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Adobe Systems Incorporated (ADBE)

  • Dec. 11, 2014, 4:20 PM
    • Along with its FQ4 beat, Adobe (NASDAQ:ADBE) announces it's buying Fotolia, a top marketplace for royalty-free photos and videos, for $800M in cash. The deal is expected to close in Q1 2015.
    • Fotolia, which competes against the likes of Shutterstock (NYSE:SSTK) and Getty Images, claims to offer 34M+ photos and videos for sale. Naturally, Adobe plans to integrate Fotolia with Creative Cloud, and offer its services to the Creative Cloud base.
    • The purchase follows Adobe's 2012 acquisition of digital artwork/portfolio-sharing site Behance, reportedly for ~$150M. More recently, Adobe launched a curated marketplace for Creative Cloud content (icons, vector graphics, etc.).
    • ADBE +5% AH.
    | Dec. 11, 2014, 4:20 PM | Comment!
  • Dec. 11, 2014, 4:06 PM
    • Adobe Systems (NASDAQ:ADBE): FQ4 EPS of $0.36 beats by $0.06.
    • Revenue of $1.07B (+2.9% Y/Y) beats by $10M.
    • Shares +0.75% AH.
    • Press Release
    | Dec. 11, 2014, 4:06 PM | Comment!
  • Dec. 10, 2014, 5:35 PM
  • Oct. 6, 2014, 7:36 PM
    • Adobe (NASDAQ:ADBE) has used an analyst briefing at its MAX user conference to provide new long-term financial targets (.pdf). The media software giant is aiming for FY15 (ends Nov. '15) EPS of $2.00 (below a $2.07 consensus), and FY16 EPS of greater than $3.00.
    • With Adobe having absorbed most of the near-term revenue hit from its transition to a cloud/subscription model for Creative Suite, the company expects to post a 20% revenue CAGR from FY14-FY16. Digital Media and Marketing Cloud are respectively expected to see 20% and 25% revenue CAGR, and Marketing Cloud a 30% bookings CAGR.
    • The company still expects to end FY14 with 3.3M paid Creative Cloud subs, up from 1.44M at the end of FY13. 60% of Digital Media revenue is expected to be recurring, up from 36% a year earlier.
    • 30%+ Marketing Cloud bookings growth is expected in FY14. $1M+ contracts have grown 84% Y/Y over the first three quarters.
    • Adobe is using MAX to launch a set of new and rebranded mobile apps for Creative Cloud subs. Among them: Photoshop Sketch, Photoshop Mix, Illustrator Line, Brush, Shape, and Premiere Clip. Clip is Adobe's first iOS video-editing app.
    • Also unveiled: New PC Creative Cloud tools (inc. 3D printing features and Win. 8 touch support), the Creative Cloud Market content library (free to CC subs), and a public beta for the mobile Creative SDK.
    | Oct. 6, 2014, 7:36 PM | 1 Comment
  • Sep. 24, 2014, 9:39 AM
    • With the Chinese government showing growing hostility towards U.S. tech companies (Microsoft and Qualcomm are two prominent examples), Adobe (NASDAQ:ADBE) has decided to shutter its Chinese R&D ops. The company's sales offices within the country will remain open.
    • A source tells Reuters layoffs have begun, and will affect ~300 employees. The source also says Adobe's decision was affected by widespread piracy within China, and the company's transition to a subscription/cloud business model from up-front licenses.
    • Adobe stopped releasing new versions of Creative Suite (sold through up-front licenses) last year to focus on Creative Cloud subscriptions, a move that was partly seen as an effort to combat piracy. The company's Asian sales fell 25% Y/Y in the August quarter to $148.2M.
    | Sep. 24, 2014, 9:39 AM | Comment!
  • Sep. 22, 2014, 4:33 PM
    • Aviary provides an SDK used by many mobile developers to quickly add photo-editing capabilities to their apps - a basic SDK is provided for free, while premium versions go for $120-$275/month.
    • The startup also provides ad services - brands can offer custom photo filters and stickers - and has developed popular photo-editing apps of its own (100M+ downloads are claimed).
    • Adobe (NASDAQ:ADBE) hasn't provided an acquisition price. The media software giant says Aviary's SDK will be used to strengthen an upcoming Creative SDK for Adobe's Creative Cloud apps. The Creative SDK will provide 3rd-party mobile developers access to a variety of image-editing APIs previously available only to Adobe engineers, presumably with the goal of creating a stronger ecosystem for Adobe's PC apps.
    • Blog posts: Adobe, Aviary
    | Sep. 22, 2014, 4:33 PM | Comment!
