Press Release: SAN JOSE, Calif. — Dec. 17, 2007 — Adobe Systems Incorporated (Nasdaq:ADBE) today reported financial results for its fourth quarter and fiscal year ended Nov. 30, 2007.
In the fourth quarter of fiscal 2007, Adobe achieved record revenue of $911.2 million, compared to $682.2 million reported for the fourth quarter of fiscal 2006 and $851.7 million reported in the third quarter of fiscal 2007. This represents 34 percent year-over-year revenue growth. Adobe’s fourth quarter revenue target range was $860 to $890 million.
“Driving our Q4 results were continued adoption of our Creative Suite 3 family of products, record revenue for Acrobat and strong momentum in our enterprise business,” said Shantanu Narayen, president and chief executive officer of Adobe. “As we enter fiscal 2008, we are performing exceptionally well and the Company is positioned to achieve a sixth consecutive year of double-digit growth.”
Adobe Reports Record Annual Revenue in Fiscal Year 2007
In fiscal year 2007, Adobe achieved record revenue of $3.158 billion, compared to $2.575 billion in fiscal 2006. On a year-over-year basis, annual revenue grew 23 percent.Adobe’s annual GAAP net income was $723.8 million in fiscal 2007, compared to $505.8 million in fiscal 2006. Adobe’s annual non-GAAP net income was $965.8 million in fiscal 2007, compared to $757.3 million in fiscal 2006.
GAAP diluted earnings per share for fiscal 2007 were $1.21, compared to $0.83 in fiscal 2006. Non-GAAP diluted earnings per share for fiscal 2007 were $1.61, compared to $1.24 in fiscal 2006.
Fourth Quarter GAAP Results
Adobe’s GAAP diluted earnings per share for the fourth quarter of fiscal 2007 were $0.38, based on 587.9 million weighted average shares. This compares with GAAP diluted earnings per share of $0.30 reported in the fourth quarter of fiscal 2006 based on 602.2 million weighted average shares, and GAAP diluted earnings per share of $0.34 reported in the third quarter of fiscal 2007 based on 597.3 million weighted average shares. Adobe’s fourth quarter GAAP earnings per share target range was $0.35 to $0.37.GAAP operating income was $275.8 million in the fourth quarter of fiscal 2007, compared to $163.4 million in the fourth quarter of fiscal 2006 and $255.0 million in the third quarter of fiscal 2007. As a percent of revenue, GAAP operating income in the fourth quarter of fiscal 2007 was 30.3 percent, compared to 23.9 percent in the fourth quarter of fiscal 2006 and 29.9 percent in the third quarter of fiscal 2007.
GAAP net income was $222.2 million for the fourth quarter of fiscal 2007, compared to $183.2 million reported in the fourth quarter of fiscal 2006, and $205.2 million in the third quarter of fiscal 2007.
Fourth Quarter Non-GAAP Results
Non-GAAP diluted earnings per share for the fourth quarter of fiscal 2007 were $0.49. This compares with non-GAAP diluted earnings per share of $0.33 reported in the fourth quarter of fiscal 2006, and non-GAAP diluted earnings per share of $0.45 reported in the third quarter of fiscal 2007. Adobe’s fourth quarter non-GAAP earnings per share target range was $0.46 to $0.48.Adobe’s non-GAAP operating income was $362.2 million in the fourth quarter of fiscal 2007, compared to $256.4 million in the fourth quarter of fiscal 2006 and $340.9 million in the third quarter of fiscal 2007. As a percent of revenue, non-GAAP operating income in the fourth quarter of fiscal 2007 was 39.7 percent, compared to 37.6 percent in the fourth quarter of fiscal 2006 and 40.0 percent in the third quarter of fiscal 2007.
Non-GAAP net income was $289.6 million for the fourth quarter of fiscal 2007, compared to $198.9 million in the fourth quarter of fiscal 2006, and $269.4 million in the third quarter of fiscal 2007.
A reconciliation between GAAP and non-GAAP results is provided at the end of this press release.
