Adobe Surpasses Q2 Estimates, Raises FY Guidance, Stock Surges 15% on AI Integration

Jun 13, 2024, 08:37 PM

Adobe Inc. ($ADBE) reported its Q2 2024 earnings, surpassing analysts' expectations. The company announced an adjusted EPS of $4.48, exceeding the estimated $4.39, and revenue of $5.31 billion, above the forecasted $5.29 billion. This represents a 10% year-over-year increase in revenue. Adobe also raised its full-year guidance, projecting FY 2024 revenue between $21.40 billion and $21.50 billion, and adjusted EPS between $18.00 and $18.20. The company provided Q3 guidance with an expected EPS of $4.50 to $4.55 and revenue of $5.33 billion to $5.38 billion. Adobe reported digital media ARR of $13.1 billion, up 13% year-over-year, and highlighted the integration of AI technologies into its core products. The positive earnings report and optimistic future outlook, driven by strong growth in Creative Cloud, Document Cloud, and Experience Cloud, led to a 15% surge in Adobe's stock price in after-hours trading.