Adobe earned $6.06 per share in adjusted earnings on revenue of $6.40 billion for the first fiscal quarter of 2026. Analysts were expecting earnings of $5.86 per share on revenue of $6.28 billion, reported on the corporate website adobe.com.
As for the outlook, Adobe expects fiscal Q2 earnings of $5.80 to $5.85 per share on adjusted basis on revenue of $6.43 billion to $6.48 billion. Analysts expected earnings of $5.70 per share on revenue of $6.43 billion.
Meanwhile, on March 12, the company announced that its CEO Shantanu Narayen, who has held the position for eighteen years, will step down and that the board has begun a search for a successor.
Despite beating earnings expectations, the stock fell 0.82% to $272.89 in the post-market; the stock’s traditional business decline was steeper than expected.
Shantanu Narayen, before leaving, emphasized the success of the company’s integration into AI technologies, but noted that Adobe faces challenges from declining traditional businesses and fierce competition in digital transformation.
The company is actively integrating generative features into Creative Cloud products and enterprise solutions. Adobe CFO Dan Durn said in this regard, “We continue to accelerate the integration of artificial intelligence capabilities into our products and are focused on sustainable growth.”
Unlike many players, Adobe is already demonstrating that AI can be a source of real subscription revenue, not just an investment story.
Nevertheless, investors continue to assess the sustainability of growth in an accelerating competitive landscape.
