Adobe Systems Inc.
today announced that its earnings are on track for its second fiscal quarter. The company made the announcement during its mid-year financial conference call earlier today.
With more than a month to go, Adobe said it would achieve revenue and pro forma earnings per share consistent with guidance it offered on March 14, 2002. Adobe expects to see revenue of US$305 to $325 million, with pro forma earnings per share in the range of $0.24 to $0.27.
Adobe said that the initial launch of Adobe Photoshop 7.0 earlier this month contributed strongly to the bottom line this quarter. Adobe anticipated that non-English versions of the software will ship between now and the end of May, thus adding to this quarter’s financial results. Geographically, Adobe said that business in its major markets continues to be stable.
Adobe president and CEO Bruce R. Chizen said, “We are executing against our strategic plan and Adobe is well-positioned for future growth.”
Chizen expressed optimism about Adobe’s long-term addressable market growth rates, and added that the company expects to see 20 percent or higher growth after the economy fully recovered.
In related news, Adobe indicated that the integration of Accelio Corp. is on track. The company is reducing headcount by about 200 and consolidating field offices; Accelio’s Ottawa offices are being converted to a development and support center for Adobe. The company said it will incur acquisition costs of about $12 to $15 million and restructuring charges of $1 to $2 million for severance and related costs — charges that will impact the Q2 bottom line.
Adobe’s Q2 2002 results will be announced after the close of market on June 13.