Adobe Systems Inc. (NASDAQ:ADBE) weighed in Tuesday with better-than-expected first quarter-results, but gave mixed second-quarter guidance.
The Silicon Valley software-giant forecast second-quarter adjusted earnings in the range of 47 cents to 54 cents a share, with revenue coming in between $970 million and $1.02 billion. The company’s revenue outlook topped expectations, even as it cut its second-quarter revenue view by $50 million due to the “uncertain business environment in Japan." Adobe’s earnings-per-share guidance fell below the Street’s view, as analysts polled by Thomson Reuters had most recently projected earnings of 57 cents a share on revenue of $967.72 million.
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For the fiscal first quarter, Adobe posted a profit of $302.3 million, or 46 cents a share, compared to $176.8 million, or 24 cents a share in the first quarter of 2010. On an adjusted basis, reported earnings of 58 cents a share, compared with 40 cents a share, one year ago.
Revenue rose 20% to $1.03 billion, compared to sales of $858.7 million in the year-ago quarter. The company’s adjusted operating margin widened to 38.9%, compared with 33.7%, one year ago.
The results narrowly beat the Street’s expectations for 57 cents a share, as revenue was in-line with expectations for $1.03 billion.
"Our record results in Q1 represent our sixth consecutive quarter of sequential revenue growth," said Shantanu Narayen, president and CEO of Adobe, in a release. "Adobe's vision for transforming how the world is creating, measuring and delivering digital experiences is resonating with our customers, and our solutions are enabling us to target large addressable markets that are fueling our growth."
Shares of Adobe rose 1.7% in Tuesday’s trading session, finishing the day at $32.88. The stock rose another 23 cents, nearly 1%, in after-hours trading on the results.