AI and personalized tactics to enhance deception [3][7] - Gen has successfully protected over 4 million users from Scam-Yourself Attacks, which involve individuals being manipulated into compromising their own devices [7][8] Data Breaches - There was a 36% increase in the number of data breaches faced by companies compared to the previous quarter, with individual breached records rising by over 186% [4] - Attackers are employing advanced infostealers, making data compromise faster and harder to detect [4] Phishing Scams - Phishing reports surged by 466%, now accounting for nearly 32% of all scam submissions to the Norton Genie scam detector [5] - Phishing is identified as the fastest-growing threat, with generic scams making up 51% of reports [5] - Attackers are using dynamic DNS services and subdomain providers to create deceptive login pages, making phishing attempts harder to detect [6] Scam-Yourself Attacks - Gen protected over 4 million users from Scam-Yourself Attacks, where individuals are tricked into infecting their own devices [7] - Attackers are utilizing AI-generated personas and deepfake influencers to deliver malicious campaigns [7] - Fake browser update scams have increased to over 17 times the previous quarter's levels, tricking users into installing malware [8] Financial Threats - Mobile financial threats are on the rise, with malware exploiting accessibility features to steal sensitive data [10] - Digital currencies are increasingly targeted, with one campaign linked to the US presidential inauguration resulting in nearly $4 million stolen through over 2,000 transactions [11] Company Overview - Gen is a global leader in Cyber Safety, providing solutions through trusted brands like Norton, Avast, and LifeLock [1][13] - The company aims to empower individuals to live their digital lives safely and confidently, serving nearly 500 million users in over 150 countries [13]

Financial Data and Key Metrics Changes - Fiscal year 2025 total bookings reached a record $4 billion, up 4% year over year, with revenue exceeding the high end of annual guidance [8][25] - Non-GAAP operating margin was a record 58.4%, reflecting strong cost controls and operational efficiencies [9][26] - Non-GAAP EPS was $2.22, marking a 15% increase year over year and at the high end of annual guidance [9][26] - Unlevered free cash flow was nearly $2 billion, with net leverage reduced to 3.2 times EBITDA [9][34] Business Line Data and Key Metrics Changes - Direct revenue in Q4 was $877 million, up 4% in constant currency, with a total Q4 revenue exceeding $1 billion for the first time at $1.01 billion, also up 5% [27][26] - Partner revenue in Q4 was $121 million, up 15% year over year, driven by strong growth in the employee benefits channel [31][32] - The identity theft protection segment saw double-digit growth internationally, with increased demand for LifeLock following major data breaches [12][14] Market Data and Key Metrics Changes - The direct customer count increased by 1.3 million to over 40.4 million direct paid customers, with a total of over 65 million direct and indirect paid customers [15][28] - Approximately 45% of direct customers now have comprehensive cyber safety memberships, reflecting the increasing value of the product portfolio [15][30] - The company expanded its privacy and identity products into 15 new markets, achieving encouraging early results [14] Company Strategy and Development Direction - The company is committed to increasing innovation pace and expanding geographic reach to deliver cyber safety solutions [10][22] - The acquisition of MoneyLion is expected to enhance financial wellness offerings and expand the total addressable market [16][37] - The business will operate under two segments: Cyber Safety Platform and Trust Based Solutions, focusing on customer needs and operational efficiency [18][39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business despite macroeconomic uncertainties, citing a strong subscription model and high customer retention [68][70] - For fiscal year 2026, the company expects revenue between $4.7 billion and $4.8 billion, representing 6% to 8% pro forma growth [22][39] - Non-GAAP EPS for fiscal year 2026 is projected to be between $2.46 and $2.54, indicating double-digit growth [39] Other Important Information - The company plans to continue a balanced capital allocation strategy, focusing on share repurchases and debt paydown [48][36] - Q4 operating income was $590 million, translating to an operating margin of 58.4% [33] - The company has a robust cash flow generation capacity, with a Q4 ending cash balance of over $1 billion [34] Q&A Session Summary Question: Guidance for fiscal year 2026 and MoneyLion growth