Shantanu Narain, CEO of Adobe, interviews Jim Cramer
Linda Demian | CNBC
Adobe Shares jumped 15% in extended trading Thursday after the design software company reported earnings and revenue that beat estimates.
Here's how the company performed compared to the LSEG consensus:
Earnings per share: $4.48 adjusted vs. $4.39 expected Revenue: $5.31 billion vs. $5.29 billion expected
Adobe's revenue rose 10% year over year in the quarter that ended May 31, according to a statement.
The company called for adjusted earnings per share of $4.50 to $4.55 for the fiscal third quarter, on revenue of $5.33 billion to $5.38 billion. Analysts polled by LSEG were looking for $4.48 in adjusted earnings per share and $5.4 billion in revenue.
Adobe boosted its full-year vision, calling for full-year adjusted earnings per share of between $18.00 and $18.20 and revenue of $21.40 billion to $21.50 billion. Analysts surveyed by LSEG expected adjusted earnings of $18.02 per share and adjusted revenue of $21.46 billion. The March forecast was for $17.60 to $18.00 in adjusted earnings per share, with revenue in the range of $21.30 billion to $21.50 billion.
In recent weeks, software peers SentinelOne, UiPath and Veeva have cut their full-year revenue guidance due to economic weakness and companies' interest in developing artificial intelligence.
During the quarter, Adobe announced the availability of a service to fine-tune the company's Firefly generative AI models to deliver image content that aligns with customers' brand guidelines.
Before Adobe issued a statement on Thursday, shares were down 23% so far this year, while the S&P 500 was up about 14%.
Executives will discuss the results with analysts in a conference call beginning at 5 p.m. ET.
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