Adobe Q1 Earnings: Revenue Beat, EPS Beat, Soft Guidance, Harnessing ‘Power Of AI’ And More

Adobe Inc (NASDAQ:ADBE) reported first-quarter financial results Thursday after the market close. Here’s a look at the key metrics from the quarter.

Q1 Earnings: Adobe’s first-quarter revenue increased 11% year-over-year to $5.18 billion, which beat the consensus estimate of $5.143 billion, according to Benzinga Pro. The company reported quarterly earnings of $4.48 per share, which beat analyst estimates of $4.38 per share.

Adobe has now beaten analyst estimates on both the top and bottom line in five straight quarters, according to Benzinga Pro data.

Remaining performance obligations were $17.58 billion at the end of the quarter. Cash flows from operations totaled $1.17 billion in the fourth quarter.

Adobe said it repurchased approximately 3.1 million shares during the quarter. The company’s board also authorized a new $25 billion stock repurchase program through March 14, 2028.

“Adobe drove record Q1 revenue demonstrating strong momentum across Creative Cloud, Document Cloud, and Experience Cloud,” said Shantanu Narayen, chair and CEO of Adobe.

“We’ve done an incredible job harnessing the power of generative AI to deliver groundbreaking innovation across our product portfolio.”

Outlook: Adobe sees second-quarter revenue in the range of $5.25 billion to $5.30 billion versus estimates of $5.31 billion. The company anticipates second-quarter adjusted earnings of $4.35 to $4.40 per share versus estimates of $4.38 per share. Full-year guidance was not provided.

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