Aladdin Knowledge lowers fiscal 2008 profit view

Aladdin Knowledge Systems Ltd. on Thursday said it finished its purchase of Secure Computing Corp.'s Secure SafeWord product line and adjusted its fiscal 2008 outlook to account for the impact of the purchase.

The purchase price was $65 million in cash, which included acquisition costs.

Israel-based computer security company Aladdin now expects to break even on a per-share basis or earn up to 5 cents per share. Previously, it had anticipated a profit of 36 cents to 44 cents per share.

On an adjusted basis, the company raised its earnings outlook, saying it now expects 67 cents to 77 cents per share, compared with an earlier estimate of 48 cents to 56 cents per share.

Aladdin also increased its revenue outlook. It now expects revenue of $120 million to $128 million; it had been expecting $112 million to $120 million.

The company said that it expects revenue including deferred revenue valuation adjustment related to the Safeword purchase to total $124 million to $132 million.

Analysts polled by Thomson Reuters expect a profit of 39 cents per share. The estimates generally exclude certain items.

Shares of Aladdin jumped 63 cents, or 4.9 percent, to $13.39 in premarket trading.