Adobe's 2Q Profit Surges 24 Percent
Adobe Systems Inc. reported a 24 percent surge in second-quarter profit Thursday, setting a record in revenue and exceeding Wall Street expectations as the software company embarked on its biggest-ever product launch.
Net income for the three months ending June 1 was $152.5 million, or 25 cents a share, up from $123.1 million, or 20 cents a share, in the same quarter of last year.
Second-quarter sales were a record $745.6 million, up 17 percent from $635.5 million in the second quarter of 2006. The company's press release did not specify the previous record.
Excluding costs for expenses, such as restructuring charges related to the December 2005 acquisition of Macromedia Inc., profit was $223.2 million, or 37 cents per share, compared with $189.4 million, or 31 cents per share, in the year-ago quarter.
On that basis, analysts were expecting Adobe to earn $216.6 million, or 35 cents per share, on revenue of $729.3 million, according to a Thomson Financial survey.
Shares jumped 15 cents to $43.96 in trading Thursday before the financial report, then lost 11 cents in after-hours trading.
The San Jose-based company, which employs 6,100 people and makes graphic design, publishing and imaging software, has $902 million in cash and more than $6.14 billion in total assets.