Adobe profit drops 41 percent

Flash and PDF supplier Adobe has posted a 41 percent drop in profits since last year, but the firm said it was pleased with its performance.

Adobe earned US$126.1m or 24 cents per share in the last three months, ending 29 May, a sharp decline from the net income of US$214.9m generated in the same period the previous year.

Although the firm’s revenue decreased by 21 percent to US$704.7m, the figure actually beat Wall Street estimates.

“We are pleased with the solid profit margin and earnings results we were able to deliver in quarter two,” said Shantanu Narayen, Adobe president and chief executive.

“We continue to invest in our key business initiatives which will drive long-term revenue growth once the economy improves.”

Adobe’s flagship product Creative Suite, which includes PhotoShop and Illustrator, is falling in customer demand but continues to occupy a large chunk of the company’s investment.

At the end of last year the company announced plans to cut 600 jobs in an attempt to drive through efficiencies.