A solid second quarter for software maker Adobe: Sales and profits both beat Wall Street’s expecations. But the stock inched down 2% after-hours on below-consensus Q3 sales guidance.
Adobe posted $886.9 million of Q2 sales, up 19% year-over-year, and above the Street’s $880 million consensus. And Q2 non-GAAP EPS came in at 50 cents per share, up from 37 cents a year ago and above the Street’s 46 cents per share consensus. In the release, Adobe CEO Dhantanu Narayen attributed the solid results to “product mix” and “geographic diversity.”
For Q3, Adobe expects to post revenues between $855-885 million; the $870 midpoint is below the Street’s $878 million consensus. Its profit forecast, however, is solid: 45-47 cents per share, compared to the Street’s 45 cents per share consensus.
We’ll tune into Adobe’s call at 5 p.m., listening for any commentary on corporate IT spending and any progress updates on getting Adobe’s Flash animation and video software on Apple’s (AAPL) iPhone.