Tuesday, June 17, 2008

Adobe's 2nd Qtr 2008 Earnings

US software company Adobe Systems has reported a 41% jump in second-quarter profit thanks to robust demand from international markets.

However, the maker of Photoshop, Flash and Acrobat issued a revenue outlook that disappointed some investors, sending its shares down 2.5%. Adobe's net income in the three months to May 30 was $214.9m (£109m), up from $152m in the same quarter a year ago.
The company added that sales were flat in the US.

Demand 'remains strong'
Adobe said it expected revenue in the third quarter to be in a range of $855m to $885m.
The firm's chief executive Shantanu Narayen said that while Adobe had so far weathered the US economic slowdown, this could change.
"I'm not an economist. All I can do is reflect on what I have seen so far," he said. "Demand for our products remains strong. (But) we are not immune to a recession."
However, Mr Narayen added he expected international sales to continue to be strong, with Eastern Europe, Brazil and China offering opportunities for growth as software piracy declines.
Adobe shares fell $1.05 to $41.80 in after-hours trading.

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