Adobe Reports Strong Quarterly Performance
Adobe’s shares saw a significant increase of 17% in after-hours trading following the release of their latest earnings report. The design software company exceeded expectations with an adjusted earnings per share of $4.48 compared to the expected $4.39, and revenue of $5.31 billion versus the anticipated $5.29 billion.
The company reported a 10% year-over-year revenue growth for the quarter ending May 31, showing positive momentum in their business. For the upcoming third fiscal quarter, Adobe is forecasting adjusted earnings per share between $4.50 and $4.55, with revenue ranging from $5.33 billion to $5.38 billion.
Analysts surveyed by LSEG had slightly lower expectations, with projected adjusted earnings per share of $4.48 and revenue of $5.4 billion. Adobe’s annual recurring revenue for digital media, which includes Creative Cloud subscriptions, exceeded forecasts at $487 million, surpassing StreetAccount’s consensus of $437.4 million.
