* Q1 EPS $0.79 vs $0.78 forecast
* Sees Q2 EPS $0.76-$0.84, revenue of $320-$350 mln
By Tova Cohen
TEL AVIV, April 22 Computer security provider
Check Point Software Technologies reported higher
quarterly profit that beat estimates on higher sales of its
software blades but fewer high-end deals led to
"While product revenue of $106.5 million was shy of the
street's $110 million estimate, we believe the strong deferred
revenue and billings could keep 2013 guidance intact,"
Oppenheimer analyst Shaul Eyal said.
The Israeli company in January forecast 2013 revenue of
$1.4-$1.45 billion and EPS excluding one-off items of
$3.30-$3.50. Chief Executive Gil Shwed said on Monday it was too
early in the year to revise its full year outlook.
Shwed forecast second quarter revenue of $320-$350 million
and earnings per share excluding one-off items of 76 to 84
cents. Analysts have forecast earnings of 83 cents a share on
revenue of $346.5 million, according to Thomson Reuters I/B/E/S.
The company's shares were up 1.2 percent to $46.46 in early
In the first quarter, Check Point's sales of software blades
- modular software building blocks that are bought on an annual
subscription basis - jumped 25 percent compared with the year
During the quarter the company launched a software blade
that stops unwanted malware, or malicious software, as well as
one for security and compliance monitoring.
Check Point earned 79 cents a share excluding one-time items
in the first quarter, up from 74 cents a year earlier. Revenue
grew 3 percent to $322.7 million but came in below expectations
due to a $5 million decline in super high-end deals which
"It's a segment that's not very competitive since it's so
small so it's hard to say it's the beginning of a trend," Shwed
told a news conference.
Check Point was forecast to earn 78 cents a share on revenue
of $328 million. Earnings were also at the high end of the
company's forecast of 74-80 cents a share.
In contrast to previous quarters where sales in Europe were
soft, in the first quarter of 2013 as well as in the last
quarter of 2012 it was the North American market that showed
weakness while Europe improved, Shwed said.
To boost sales the company is implementing plans to focus on
gaining new customers and has increased its sales force, he