Check Point Software's Profit Rises - TheStreet

SAN FRANCISCO -- Check Point Software (CHKP) - Get Report met analysts' expectations for the second quarter asprofit rose 14%.

Net income in the second quarter increased to $79.2 million from $69.5 million a year earlier.

Excluding items, Check Point earned $92.7 million, or 43 cents ashare, meeting analysts' estimates.

Revenue rose 13% to $199.6 million. Analysts polled by Thomson Financial were expecting revenue of $195.1 million.

Product and license revenue grew 16% to $85 million.

Deferred revenue at the end of the quarter was $279.2 million, anincrease of $43 million or 18% from a year ago.

Shares of Check Point were up 5 cents to $23.50 inrecent trading.

The company said it expects third-quarter revenue in the range of $194million to $204 million and earnings, excluding charges, in the rangeof 41 cents to 45 cents a share. Analysts were expecting revenue of$198.9 million and EPS of 44 cents.

It also said it expects full-year revenue to now range from$805 million to $825 million, vs. its earlier estimate of $780 millionto $820 million. Analysts were expecting full year revenue of $804.47million.

Check Point's results are likely to help allay fears that theweakness in the economy could take a toll on IT and security spendingby businesses. Shares of Check Point are up about 8% since thebeginning of the year, compared with peers such as

McAfee

( MFE) is down about 9% during the same period and

Symantec

(SYMC) - Get Report

is up 18%. The

Nasdaq

composite index has fallen about13% in the year-to-date.