News

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.

Featured

  • The 2020 Microsoft Product Roadmap

    From the next major update to Windows 10 to the next generations of .NET and PowerShell, here's what's on tap from Microsoft this year.

  • 2020 Microsoft Conference Calendar: For Partners, IT Pros and Developers

    Here's your guide to all the IT training sessions, partner meet-ups and annual Microsoft conferences you won't want to miss. (Now updated with COVID-19-related event changes.)

  • Microsoft Closing Most of Its Retail Stores

    Microsoft on Friday announced a major shift in its retail operations, with plans to close most of its physical Microsoft Store outlets in favor of online sales.

  • Matrix

    Microsoft, Harvard Describe Joint Privacy Initiative

    To facilitate data sharing while still preserving data privacy, Microsoft and Harvard have embarked on a set of open source tool called the "OpenDP Initiative."

RCP Update

Sign up for our newsletter.

Terms and Privacy Policy consent

I agree to this site's Privacy Policy.