Slide 1: Doug Clark
DOUG CLARK Good afternoon and thank you for joining us. With me on the call today are Shantanu Narayen, Adobe’s Chair and CEO, David Wadhwani, President of Digital Media, Anil Chakravarthy, President of Digital Experience, and Dan Durn, Executive Vice President and CFO. 1
Slide 2: Call introduction and forward-looking statements
On this call, which is being recorded, we will discuss Adobe’s fourth quarter and fiscal year 2025 financial results. You can find our press release, as well as PDFs of our prepared remarks and financial results, on Adobe’s Investor Relations website. The information discussed on this call, includin
Slide 3: Shantanu Narayen
SHANTANU NARAYEN Thanks, Doug. Good afternoon, everyone and thank you for joining us. 3
Slide 4: Fiscal 2025 AI-influenced and AI-first ARR, record revenue
In fiscal 2025, Adobe delivered significant AI-influenced and AI-first ending ARR, which accelerated through the year. We achieved record revenue of $23.77 billion and Non-GAAP EPS of $20.94, which represent outstanding financial performance. We are leveraging AI to accelerate innovation to anticipa
Slide 5: Vision for Business Professionals & Consumers and Creators
Our vision for Business Professionals & Consumers is to deliver AI-driven, quick and easy applications that enable them to be creative and productive - consuming or generating content across multiple media types and channels. We do this by delivering new conversational and agentic interfaces in Adob
Slide 6: FY25 accomplishments and highlights
FY25 accomplishments and highlights include: • Establishing ourselves within leading AI ecosystems with partnerships and integrations across AWS, Azure, Google Gemini, HUMAIN, Microsoft Copilot, OpenAI and others, offering unprecedented access, choice, and flexibility to customers; • Leading the way
Slide 7: Digital Media record Q4
DAVID WADHWANI Thanks Shantanu. Hello everyone. Digital Media had a record Q4, driven by user acquisition and expanded customer value across Business Professionals & Consumers and Creators & Creative Professionals underpinned by two big areas of innovation: Generative AI Models and Agentic Experienc
Slide 8: Digital Media ARR and generative AI models
over year. We exited the quarter with $19.20 billion of Digital Media ARR, growing ending ARR 11.5% year over year. As it relates to Generative AI Models, we have continued to develop our own commercially safe Firefly Models, while dramatically expanding our ecosystem of GenAI model partnerships. Th
Slide 9: Generative models and agentic capabilities opportunities
The advances in generative models and agentic capabilities position Adobe well to take advantage of the long-term opportunities servicing Business Professional & Consumer and Creator & Creative Professional audiences. Business Professionals & Consumers Our vision for Business Professionals & Consume
Slide 10: FY25 Business Professional & Consumer highlights
FY25 Business Professional & Consumer accomplishments and highlights include: • Continued growth of Acrobat Web, which saw MAU increase over 30% year over year; • Strong adoption of Express in education, with over 70% year-over-year growth of students with access to Express Premium; • Over 45 new pa
Slide 11: Firefly application and creative professionals
creative professionals with game-changing generative AI capabilities and automate content production at scale in enterprises. We are attracting new creators to Adobe through the Firefly application, which can be purchased through our Firefly Standard, Pro and Premium subscription plans. Firefly has
Slide 12: FY25 Creator & Creative Professional highlights
Foundry has been strong from enterprise marketing teams and media and entertainment companies, where there is increasing desire to produce content faster and more cost-effectively. FY25 Creator & Creative Professional accomplishments and highlights include: • Hosting Adobe MAX, the world’s largest c
Slide 13: Strength across routes to market; Digital Media summary
• Strength across all routes to market and geographies, with particular strength in SMB, Enterprise and emerging markets; and • Key enterprise wins include Coca Cola, HUMAIN, IKEA, JPMorganChase, Lowe’s, Nintendo and Sony. Summary Over the last few years, we have extended our line-up to anticipate a
Slide 14: Digital Experience Performance
ANIL CHAKRAVARTHY Thanks, David. Hello, everyone. Digital Experience Performance $1.52 B 9% 8% $1.41B 11% 11% in revenue Y/Y growth Y/Y growth in subscription revenue Y/Y growth Y/Y growth in constant currency constant currency © 2025 Adobe. All Rights Reserved. Adobe Confidential. Our success servi
Slide 15: Digital Experience FY25 revenue and Adobe Experience Platform
