The accounting measurement dates for certain stock options dates granted differ from the measurement dates previously used for such awards, CFO Eric Brown told analysts.
The amounts of the grants are more likely than not financially material, he said, and cover at least one, and potentially several prior quarterly periods. McAfee will be late filing its 10-Q with the Securities and Exchange Commission until it has run the numbers.
The company is one of dozens of technology companies reviewing their options grants as part of a broader probe by American public companies. Such practices, across the country, are being scrutinized by the SEC.
Because of this, the second-quarter results McAfee announced yesterday were qualified with the word preliminary, pending completion of the review.
Revenue was up 13% at $277.4m. Net income was $31.4m, down from $41.7m a year ago. At the non-GAAP earnings per share level, tracked by analysts, profit was $0.30, a penny worse than analysts polled by First Call were expecting.
Revenue from McAfee’s corporate business was $166m, up 22% on last year. Bookings in large enterprises were up 3% at $104m, but the small and medium sized business bookings were down 8% at $79m.
Chief executive George Samenuk blamed this on a dry spell between the announcement of a new product and its shipment. Total Protection was announced April 2, but didn’t ship until May 15.
On the consumer side, revenue was up 2% to $111m. This was driven by online sales, which were up 7%, representing 85% of total consumer revenue. Retail sales fell, however, offsetting the stronger online performance.
