Adobe Q2 Financial Results: Revenue Was $1.124 Billion, Representing 10 Percent YOY Growth

Posted on Jun 20 2012 - 8:23am by Editorial Staff

Adobe has announced its financial results for its second quarter of fiscal year 2012 ended June 1, 2012. The company reported the revenue in Q2 FY2012 of $1.124 billion, which represents 10 percent year-over-year growth. The Diluted earnings per share were $0.45 on a GAAP-basis, and $0.60 on a non-GAAP basis.

Operating income was $305.1 million and net income was $223.9 million on a GAAP-basis. Operating income was $404.4 million and net income was $299.6 million on a non-GAAP basis. Deferred revenue grew by $43.9 million quarter-over-quarter to a total of $592.8 million. Cash flow from operations was $448.2 million.

“Our strong Q2 results were driven by the successful launch of Creative Cloud and Creative Suite 6, strong Acrobat revenue and 35 percent year-over-year revenue growth in our Digital Marketing Suite business,” said Shantanu Narayen, president and CEO of Adobe. “These results demonstrate our leadership in the Digital Media and Digital Marketing markets.”

Adobe provided financial targets for the third quarter of fiscal 2012 and updated its full year fiscal 2012 targets, reflecting a weaker demand forecast in Europe. For the third quarter of fiscal 2012, Adobe is targeting revenue of $1.075 billion to $1.125 billion. On a diluted earnings per share basis, the company is targeting a range of $0.38 to $0.43 on a GAAP basis, and $0.56 to $0.61 on a non-GAAP basis.

Adobe is targeting its Q3 share count to be between 501 million and 502 million shares, and it is targeting non-operating expense between $18 million and $20 million. Adobe’s tax rate is expected to be approximately 23.5 percent on a GAAP basis and 22.5 percent on a non-GAAP basis. For fiscal year 2012, the company narrowed its annual revenue growth target to a range of six to seven percent, versus its prior target range of six to eight percent.

Adobe also adjusted its annual GAAP diluted earnings per share target range to $1.69 to $1.76 from its prior targeted range of $1.63 to $1.73; and its non-GAAP diluted earnings per share target range to $2.40 to $2.46 from its prior targeted range of $2.38 to $2.48.

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