Adobe (ADBE) Q1 Earnings Top, Coronavirus Weighs On Guidance
Zacks Investment Research | Mar 12, 2020 11:10PM ET
Adobe Inc. (NASDAQ:ADBE) reported first-quarter fiscal 2020 non-GAAP earnings of $2.27 per share, surpassing the Zacks Consensus Estimate of $2.22. The figure decreased 0.9% sequentially but increased 32.7% on a year-over-year basis.
Adjusted revenues jumped 19% year over year to $3.09 billion, beating the Zacks Consensus Estimate by 1.5%.
This upside was driven by strong demand for the company’s Adobe Document Cloud and Adobe Experience Cloud products, along with growing subscription for cloud application.
Though the company’s fiscal first-quarter results topped expectations, its shares were down 9.6% due to lower-than-anticipated guidance for the fiscal second quarter due to headwinds related to coronavirus.
Management stated that the growing coronavirus crisis could delay enterprises booking decisions, reduce marketing spending and delay consulting service implementations. Consumers are reducing spending of late, which could affect the company’s top line in the fiscal second quarter.
Adobe Systems Incorporated Price, Consensus and EPS Surprise
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