Symantec Refocused USE OF GAAP AND NON-GAAP FINANCIAL INFORMATION Our results of operations have undergone significant change due to the impact of litigation accruals, stock-based compensation, restructuring, transition and separation matters, charges related to the amortization of intangible assets, and certain other income and expense items that management considers unrelated to the Company s core operations. To help our readers understand our past financial performance and our future results, we supplement the financial results that we provide in accordance with generally accepted accounting principles, or GAAP, with non-gaap financial measures. The method we use to produce non-gaap results is not computed according to GAAP and may differ from the methods used by other companies. Non-GAAP financial measures are supplemental, should not be considered a substitute for financial information presented in accordance with GAAP and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management team uses these non-gaap financial measures in assessing the Company s operating results, as well as when planning, forecasting and analyzing future periods. Investors are encouraged to review the reconciliation of our non-gaap financial measures to the comparable GAAP results, which is attached to our quarterly earnings release and which can be found, along with other financial information, on the investor relations page of our website at: www.symantec.com/invest. 2 1
FORWARD LOOKING STATEMENTS This presentation contains statements which may be considered forward-looking within the meaning of the U.S. federal securities laws, including statements regarding the use of proceeds from the sale of Veritas, including statements regarding the capital allocation program, including the ASR and special dividend; statements regarding the strategic investment of Silver Lake Partners; statements regarding the growth prospects of our security business; and statements with respect to our continuation of our current dividend. These statements are subject to known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from results expressed or implied in this press release. Such risk factors include those related to: general economic conditions; fluctuations and volatility in Symantec s stock price; the ability of Symantec to successfully execute strategic plans, including acquisitions or strategic transactions; maintaining customer and partner relationships; fluctuations in tax rates and currency exchange rates; the timing and market acceptance of new product releases and upgrades; and the successful development of new products, and the degree to which these products and businesses gain market acceptance. Actual results may differ materially from those contained in the forward-looking statements in this press release. We assume no obligation, and do not intend, to update these forward-looking statements as a result of future events or developments. Additional information concerning these and other risks factors is contained in the Risk Factors section of our Form 10-K for the year ended April 3, 2015. Any information regarding pre-release of Symantec offerings, future updates or other planned modifications is subject to ongoing evaluation by Symantec and therefore subject to change. This information is provided without warranty of any kind, express or implied. Customers who purchase Symantec offerings should make their purchase decision based upon features that are currently available. We assume no obligation to update any forward looking information contained in this presentation. 3 THE GLOBAL LEADER IN CYBERSECURITY Operating one of the world s largest cyber intelligence networks, we see more threats, and protect more customers from the next generation of attacks. We help companies, governments and individuals secure their most important data wherever it lives. 4 2
THREAT LANDSCAPE MORE CHALLENGING THAN EVER Consumers Need Reassurance They Are Safe Online Enterprises Are Not Ready For Tomorrow s Threats Data Is The New Perimeter Never Have Enough Time or Resources Online customers don t know if they can trust e-commerce websites Don t have visibility into attacks on brand Advanced attacks are lost in a mass of less important alerts Average attack goes undetected for 170 days Just 31% of breaches are found by the victim organization the rest are found by a third party, law enforcement, etc. With 65% of workloads in the cloud (Amazon Web Services, Salesforce, Box, Office 365), more of your data is at risk Data is increasingly accessed from outside the firewall Organizations don t know how they are doing or where to focus 96% of alerts never reviewed Hard to hire the right security talent 5 Q3 HIGHLIGHTS Consumer Enterprise Ahead of plan 56% operating margin 1% revenue growth for the 3 rd consecutive quarter +3% revenue growth New on-line acquisition grew 8% y/y Launched ATP: Endpoint, Email, and Network Norton Shopping Guarantee offering increases customer confidence 6 3
