Gen Digital raises annual revenue forecast on strong security software demand

By Zaheer Kachwala

Feb 5 (Reuters) - Antivirus software provider Gen Digital GEN.O raised its annual revenue forecast for a third consecutive quarter on Thursday, signaling strong demand for its digital security services.

A surge in the number of high-profile hacks has spurred consumers and enterprises to invest heavily in safeguarding their digital infrastructure, benefiting companies such as Gen Digital which provides services that protect against viruses, malware and identity theft.

The rise of artifical intelligence has opened new avenues for digital attacks, spurring firms and people to invest in AI-driven protection.

Gen Digital bought fintech firm MoneyLion in a $1 billion deal in 2024 to bolster its consumer finance offerings and grow its market share.

"We're going to protect users plus agents and developing AI solutions for all of these is super important and ... we're not just going to protect your device and your data, we're also going to enable you to monitor, protect, manage and grow all of your financial dimensions," Gen's Chief Executive Officer Vincent Pilette told Reuters.

Gen Digital owns well-known antivirus brands including Avast, Avira, AVG and Norton.

The company raised its fiscal 2026 revenue forecast to between $4.96 billion and $4.98 billion, compared with its prior forecast of between $4.92 billion and $4.97 billion.

It expects full-year earnings per share in the range of $2.54 to $2.56, compared with its earlier expectation of $2.51 to $2.56.

The company forecast fourth-quarter revenue of between $1.24 billion and $1.26 billion, compared with estimates of $1.24 billion according to data compiled by LSEG.

Revenue for the third quarter was $1.24 billion, beating estimates of $1.23 billion.