Adobe stock fell as much as 5 percent on Thursday after the company reported better-than-expected earnings for the second quarter of its 2018 fiscal year, which ended on June 1.
Here's how the company performed:
- Earnings: Excluding certain items, $1.66 in earnings per share vs. $1.54 in earnings per share as expected by analysts, according to Thomson Reuters.
- Revenue: $2.20 billion vs. $2.16 billion as expected by analysts, according to Thomson Reuters.
Adobe said in a statement that revenue rose 24 percent year over year. Most of the company's revenue comes from subscriptions, and that category was up almost 30 percent year to year.
In the quarter the company said that it was acquiring Magento Commerce for $1.68 billion and appointed John Murphy as its new chief financial officer, replacing Mark Garrett. And DocuSign, a company that competes with the Adobe Sign electronic signature product, went public.
Partner conversations suggest that the company executed well in the quarter, Piper Jaffray analysts led by Alex Zukin wrote in a Monday note.