Boston, MA 02/12/2013 (wallstreetpr) – Growth in sales of Radware Ltd.(NASDAQ:RDWR); the Israeli company providing security software to banks, may finally see an upward trend with increasing cyber crimes against the U.S. financial institutions such as Bank of America Corp.(NYSE:BAC) and JP Morgan Chase & Co.(NYSE:JPM)
The company’s Chief Executive Officer, Roy Zisapel said, “Banks and the financial sector are looking for the carriers to provide some kind of protection for them. That’s where the opportunity is for us in the coming years.”
Economic growth of the company in Europe; the second-largest market; hit a decline. Consequently, the revenue earnings have also dropped by a figure of 34%. However, more recently the company has been receiving more contracts as financial institutions face increased threat of cyber attacks.
Zisapel added, “Bank of America has a lot of security tools in their infrastructure, and still they’re going down. That’s the challenge, and that’s where we’re unique.”
Over the past three quarters, revenue earnings of Radware have fallen behind the analysts’ estimates. However, sensing positive growth ahead, Zisapel said that rapid growth in Europe, Middle East and Africa in addition to increased growth in the U.S. was likely to give a boost to the sales figures.
Recently, E-commerce applications developer Strangeloop Networks was purchased by Radware for $8.4 million. This move is aimed to increase the response-time of web-sites. Stressing that growth is the path to be adopted and not the take-over of the company, Zisapel said that any offer to buy the company is first referred to the board of directors. He also said that in his views as a “private shareholder” a 10% to 30% premium does not make much sense. “Maybe the board will approve, but I would vote against”.
Radware Ltd.(NASDAQ:RDWR) shares were up by 1.02% and currently trading at $35.72. Bank of America Corp.(NYSE:BAC) shares were up by 2.61% and currently trading at $12.17. JP Morgan Chase & Co.(NYSE:JPM) shares were up by 1.11% and currently trading at $49.20.