Adobe reports revenue record
Adobe reports record revenue in its third fiscal quarter due to a surge in shipments during the final week of the period.
The company's stock gained as much as 3-3/4 from yesterday's close of 41.
Adobe said a rush in applications product shipments during the last week of the third quarter ending August 29 led to record quarterly revenue. The company's previous record was reported last quarter, with revenue reaching $228.3 million.
In the third quarter a year ago, Adobe recorded revenue of $180.9 million with a net income of $29.8 million. This time around, the software maker said it will weigh in at the high end of analyst estimates, which range from 42 to 49 cents a share. The consensus is set at 44 cents a share, according to First Call.
The late quarter shipments resulted principally from promotional versions of Adobe?s three major application products, Photoshop, Illustrator, and PageMaker. The products were shipped in connection with the ActionPack retail promotion that began this month along with initial shipments of FrameMaker 5.5.
The company said revenue increases from application products more than offset a decrease in licensing revenue during the quarter. The decrease is due to a number of factors affecting OEM shipments primarily in the Japanese market, and to price reductions by Hewlett Packard (HWP) in its monochrome laser printer product line.
Adobe third fiscal quarter earnings will be announced before the market opens on September 19.