Here's What Key Metrics Tell Us About Adobe (ADBE) Q4 Earnings

For the quarter ended November 2024, Adobe Systems (ADBE) reported revenue of $5.61 billion, up 11.1% over the same period last year. EPS came in at $4.81, compared to $4.27 in the year-ago quarter.The reported revenue represents a surprise of +1.24% over the Zacks Consensus Estimate of $5.54 billion. With the consensus EPS estimate being $4.66, the EPS surprise was +3.22%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.Here is how Adobe performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Business Unit - Digital Media - Creative ARR (Annualized Recurring): $13.74 billion versus the six-analyst average estimate of $13.87 billion. Business Unit - Digital Media - Total Digital Media ARR (Annual): $17.22 billion versus the five-analyst average estimate of $17.30 billion. Business Unit - Digital Media - Document Cloud ARR (Annual): $3.48 billion versus the five-analyst average estimate of $3.44 billion. Revenue- Digital Media: $4.15 billion compared to the $4.11 billion average estimate based on seven analysts. The reported number represents a change of +11.5% year over year. Revenue- Publishing and Advertising: $65 million compared to the $58.97 million average estimate based on seven analysts. The reported number represents a change of -1.5% year over year. Revenue- Digital Experience: $1.40 billion versus the seven-analyst average estimate of $1.37 billion. The reported number represents a year-over-year change of +10.3%. Revenue- Digital Media- Creative Cloud: $3.30 billion versus $3.27 billion estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +10.3% change. Revenue- Digital Media- Document Cloud: $843 million versus $843.05 million estimated by five analysts on average. Compared to the year-ago quarter, this number represents a +16.9% change. Revenue- Services and other: $160 million versus the four-analyst average estimate of $187.63 million. The reported number represents a year-over-year change of -6.4%. Revenue- Products: $81 million compared to the $114.53 million average estimate based on three analysts. The reported number represents a change of -29% year over year. Digital Experience Subscription Revenue: $1.27 billion versus $1.24 billion estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +12.6% change. Revenue- Subscription: $5.37 billion versus the three-analyst average estimate of $5.23 billion. The reported number represents a year-over-year change of +12.6%. View all Key Company Metrics for Adobe here>>>Shares of Adobe have returned +3.9% over the past month versus the Zacks S&P 500 composite's +0.8% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Adobe Inc. (ADBE): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks