In a statement issued by the company on Wednesday, revenue for the fiscal year ending in November 2026 is projected to range from $25.9 billion to $26.1 billion. While some analysts had estimated revenues above $26.4 billion, the midpoint of this forecast surpassed the average estimate.
Chief Executive Officer Shantanu Narayen noted that Adobe’s results for the most recent fiscal year outperformed expectations, underscoring the company’s “increasing significance in the global AI ecosystem and the swift adoption of our AI-driven tools.”
Also Read: Indians strongly engaged with live entertainment in 2025: BookMyShow report
However, some of the AI strategies presented by the company in its report three months ago have not been revised. In September, it announced that sales of AI-centric products reached $250 million, with AI-influenced annual recurring revenue surpassing $5 billion.
After finishing at $343.13, the stock experienced volatility during extended trading. This year, shares have declined by nearly one-fifth of their value, mirroring trends seen in other established application software firms, including Salesforce Inc.
Investors have expressed concerns that Adobe’s business might be disrupted by generative artificial intelligence. Although AI features in programs like Photoshop have been utilized tens of billions of times, other prominent tools, such as Google’s video-generating model Veo, are developed by different companies.
Earlier on Wednesday, Adobe announced that Photoshop and Acrobat will be integrated into OpenAI’s ChatGPT, with a selection of features accessible to chatbot users at no cost, aiming to broaden the reach of its services.
Sales for the fourth quarter surpassed the anticipated $6.11 billion, rising 10% to $6.19 billion. For the period ending November 28, adjusted earnings climbed to $5.50 per share, contrasting with the forecast of $5.39.
Excluding certain factors, profit for the upcoming year is expected to fall between $23.30 and $23.50 per share, compared to analysts’ expectations of $23.37.
(Edited by : Juviraj Anchil)
