TREND MICRO INC S/ADR - TMICY STOCK NEWS

Trend Micro's study reveals a paradox in organizational views on cybersecurity. While 64% of business decision-makers plan to boost cybersecurity budgets in 2023, nearly half still view it as merely a cost, limiting its perceived value to threat prevention. Alarmingly, 81% acknowledge that insufficient cybersecurity credentials hinder their ability to secure new business, and 71% report inquiries about security posture have increased in negotiations. Furthermore, a significant 83% indicate current security policies negatively affect remote work capabilities. This research underscores the urgent need for a shift in perspective to recognize cybersecurity as a key enabler of business success.

Trend Micro reported a significant 55% increase in overall threat detections in 2022, along with a staggering 242% surge in blocked malicious files. The rise in threats targeted various sectors, highlighting a growing need for improved cybersecurity measures. A notable trend included an 86% increase in backdoor malware detections, reflecting threat actors' persistence. Additionally, the company recorded a record number of 1,706 Zero Day Initiative advisories in 2022. Trend Micro advocates for a platform-based approach to cybersecurity management, emphasizing the importance of asset management, cloud security, and continuous software updates to counteract an expanding attack surface.

Trend Micro has released a report revealing that only 10% of ransomware victims pay their attackers, yet these payments contribute to further attacks on numerous organizations. The report aims to aid IT leaders and policymakers by providing insights into ransomware risks, emphasizing the need for data-driven strategies. Key findings include that paying ransom increases overall incident costs and varies by sector and region. The research highlights that significantly reducing the percentage of victims paying ransoms could lower ransomware profitability.

Trend Micro Incorporated has announced the acquisition of Anlyz, a notable provider of security operations center technology. This strategic move aims to enhance Trend's orchestration and automation capabilities, allowing enterprises and Managed Security Service Providers to improve operational efficiencies and security outcomes. The deal includes intellectual property and over 40 employees, expanding Trend's engineering team and establishing a new research center in Bangalore, India. This acquisition will help streamline security processes for clients, enabling better integration and automation across their IT ecosystems.

Trend Micro Incorporated has initiated a capital allocation strategy aimed at enhancing shareholder value, fueled by excess liquidity from its history of profitable growth. The strategy includes a share buyback of up to 50Bn JPY, with 25Bn JPY set to begin immediately. The firm aims to balance cash management while maintaining dividend commitments of 70% of net operating profits. Additionally, the company is undergoing a brand refresh to solidify its position as a leading SaaS cybersecurity provider to over 400,000 enterprise clients globally. CEO Eva Chen emphasized the focus on growth amidst industry challenges through innovation and an expansive product portfolio.

On February 16, 2023, Trend Micro reported a 21% year-over-year net sales growth for Q4 and an 18% increase for FY 2022. Key financials include consolidated net sales of 61,694 million Yen (approx. $436 million), with operating income of 5,470 million Yen ($38 million) and net income of 1,350 million Yen ($9 million). The enterprise annual recurring revenue surged by 29% to over $691 million, while active SaaS subscriptions grew by 12% to over 424,000. Looking ahead, the company expects FY 2023 consolidated net sales of 248,500 million Yen (around $1,840 million) and operating income of 34,800 million Yen ($257 million).

Trend Micro announced the launch of a new Pwn2Own Automotive competition in January 2024, aimed at enhancing security in the connected vehicle ecosystem. This standalone event will take place at Automotive World Tokyo and is part of the Trend Micro Zero Day Initiative (ZDI). The Pwn2Own competition, now in its 17th year, challenges researchers to identify software vulnerabilities, furthering automotive research and incentivizing complex threat discovery. With past participation from Tesla, the event is set to spotlight critical automotive technologies requiring evaluation, striving to improve overall cybersecurity in the automotive sector.

Trend Micro, a global cybersecurity leader, recently conducted its eighth annual "Building a Future" service project in Orlando, where over 2,000 employees volunteered nearly 8,000 hours and contributed $60,000 in supplies to benefit around 2,500 students. The initiative took place across several local elementary schools, providing resources like books and educational materials.

Trend Micro's ongoing commitment to corporate social responsibility extends beyond this event, with employees having volunteered over 30,000 hours previously, totaling $2.3 million in donations. They focus on fostering educational environments and promoting online safety for kids and families worldwide.

Trend Micro has launched CTOne, a new subsidiary dedicated to enhancing 5G network security. With a focus on innovative cybersecurity solutions, CTOne aims to address emerging threats in private 5G environments. The global private 5G market was valued at USD 1.38 billion in 2021, expected to grow at a CAGR of 49%. The company highlights the importance of pre-deploying security measures to build resilience against cyberattacks. CTOne plans to develop solutions for O-RAN and edge computing to further mitigate cyber risks.