SYMANTEC AT A GLANCE Consumer FY15 Non-GAAP Revenue FY16 Q3 Revenue FY16 Q3 Non- GAAP Operating Margin $1,917 414 56% % Y/Y (CC) (5%) (6%) Enterprise $2,069 495 5% % Y/Y (CC) (1%) 1% Total Revenue $3,986 909 28% % Y/Y (CC) (3%) (2%) Enterprise (FY16 YTD) Threat Protection Information Protection Website Cyber Services 7 Q3 FY16 FINANCIAL SUMMARY Q3 FY16 operating margin and EPS exceeded guidance Revenue was above midpoint of guidance range Operating margin and EPS exceeded guidance Excluding TSAs, operating margin would have been 200 basis points higher Non-GAAP in $M Guidance Actuals Yr/Yr (FX Neutral) Total Revenue $890 - $920 $909 (2%) Operating Margin 25.5% - 27.5% 27.9% N/A EPS ( /share) 22-25 26 N/A 8 4
FOCUSED ON FOUR PRIORITIES 1 Realizing our Unified Strategy 2 Building our Enterprise Sales Pipeline/GTM 3 Improving our Cost Structure 4 Efficiently Allocate Capital 9 REALIZING OUR UNIFIED SECURITY STRATEGY Users CYBER SECURITY SERVICES Monitoring Incident Response Simulation Adversary Threat Intelligence Data Apps Cloud THREAT PROTECTION Endpoints Data Center Gateway Threat Prevention, Detection, Forensics & Resolution Device, Email, Server, Virtual & Cloud Workloads Available On-premise and in the Cloud INFORMATION PROTECTION Data Access Identity and Data Loss Protection Cloud-based Key Management Cloud Broker Network Devices UNIFIED SECURITY ANALYTICS PLATFORM Telemetry Threat Analytics Global Intelligence Protection Engines Incident Management Big data security analytics; available to customers in self-service mode Data Center 10 5
NORTON GROWTH DRIVERS Benefit from modest PC security market growth Increasing threat activity drives new users TelCo / Mobile growing success in an increasingly multi-device world Well-positioned for growth in the Consumer IoT market 11 NORTON WELL-POSITIONED IN THE CONSUMER SECURITY MARKET WW Consumer Norton Competitive Advantage Total Market Size $5.1B CY15 CAGR +2.4% Source: IDC and Company data $5.4B CY18 Revenue Market Share CY14 4% ESET 5% AVG 9% Trend Micro 15% Others 10% Kaspersky 15% McAfee 42% Norton Unrivaled Protection 63M devices, 4M SMBs, 6.8M mobile devices protected 2.4T attacks blocked, 540M searches protected each year Leveraging Intelligence of Combined Enterprise & Consumer Network 175M endpoints, 57M attack sensors, 157 countries Premium Brand 99% aided awareness in US Best-in-class unaided awareness in all top markets Technology Leadership Most awards for performance and innovation 34x PCMag Editors Choice winner 12 6
CONSUMER MOBILE SECURITY TAM SMALL BUT GROWING WW Consumer Mobile Mobile Growth Opportunities Total Market Size $249M +15% $217M CY15 CY16 Source: IDC and Company data Paid Share 85% Paid for 15% Free Robust Protection Through Norton Mobile Insight 15M Android Apps in database, in 200 App Stores 3M Malicious Apps identified, another 9M with intrusive behavior Norton Mobile Strategies Part of Norton multi device value prop Introduce customers to Norton Service Stand alone revenue from Premium Provides telemetry and insights to Enterprise 13 ENTERPRISE SECURITY GROWTH DRIVERS Addressable Market Size Key Growth Areas ($ in billions) Enterprise (FY16 YTD) Threat Protection +50% TAM 11.7 CY15 6.9 13.8 CY18 Threat Protection +35% TAM 1.5 3.2 4.3 3.9 CY15 CY18 Information Protection Expanded Current +50% TAM CY15 3.6 6.5 CY18 Cyber Services Threat Protection Information Protection Website Cyber Services Renaissance underway in Endpoint to upgrade devices with next generation functionality Information Protection Move to cloud requires increase need for data loss protection and user authentication Cyber Services Lack of qualified security professionals and complexity of ever changing threat environment requires outsourcing security monitoring and response Analytics Offerings Leverage big data analytics for detecting and remediating targeted attacks and zero day vulnerabilities Source: IDC, Gartner, and Company data 14 7
