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McAfee Beats Estimates

But profit falls from a year earlier.

Security software maker

McAfee

(MFE)

beat analysts' estimates for the fourth quarter and offered guidance in line with Street expectations.

Fourth-quarter profit fell 63% to $12.2 million, or 7 cents a share, from $32.9 million, or 20 cents a share, a year ago.

Excluding charges, the company reported earned $75.1 million, or 46 cents a share, up from $59.9 million, or 37 cents a share the year before. Analysts polled by Thomson Financial were expecting EPS of 45 cents.

Revenue was up 17% to $356.5 million from $305.2 million and higher than Street expectations of $343.26 million.

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Shares of McAfee were up 77 cents, or 2.4%, to $32.50 in recent trading.

Revenue from corporate customers in the fourth quarter grew 24% to $215 million, driven by sales of McAfee's Total Protection and IntruShield products. The company closed 453 deals over $100,000, including 56 deals over $500,000 and 14 deals over $1 million, it said.

Revenue from consumer products grew 7% to $141 million.

McAfee also announced it will initiate a $750 million stock repurchase program through July 29, 2009.

For the current quarter, the company forecast revenue in the range of $345 million to $360 million

Excluding items, it guided earnings in the range of 42 cents to 47 cents a share.

Analysts were expecting earnings 45 cents a share on revenue of $342.7 million.

For the full-year 2008, McAfee expects net revenue of $1.425 billion to $1.525 billion and net income, excluding charges, of $1.85 to $1.95 a share. That is in line with Street estimates of EPS at $1.89 and revenue of $1.42 billion for the year.