Adobe Achieves Record Revenue in 2Q 2017

From Adobe:

SAN JOSE, Calif. – Adobe (Nasdaq:ADBE) today reported financial results for its second quarter fiscal year 2017 ended June 2, 2017.

Financial Highlights

• Adobe achieved record quarterly revenue of $1.77 billion in its second quarter of fiscal year 2017.
• Diluted earnings per share was $0.75 on a GAAP-basis, and $1.02 on a non-GAAP basis.
• Digital Media segment revenue was $1.21 billion, with Creative revenue growing to a record $1.01 billion.
• Strong Creative Cloud and Document Cloud adoption and retention drove Digital Media Annualized Recurring Revenue (“ARR”) to $4.56 billion exiting the quarter, a quarter-over-quarter increase of $312 million.
• Adobe Experience Cloud achieved record revenue of $495 million, which represents 29 percent year-over-year growth.
• Operating income grew 46 percent and net income grew 53 percent year-over-year on a GAAP-basis; operating income grew 42 percent and net income grew 43 percent year-over-year on a non-GAAP basis.
• Cash flow from operations was $645 million, and deferred revenue grew to approximately $2.07 billion.
• The company repurchased approximately 2 million shares during the quarter, returning $266 million of cash to stockholders.

A reconciliation between GAAP and non-GAAP results is provided at the end of this press release and on Adobe’s website.

Executive Quotes

“Digital transformation continues to be the burning agenda for creative professionals, enterprises, governments and educational institutions,” said Shantanu Narayen, president and CEO, Adobe. “Adobe is the go-to company for creating world-class digital customer journeys from design to delivery to measurement and monetization.”

“Adobe continues to execute well, with another quarter of record revenue and operating profit in Q2," said Mark Garrett, executive vice president and CFO, Adobe. “We're excited about the strong business momentum we have as we enter the second half of fiscal 2017 and remain confident in our ability to drive strong revenue and earnings growth in the future.”

B&H carries Adobe Photography Plan subscriptions.