SYMANTEC NEXT GEN ENDPOINT PROTECTION (SEP) The most robust platform of next generation engines that combine to deliver proactive protection from advanced attacks Vantage Intrusion Prevention SAPE Machine Learning Insight SONAR Behavioral Detection Exploit Protection SymClass MutantX NETWORK FILE ATTRIBUTES RELATIONSHIP BEHAVIORS HARDENING AUTOMATION CLUSTERING Blocks attacks by scanning network application layer traffic in real time Static Attribute Protection Engine (SAPE) blocks malware using advanced signatureless technology Uses the wisdom of the crowd and artificial intelligence to block 99% of advanced attacks Advanced machine learning watches programs and immediately blocks abnormal behaviors Blocks all zero day exploits Safely processes over 1M indicators of compromise (IOCs)/ day Identifies key attributes, clusters malware into families * AV TEST- Annual Best Protection Award, February 2016 Symantec scored 100% for protection against zero-day attacks AV-Comparatives/MRG Effitas Test February 2016 Symantec Endpoint Protection blocked 100% of in-the-wild malware attacks with no false positives Dennis Technology Labs, December 2015 The most accurate appliance was Symantec ATP Miercom, Dec 2015 Symantec ATP scored 100% against advanced evasive techniques 15 SYMANTEC ADVANCED THREAT PROTECTION Large and sticky Endpoint and Email install base offers ATP upsell opportunity ADVANCED THREAT PROTECTION ATP is an upsell opportunity into endpoint and email security install base Global Intelligence Exported Data 370k customers representing 110 million endpoint security devices 45K email customers representing 15.4M end users Advanced Threat Protection Current ASP for endpoint security is mid single digits Detect Prioritize Investigate Remediate Upsell opportunity is $15-$25 per endpoint Competitors charging upwards of $40 per endpoint per module $2b ATP up-sell opportunity over 3-5 years Endpoint Network Email 3 rd party 16 8
INFORMATION PROTECTION Our Information Protection portfolio keeps data protected while keeping employees productive Data Loss Prevention Track and secure confidential data Discover, monitor, and protect confidential information wherever it s stored and however it s used on mobile devices, within data centers, or in the cloud Encryption Encrypt your data in case it falls into the wrong hands Full-disk and removable media encryption for endpoints, email encryption secures sensitive communications, and file share encryption protects files on shared network drives and in the cloud Identity Access Manager Give access only to users who need it Single Sign-on (SSO) with strong authentication, access control, and user management, to control who accesses internal and 3rd-party cloud-based applications Validation and ID Protection (VIP) Strong authentication made easy Two-factor and risk-based tokenless authentication prevents unauthorized access to sensitive networks and applications 17 CYBERSECURITY SERVICES Rely on our 1,000+ Cyber Warriors, around the clock, around the world Threat Intelligence Services Managed Services Incident Response Simulation Services Actionable insights Receive proactive notifications of evolving attack vectors and techniques DeepSight Intelligence keeps customers informed of vulnerabilities and threats to their organization Extend customers security program with our experts 24/7 monitoring of customers entire security infrastructure Monitors every major security product on the market Respond with speed and precision Readiness Services help assess, test, and refine response program Incident Response Services provides remote and on-site investigation to help contain attacks, understand their full scope, and ensure that all components have been eradicated Prepare for what s next Strengthen employee cyber-readiness through security education and simulation exercises Identify key risks employees are facing and build a comprehensive program to assess and improve security awareness Leader in Gartner Magic Quadrant for Managed Services 18 9
WEBSITE SECURITY Protect online business - always SSL/TLS Certificates Website Code Signing Norton Shopping Guarantee Protect online business always Ensure that traffic to and from websites cannot be compromised by attackers Secure websites, data, and applications 24/7 Assure up-to-the-minute visibility into any potential security weaknesses in your website Deliver trust with every download Protect the integrity of software, ensure that customers only run untampered versions of software Increase sales with the Norton Shopping Guarantee Drive more online sales with increased customer confidence 19 CAPITAL ALLOCATION On February 4 th, announced board increased capital return program to $5.5 billion plans to return all the after-tax cash proceeds from the Veritas transaction to shareholders $500 million ASR completed in January 2016 Paid a $4/share special dividend equaling $2.7 billion on March 22 nd $2.3 billion in share repurchases by March 2017 Of which, $1 billion ASR launched on March 22 nd Quarterly dividend of 7.5 /share with a commitment to increasing this dividend as free cash flow grows over time Announced that Silver Lake Partners has made a $500 million strategic investment in Symantec through a convertible senior note 20 10
CONTACT INVESTOR RELATIONS Jonathan Doros (650) 527-5523 Jonathan_Doros@symantec.com Nate Pollack (650) 527-7906 Nate_Pollack@symantec.com 21 11