Have you looked into how Gen Digital (GEN) performed internationally during the quarter ending December 2025? Considering the widespread global presence of this security software maker, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.
In the modern, closely-knit global economic landscape, the capacity of a business to access foreign markets is often a key determinant of its financial well-being and growth path. Investors now place great importance on grasping the extent of a company's dependence on international markets, as it sheds light on the firm's earnings stability, its skill in leveraging various economic cycles and its broad growth potential.
Being present in international markets serves as a counterbalance to domestic economic challenges while offering chances to engage with more rapidly evolving economies. However, this kind of diversification introduces challenges like currency fluctuations, geopolitical uncertainties and varying market trends.
Our review of GEN's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.
The company's total revenue for the quarter amounted to $1.24 billion, showing rise of 25.8%. We will now explore the breakdown of GEN's overseas revenue to assess the impact of its international operations.
A Closer Look at GEN's Revenue Streams Abroad
During the quarter, EMEA contributed $263 million in revenue, making up 21.2% of the total revenue. When compared to the consensus estimate of $278.87 million, this meant a surprise of -5.69%. Looking back, EMEA contributed $257 million, or 21.1%, in the previous quarter, and $240 million, or 24.3%, in the same quarter of the previous year.
APJ accounted for 7.8% of the company's total revenue during the quarter, translating to $97 million. Revenues from this region represented a surprise of -13.83%, with Wall Street analysts collectively expecting $112.57 million. When compared to the preceding quarter and the same quarter in the previous year, APJ contributed $99 million (8.1%) and $99 million (10%) to the total revenue, respectively.
International Market Revenue Projections
It is projected by analysts on Wall Street that Gen Digital will post revenues of $1.24 billion for the ongoing fiscal quarter, an increase of 22.8% from the year-ago quarter. The expected contributions from EMEA and APJ to this revenue are 22.5%, and 9%, translating into $278.31 million, and $111.68 million, respectively.
Analysts expect the company to report a total annual revenue of $4.94 billion for the full year, marking an increase of 25.6% compared to last year. The expected revenue contributions from EMEA and APJ are projected to be 21.9% ($1.08 billion), and 8.8% ($433.25 million) of the total revenue, in that order.
Concluding Remarks
Relying on global markets for revenues presents both prospects and challenges for Gen Digital. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.
In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short-term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
The Zacks Rank, our proprietary stock rating mechanism, demonstrates a notable performance history confirmed through external audits. It effectively utilizes the power of earnings estimate revisions to act as a predictor of a stock's price performance in the near term.
At the moment, Gen Digital has a Zacks Rank #3 (Hold), signifying that its performance may align with the overall market trend in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
Examining the Latest Trends in Gen Digital's Stock Value
The stock has declined by 10.1% over the past month compared to the 0.2% fall of the Zacks S&P 500 composite. Meanwhile, the Zacks Business Services sector, which includes Gen Digital,has decreased 6.9% during this time frame. Over the past three months, the company's shares have experienced a loss of 9.2% relative to the S&P 500's 3.4% increase. Throughout this period, the sector overall has witnessed a 4.8% decrease.
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Gen Digital Inc. (GEN): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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