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Max Kiesler via flickr
Adobe’s net profits in the first half of fiscal year 2015-2016, which for the company ended on 3 June, in annual terms increased by 2.1 times and amounted to $ 498,381,000, according to the company's statements.
Diluted earnings per share for the period amounted to $ 0.99 versus $ 0.46 a year earlier. Adobe's revenue for the six months increased by 22.5% to $ 2.7 billion.
Adobe's revenue on an annualized basis rose by 20%, reaching a record $ 1.4 billion, matching Wall Street forecasts. This is largely due to increase in number of subscribers to Creative Cloud, which include applications such as Photoshop, Dreamweaver, After Effects, and so on.
The company’s quarterly revenue rose to $ 1.4 billion, which is 20.4% more than in the same period a year ago.
Quarterly net income rose year on year by 1.7 times, reaching $ 244 million. Diluted earnings for the quarter rose to $ 0.48 from $ 0.29 in the same period a year earlier. Excluding one-time items, the company earned a balance of $ 0, 71 per share. Analysts had expected a figure of $ 0.68 per share.
In II financial quarter, Adobe sold subscriptions for $ 1.08 billion, compared to $ 774 million dollars a year earlier. Sales of packaged products decreased by 28% to $ 196.5 million. All sorts of services and support services brought a quarterly revenue of $ 118.5 million to the vendor.
According to Adobe's forecast, total revenue in the III quarter will range at $ 1,42-1,47 billion, which marks a growth in annual terms by 16-20%. The forecast turned out to be much worse than analysts' expectations, who were waiting for a growth rate to $ 1.47 billion.
Wall Street analysts are predicting that the company's revenue will increase by 19-22% over the next four quarters.
Once the financial results and forecast were published, shares of Adobe fell by 4.1%.
Earlier in 2015, disagreements with the Chinese Government forced the corporation to close an office in China, thus continuing the trend of US brand leaving the market. At that, the company also announced final rejection of Flash and full transition to standard HTML 5. In the same year, the company got cracking on introduction of a subscriptions system, which led to an increase in profits by almost four times, proving advantages of this innovation.
Quite recently, the brand has faced shrinking profits. The company tried to get out of the situation after its own fashion - through innovation in software and work with clients. Given Adobe’s reputation, many analysts believe that the corporation will finally able to stabilize its position.
At the moment, Adobe Systems is one of the software market’s leaders. Despite the fact that it had gone through several crises, the company was able to maintain its position. The reason for this is quality of the company’s software and ingenuity to acquire suitable companies, which technologies allows Adobe to maintain a competitive advantage, and make the company able to survive any changes in the market.
source: reuters.com
Diluted earnings per share for the period amounted to $ 0.99 versus $ 0.46 a year earlier. Adobe's revenue for the six months increased by 22.5% to $ 2.7 billion.
Adobe's revenue on an annualized basis rose by 20%, reaching a record $ 1.4 billion, matching Wall Street forecasts. This is largely due to increase in number of subscribers to Creative Cloud, which include applications such as Photoshop, Dreamweaver, After Effects, and so on.
The company’s quarterly revenue rose to $ 1.4 billion, which is 20.4% more than in the same period a year ago.
Quarterly net income rose year on year by 1.7 times, reaching $ 244 million. Diluted earnings for the quarter rose to $ 0.48 from $ 0.29 in the same period a year earlier. Excluding one-time items, the company earned a balance of $ 0, 71 per share. Analysts had expected a figure of $ 0.68 per share.
In II financial quarter, Adobe sold subscriptions for $ 1.08 billion, compared to $ 774 million dollars a year earlier. Sales of packaged products decreased by 28% to $ 196.5 million. All sorts of services and support services brought a quarterly revenue of $ 118.5 million to the vendor.
According to Adobe's forecast, total revenue in the III quarter will range at $ 1,42-1,47 billion, which marks a growth in annual terms by 16-20%. The forecast turned out to be much worse than analysts' expectations, who were waiting for a growth rate to $ 1.47 billion.
Wall Street analysts are predicting that the company's revenue will increase by 19-22% over the next four quarters.
Once the financial results and forecast were published, shares of Adobe fell by 4.1%.
Earlier in 2015, disagreements with the Chinese Government forced the corporation to close an office in China, thus continuing the trend of US brand leaving the market. At that, the company also announced final rejection of Flash and full transition to standard HTML 5. In the same year, the company got cracking on introduction of a subscriptions system, which led to an increase in profits by almost four times, proving advantages of this innovation.
Quite recently, the brand has faced shrinking profits. The company tried to get out of the situation after its own fashion - through innovation in software and work with clients. Given Adobe’s reputation, many analysts believe that the corporation will finally able to stabilize its position.
At the moment, Adobe Systems is one of the software market’s leaders. Despite the fact that it had gone through several crises, the company was able to maintain its position. The reason for this is quality of the company’s software and ingenuity to acquire suitable companies, which technologies allows Adobe to maintain a competitive advantage, and make the company able to survive any changes in the market.
source: reuters.com