  • Sep. 17, 2014, 10:08 AM
    • BofA/Merrill Lynch analyst Kash Rangan is out in defense of Adobe (ADBE -3.8%), reiterating his Buy rating and $80 target and saying the selloff following disappointing revenue guidance is an overreaction, noting that creative cloud subscriptions hit 502K in FQ3 and implies a better than expected H2 number.
    • The analyst explains the shift of revenue, as a greater than expected percentage of marketing cloud bookings is falling under multi-year subscription agreements with ratable revenue recognition vs. an upfront perpetual license.
    • Bookings appear to be solid, Rangan says, with a 40% increase in the number of customers signing deals greater than $500K.
    • Also, ADBE maintained its FY 2014-16 goal of 25% revenue compound annual growth rate for marketing cloud, driven by a strong on- and off-balance sheet backlog.
    | Sep. 17, 2014, 10:08 AM | Comment!
  • Sep. 16, 2014, 5:35 PM
    | Sep. 16, 2014, 5:35 PM | Comment!
  • Sep. 16, 2014, 4:23 PM
    | Sep. 16, 2014, 4:23 PM | Comment!
  • Sep. 16, 2014, 4:03 PM
    • Adobe Systems (NASDAQ:ADBE): FQ3 EPS of $0.28 beats by $0.02.
    • Revenue of $1B (+0.5% Y/Y) misses by $20M.
    • Shares -4.57% AH.
    • Press Release
    | Sep. 16, 2014, 4:03 PM | Comment!
  • Sep. 15, 2014, 5:35 PM
  • Sep. 5, 2014, 4:06 AM
    • Apple (NASDAQ:AAPL) is adding new security features to iCloud, following the posting of celebrity photographs on the Internet from hacked accounts.
    • A new layer of notifications will alert users if an effort is made to change a password, log in from a new device or restore files.
    • The company will also add additional password protection by sending an extra code to a person’s mobile phone after a password is entered.
    • Meanwhile, Apple, Google (GOOG, GOOGL), Intel (NASDAQ:INTC) and Adobe (NASDAQ:ADBE) have appealed the rejection of a proposed $324.5M settlement over a lawsuit which accused the four tech companies of limiting competition by conspiring not to hire each others' workers.
    | Sep. 5, 2014, 4:06 AM | 13 Comments
  • Jun. 18, 2014, 9:12 AM
    | Jun. 18, 2014, 9:12 AM | Comment!
  • Jun. 17, 2014, 5:35 PM
    | Jun. 17, 2014, 5:35 PM | Comment!
  • Jun. 17, 2014, 4:47 PM
    • Adobe (ADBE) added 464K Creative Cloud subs in FQ2, up from 405K in FQ1 and 402K in FQ4; the base is now at 2.308M. The company now expects to end FY14 (ends in November) with 3.3M CC subs, up from a prior 3M.
    • Marketing Cloud (ad tech) revenue +23% Y/Y in FQ2 to $283M, after growing 24% in FQ1. Adobe still expects at least 20% Marketing Cloud rev. growth and 30% bookings growth in FY14. LiveCycle/conferencing revenue -17% to $47.4M.
    • CC annualized recurring revenue (ARR) rose by $208M in FQ2 to $1.195B, and Document Services (Acrobat) ARR by $19M to $183M. Adobe now expects to end FY14 with total Digital Media ARR of $1.925B, up from a prior $1.85B.
    • With the cloud transition pushing out revenue recognition, Adobe expects FQ3 revenue of $975M-$1.025B and EPS of $0.22-$0.28 vs. a consensus of $1.02B and $0.27. Investors don't mind.
    • 44% of FQ2 revenue was from subscriptions, and 53% was recurring. The deferred revenue balance rose by $48M Q/Q to $929M.
    • R&D spend +2% Y/Y, sales/marketing +6%. $166M was spent on buybacks.
    • FQ2 results, PR, datasheet, prepared remarks
    | Jun. 17, 2014, 4:47 PM | 1 Comment
  • Jun. 17, 2014, 4:19 PM
    • Adobe Systems (ADBE): FQ2 EPS of $0.37 beats by $0.07.
    • Revenue of $1.07B (+5.9% Y/Y) beats by $40M.
    • Press Release
    | Jun. 17, 2014, 4:19 PM | Comment!
Company Description
Adobe Systems Inc offers a line of software and services used by creative professionals, marketers, developers, enterprises and consumers for creating, managing, delivering, measuring, optimizing and engaging with compelling operating systems.
Sector: Technology
Country: United States