visibility - Management confirmed that guidance assumes MoneyLion growth can remain in the 29% to 30% range, with a focus on cross-selling and transforming the business model [44][45] Question: Capital allocation strategy regarding share repurchases - Management indicated a balanced approach to capital allocation, looking forward to resuming share repurchases while managing debt [48][49] Question: Impact of MoneyLion's customer network on potential subscribers - Management highlighted the opportunity to cross-sell to MoneyLion's customer base and enhance offerings through their technology [54][58] Question: Signs of demand resilience amid macro uncertainty - Management noted strong subscription levels and a resilient business model, with confidence in continued demand for cyber safety products [68][70] Question: Indirect revenue growth outlook and new partnerships - Management expects sustainable, profitable growth in the indirect channel, particularly from employee benefits and telco partnerships [82][86]

Financial Data and Key Metrics Changes - Fiscal year 2025 total bookings reached a record $4 billion, up 4% year over year, with revenue exceeding the high end of annual guidance [8][25] - Non-GAAP operating margin was a record 58.4%, reflecting strong cost controls and operational efficiencies [9][26] - Non-GAAP EPS for the year was $2.22, up 15% year over year, and at the high end of annual guidance [9][26] - Q4 revenue exceeded $1 billion for the first time, reaching $1.01 billion, up 5% year over year [27][26] - Q4 operating income was $590 million, translating to an operating margin of 58.4% [33] Business Line Data and Key Metrics Changes - Direct revenue in Q4 was $877 million, up 4% in constant currency, with a customer base increase to 40.4 million, up 1.3 million year over year [27][28] - Partner revenue in Q4 was $121 million, up 15% year over year, driven by growth in the employee benefits channel [31][32] - The identity theft protection segment saw double-digit growth internationally, with increased demand for LifeLock [12][14] Market Data and Key Metrics Changes - The identity category grew double digits internationally, with privacy and identity products introduced in 15 new markets [14] - The overall customer base grew to over 65 million direct and indirect paid customers, with nearly 45% having comprehensive cyber safety memberships [15] Company Strategy and Development Direction - The company is focused on increasing innovation pace and expanding geographic reach to enhance its cyber safety platform [10][12] - The acquisition of MoneyLion aims to expand into financial wellness, enhancing the company's total addressable market [16][17] - The business will operate under two segments: Cyber Safety Platform and Trust Based Solutions, with a focus on driving profitable growth [18][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the resilience of the business despite macroeconomic uncertainties, citing a strong subscription model [68][69] - For fiscal year 2026, the company expects revenue between $4.7 billion and $4.8 billion, representing 6% to 8% pro forma growth [22][39] - Non-GAAP EPS for fiscal year 2026 is projected to be between $2.46 and $2.54, indicating double-digit growth [39] Other Important Information - The company plans to continue a balanced capital allocation strategy, focusing on share repurchases and debt pay down [48][36] - The Q4 ending cash balance was over $1 billion, with liquidity exceeding $2.5 billion [34][35] Q&A Session Summary Question: Guidance for fiscal year 2026 and MoneyLion growth visibility - Management confirmed that guidance is based on maintaining current momentum in both the Cyber Safety Platform and MoneyLion, with expected growth rates of mid-single digits for Cyber Safety and around 24-25% for MoneyLion [44][45] Question: Capital allocation strategy regarding share repurchases - Management indicated a balanced approach to capital allocation, focusing on both share repurchases and debt pay down, with plans to resume share buybacks post-acquisition [48][49] Question: Impact of MoneyLion's customer network on potential subscribers - Management highlighted the opportunity to cross-sell to MoneyLion's customer base and enhance offerings through the integration of financial wellness features [55][58] Question: Resilience of the business amid macroeconomic uncertainty - Management reassured that the business model is resilient, with a strong subscription base and continued demand for cyber safety products [68][69] Question: Indirect revenue growth outlook - Management expects sustainable, profitable high single-digit growth in the indirect channel, particularly from employee benefits and telco partnerships [87][88]