Webroot Continues Business Momentum in First Fiscal Quarter

Double-Digit Revenue Growth, Expansion of Channel and OEM Partnerships, and New Security Intelligence Services Contribute to Company's Success

Broomfield, CO - November 20, 2013

Webroot, a leader in cloud-based security intelligence solutions, today announced business highlights of its first fiscal quarter, which ended September 30, 2013. Among the achievements for the quarter were continued revenue growth across all customer segments; the addition of several hundred new business customers; growth in the channel, especially with managed service providers (MSP); and several significant new OEM partnerships. The company also introduced two new security intelligence services during the quarter.

Sales results for the quarter showed strong year-over-year growth for Webroot SecureAnywhere® software-as-a-service (SaaS) solutions and security intelligence services across all of the company's target markets. Revenue for these solutions grew 49 percent in the consumer segment, 48 percent in the small and medium business (SMB) segment and 31 percent in the OEM segment compared to the first fiscal quarter of 2012.

Webroot’s channel programs showed excellent momentum, especially within the MSP segment, adding 57 new partners in the quarter. MSPs such as Computergate Australia, Marathon Consulting, Symmetric Engineering Group, The Infinite Group, and Vantage Point Solutions adopted Webroot SecureAnywhere solutions based on their superior protection and manageability.

The company also bolstered its worldwide network of OEM partners, who are utilizing Webroot’s cloud-based security intelligence to increase the security of their own products and services. Among the newest partners are gateprotect, a Germany-based provider of Unified Threat Management technology; NetCitadel, a pioneer in innovative security incident response; and Bandura, a wholly owned subsidiary of TechGuard Security, who provides critical infrastructure protection to the Department of Defense, Homeland Security, and other Federal agencies.

“Our first quarter results reflect the strength of our innovative cloud-based security platform, and our own focused execution,” said Dick Williams, Webroot CEO. “Our progress in the first quarter and our ability to execute on our operational plan has set the foundation for the rest of our fiscal 2014. We will also have several significant announcements in the coming months which we expect to be catalysts for additional growth going forward.”

Webroot’s first quarter growth was also driven by the introduction of two new security intelligence services. The Webroot® Real-Time Anti-Phishing Service identifies phishing sites much more quickly than traditional blacklisting by collecting and processing hundreds of attributes of a website in real time to determine its threat profile. The Webroot® Mobile App Reputation Service helps mobile device management providers block malicious apps by providing reputation data on over 5 million mobile apps.

The company also announced several key promotions and additions to its executive team during the quarter. John Post, formerly vice president of finance, has been appointed chief financial officer, Jeff Santelices, formerly vice president of sales, was named senior vice president of worldwide field operations, and Melanie Williams, formerly senior director of human relations, has been named vice president of human relations.

In addition, Scott Merkle joined the company as vice president of enterprise and OEM sales. Merkle was previously senior vice president of business development for BrightPoint, a $5 billion provider of mobility lifecycle products and services. Mark Milatovich also joined Webroot as vice president of information security and chief information security officer (CISO). Milatovich was formerly CISO for Silver Spring Networks, a leading networking platform and solutions provider for smart energy networks.


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