McAfee breaks even in first earnings report since IPO

McAfee Corp. avoided a loss Thursday in its first earnings report since returning to the public markets.

McAfee
MCFE,
-1.20%
reported a break-even third quarter on sales of $728 million. Last year, while still a private company, McAfee reported a net loss of $9 million on revenue of $662 million, according to filings with the Securities and Exchange Commission.

After adjusting mostly for amortization, the security-software company reported earnings of $129 million. Analysts on average had expected adjusted earnings of 36 cents a share on sales of $722 million, according to FactSet. McAfee did not provide a per-share figure.

McAfee guided for fourth-quarter revenue of $731 million to $742 million. Analysts on average had expected $728 million, according to FactSet.

McAfee has long been known for its antivirus software and other computer-security offerings, but it has gone through massive ownership changes in recent years. Intel Corp.
INTC,
+1.24%
acquired the then-public company in 2011 for $7.7 billion, but then sold a majority stake to private-equity firm TPG in 2016. Another private-equity firm, Thoma Bravo, bought into the deal the next year, and those owners took the company public earlier this year while maintaining strong voting control.

McAfee IPO: 5 things to know about the security-software company

McAfee priced its initial public offering at $20 a share, but has yet to close at or above that price since beginning trading in late October. Shares ended Thursday at $16.40 after a 1.2% decline, giving McAfee a market capitalization of about $7.2 billion, according to FactSet. The stock moved slightly higher in after-hours trading following the announcement.

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