“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.”
Adobe Transforms Personalization With Artificial Intelligence
Today’s most successful brands already use data science to personalize experiences and address customer needs. Brands are increasingly building internal statistical models and algorithms to tailor experiences and yet most are not fully leveraging artificial intelligence (AI) technology. markets.siliconinvestor.com
Adobe achieved record quarterly revenue of $1.84 billion in its third quarter of fiscal year 2017, which represents 26 percent year-over-year revenue growth. Diluted earnings per share was $0.84 on a GAAP-basis, and $1.10 on a non-GAAP basis. Digital Media segment revenue was $1.27 billion, with Creative revenue growing to $1.06 billion. Digital Media Annualized Recurring Revenue (“ARR”) grew to $4.87 billion exiting the quarter, a quarter-over-quarter increase of $308 million. Adobe Experience Cloud achieved revenue of $508 million, which represents 26 percent year-over-year growth. Operating income grew 48 percent and net income grew 55 percent year-over-year on a GAAP-basis; operating income grew 43 percent and net income grew 46 percent year-over-year on a non-GAAP basis. Cash flow from operations was $704 million, and deferred revenue grew to approximately $2.20 billion. The company repurchased approximately 2.1 million shares during the quarter, returning $298 million of cash to stockholders.