record $5.86 billion in revenue in FY25. Subscription revenue in the quarter was $1.41 billion, representing 11% year-over-year growth. Adobe delivers a unified, AI-powered platform for customer experience orchestration spanning brand visibility, content supply chain and customer engagement. Adobe E
Slide 16: Brand visibility, Brand Concierge and GenStudio
channels, LLMs, traditional search and the wider web. We anticipate the transaction to close in the first half of 2026, subject to regulatory approvals and other closing conditions. Adobe Brand Concierge, which was launched in Q4, is an AI-first application enabling businesses to configure and manag
Slide 17: FY25 Marketing Professional highlights
FY25 Marketing Professional accomplishments and business highlights include: • Strong customer demand for our newly introduced agentic web offerings with over 50 customers in Q4 for Adobe LLM Optimizer, Sites Optimizer, and Brand Concierge; • Growing international momentum resulting in a record quar
Slide 18: Q4 and FY2025 Results
Q4 and FY2025 Results Dan Durn | EVP & CFO DAN DURN Thanks, Anil. Today, I will start by summarizing Adobe’s performance in Q4 and FY25, highlighting growth drivers, and I’ll finish with our targets. 18
Slide 19: FY25 Performance
FY25 Performance In FY25, Adobe delivered record revenue of $23.77 billion, growing 11% year over year as reported and in constant currency. GAAP EPS for the year was $16.70, and non-GAAP EPS was $20.94, growing 35% and 14% year over year, respectively. We delivered over $10 billion in operating cas
Slide 20: Q4 FY2025 Results
• Repurchasing approximately 30.8 million shares of our stock during the year. We currently have $5.90 billion remaining of our $25 billion authorization granted in March 2024. Q4 FY2025 Results Total Revenue $6.19 billion 10% Y/Y growth 10% Y/Y growth1 Digital Media segment revenue $4.62 billion 11
Slide 21: Record net new ARR and customer group results
which are now included as part of the AI-influenced metric. As we’ve shared over the past year, our strategy is to drive the entire book of business with AI-influenced solutions; • Record net new Digital Media ARR. Growth re-accelerated year-over-year, driven by strong demand for AI-influenced offer
Slide 22: Q4 growth drivers for Business Professionals & Consumers
Q4 growth drivers for Business Professionals & Consumers included: • Double digit ending ARR growth, with strength across digital, SMB and enterprise and across all geographies; • Mobile ending ARR grew >30% year over year; • Monthly active users of Acrobat + Express surpassed 750 million, growing 2
Slide 23: Q4 growth drivers for Creative & Marketing Professionals
Q4 growth drivers for Creative & Marketing Professionals included: • Growth in Creative Cloud driven by CC Pro; • Growth in Single Apps, driven by strength in Photoshop and Lightroom; • Consumption of Generative Credits in Creative Cloud, Firefly and Express increased 3x quarter over quarter; • Sign
Slide 24: Announced Semrush Acquisition
Announced Semrush Acquisition On November 19, we announced the intent to acquire Semrush Holdings for an equity value of approximately $1.9 billion in an all-cash transaction. We expect the transaction to close in the first half of FY26, subject to regulatory approvals and other customary closing co
Slide 25: For FY26, we are targeting
For FY26, we are targeting: • Total Adobe revenue of $25.90 to $26.10 billion; • Business Professionals & Consumers Subscription revenue of $7.35 to $7.40 billion; • Creative & Marketing Professionals Subscription revenue of $17.75 to $17.90 billion; • Total Adobe ending ARR book of business growth
Slide 26: FY26 margin, tax rate and Q1 FY26 targets
Our FY26 targets anticipate non-GAAP operating margin of approximately 45.0%, a GAAP tax rate of approximately 20.5% and a non-GAAP tax rate of approximately 18.0%. This non-GAAP tax rate is based on a 3-year projection and may be adjusted for changes in the future. For Q1 FY26, we are targeting: •
Slide 27: Summary
Summary In summary, Adobe delivered another outstanding year, fueled by strong global demand for our AI solutions across Business Professionals & Consumers and Creative & Marketing Professionals customer groups. Our disciplined execution and strategic investments position us to extend our leadership
Slide 28: Shantanu Narayen closing remarks
SHANTANU NARAYEN Thanks, Dan. Our success is fueled by the incredible ingenuity of our global employees who are passionate about delivering innovation with relentless execution in service of our expanding customer base. Adobe is well positioned to seize the immense market opportunities that we are c
Slide 29: Q&A
Q&A Adobe 29