8-KEarnings & ResultsExhibits & Filings

ADOBE INC. 8-K Report, Financial Results (Jun 20, 2017)

Filed June 20, 2017For Securities:ADBE

Summary

This 8-K filing from Adobe Inc. (ADBE) on June 20, 2017, primarily serves to furnish a press release announcing the company's financial results for its second fiscal quarter ended June 2, 2017. The press release, attached as an exhibit, highlights that Adobe achieved record revenue. The filing also details Adobe's use of non-GAAP financial measures, explaining the adjustments made to GAAP figures, such as excluding stock-based compensation, restructuring charges, and amortization of purchased intangibles. Management believes these non-GAAP measures provide a clearer view of operational performance and facilitate comparisons with historical results and peers. The company emphasizes that these non-GAAP measures are supplemental and should be considered alongside GAAP results. The purpose of detailing these adjustments is to offer investors greater transparency into management's decision-making process and to better understand the core profitability drivers of Adobe's business. Investors should note that this filing is primarily informational, providing results and context, rather than announcing a new material event.

Key Highlights

  • 1Adobe Systems Incorporated announced its financial results for the second fiscal quarter ended June 2, 2017.
  • 2The company achieved record revenue in the reported quarter.
  • 3The filing includes a press release with detailed financial results (Exhibit 99.1).
  • 4Adobe utilizes non-GAAP financial measures to supplement its GAAP reporting.
  • 5Key exclusions from non-GAAP measures include stock-based compensation, restructuring charges, and amortization of purchased intangibles.
  • 6Management believes non-GAAP measures offer meaningful insights into operational performance and comparability.
  • 7The company stresses that non-GAAP measures are not a substitute for GAAP and should be viewed in conjunction with them.

Frequently Asked Questions

The main purpose of this 8-K filing is to officially furnish Adobe's press release announcing its second fiscal quarter 2017 financial results, which include achieving record revenue. It also provides detailed explanations of the company's non-GAAP financial reporting practices.

Adobe excludes several items from its non-GAAP financial measures, including: (A) stock-based and deferred compensation expenses, (B) restructuring and other charges, (C) amortization of purchased intangibles and technology license arrangements, (D) investment gains and losses, and (E) certain income tax adjustments.

Adobe presents non-GAAP financial results because management believes these measures provide meaningful supplemental information about operational performance, facilitate comparisons to historical results and peer companies, and offer greater transparency into how management makes operating and investment decisions. These measures are used for internal budgeting and resource allocation.

Investors should interpret the non-GAAP information as supplemental to the GAAP financial results. Adobe explicitly states that these non-GAAP measures have limitations, do not reflect all GAAP amounts, and should only be used in conjunction with the corresponding GAAP measures to evaluate the company's financial performance.