Adobe posted better-than-expected Q1 earnings

By: Miguel A. Rodriguez

09:45, 14 September 2020

Adobe is the third piece in the tech triad that flourished during the pandemic.

As the pandemic pushed the world to work from home, tech companies benefited. Alongside Zoom, Microsoft Teams, and others, Adobe Inc. was pushed higher by the need to use digital documents, which later translated in numbers.

The company released its financial report, and the revenue rose to $3.13 billion from last year’s $2.74 billion. The reported net income was $1.1 billion. The adjusted EPS was $2.45 up from $1.83 the same time the previous year.

Annual recurring revenue (ARR) - a software service metric showed a subscription-based revenue of $9.17 billion. The consensus was $9.11 billion.

For the next quarter, Adobe expects revenues of $3.15 billion, with an adjusted EPS of $2.40. Analysts expect an EPS of $2.46 and $3.26 billion in revenue.  

Yesterday, they announced the launch of a new app – Photoshop Camera – which consists of elaborate filters that can change people's faces and the world, as well.  The app can be downloaded both for iOS and Android. The app was teased initially in November. 

Initially, during yesterday’s regular trading session, the stock price fell 4.7%, but it managed to recover 4.4% during after-hours. This year, the stock price increased by 18%, while USA500 lost 7%. TECH100 rose by 6%.  

The financial field is full of news! Read them all on!


Share this article

The information presented herein is prepared by and does not intend to constitute Investment Advice. The information herein is provided as a general marketing communication for information purposes only and as such it has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and it is not subject to any prohibition on dealing ahead of the dissemination of investment research.                                                                                                                            Users/readers should not rely solely on the information presented herewith and should do their own research/analysis by also reading the actual underlying research. The content herewith is generic and does not take into consideration individual personal circumstances, investment experience, or current financial situation.Therefore, Key Way Investments Ltd shall not accept any responsibility for any losses of traders due to the use and the content of the information presented herein. Past performance and forecasts are not reliable indicators of future results.