Adobe Provides First Quarter and Fiscal Year 2008 Financial Targets
For the first quarter of fiscal 2008, Adobe announced it is targeting revenue of $855 million to $885 million. The Company is targeting a GAAP operating margin of 30 to 31 percent in the first quarter. On a non-GAAP basis, the Company is targeting a first quarter operating margin of approximately 40 percent.In addition, Adobe is targeting its share count to be between 586 million and 588 million shares in the first quarter of fiscal 2008. The Company also is targeting other income in its first quarter to be $15 million to $17 million, with a GAAP and non-GAAP tax rate of approximately 27 percent.
These targets lead to a first quarter GAAP earnings per share target range of $0.34 to $0.36. On a non-GAAP basis, the Company is targeting earnings per share of $0.44 to $0.46.
For fiscal year 2008, Adobe reaffirmed it is targeting annual revenue growth of approximately 13 percent. The Company is targeting a GAAP operating margin of approximately 30 percent, and a non-GAAP operating margin of approximately 39 percent.
A reconciliation between GAAP and non-GAAP financial targets is provided at the end of this press release.
Forward-Looking Statements Disclosure
This press release contains forward-looking statements, including those related to revenue, operating margin, other income, tax rate, share count, earnings per share, and anticipated business momentum which involve risks and uncertainties that could cause actual results to differ materially. Factors that might cause or contribute to such differences include, but are not limited to: delays in development or shipment of Adobe’s new products or major new versions of existing products, introduction of new products by existing and new competitors, failure to successfully manage transitions to new business models and markets, adverse changes in general economic or political conditions in any of the major countries in which Adobe does business, difficulty in predicting revenue from new businesses, failure to anticipate and develop new products and services in response to changes in demand for application software and software delivery, computers, printers, or other non PC-devices, costs related to intellectual property acquisitions, disputes and litigation, inability to protect Adobe’s intellectual property from unauthorized copying, use, disclosure or malicious attack, failure to realize the anticipated benefits of past or future acquisitions and difficulty in integrating such acquisitions, changes to Adobe’s distribution channel, disruption of Adobe’s business due to catastrophic events, risks associated with international operations, fluctuations in foreign currency exchange rates, changes in, or interpretations of, accounting principles, impairment of Adobe’s goodwill or intangible assets, unanticipated changes in, or interpretations of, Adobe’s effective tax rates, Adobe’s inability to attract and retain key personnel, market risks associated with Adobe’s equity investments, and interruptions or terminations in Adobe’s relationships with turnkey assemblers. For further discussion of these and other risks and uncertainties, individuals should refer to Adobe’s SEC filings.The financial information set forth in this press release reflects estimates based on information available at this time. These amounts could differ from actual reported amounts stated in Adobe’s Annual Report on Form 10-K for the fiscal year ended Nov. 30, 2007, which the Company expects to file in January 2008. Adobe does not undertake an obligation to update forward-looking statements.
About Adobe Systems Incorporated
Adobe revolutionizes how the world engages with ideas and information - anytime, anywhere and through any medium. For more information, visit www.adobe.com .
Wednesday, December 19, 2007
Adobe Reports Record Quarterly and Fiscal Year Revenue
onOne Gets Leopard Compatibility
Press Release: Portland, OR - December 18, 2007 – onOne Software, Inc., provider of world-class software solutions for professional photographers and graphic designers, announces today that all of the latest versions of onOne Software’s products are compatible with Apple’s recently launched Leopard operating system.
“We are pleased to be able to provide these updates to our users for Mac OS X Leopard so quickly,” said Craig Keudell, president of onOne Software. “We appreciate the loyal support of our customers within the Mac community and we’re delighted that they will be able to benefit from the creative features of our imaging software products on the new Mac OS X Leopard operating system.”
The following onOne Software products are now compatible with Apple’s latest version – Mac OS X 10.5 Leopard: Genuine Fractals 5.0.4, Mask Pro 4.1.2, PhotoFrame 3.1.1, PhotoFrame Professional Edition 3.1.2, PhotoTune 2.2, Intellihance Pro 4.2.1, Essentials for Photoshop® Elements 2.0, PhotoTools 1.0, PhotoTools Professional Edition 1.0, Plug-In Suite 3, PhotoFrame Frame Collections, PhotoPresets for Adobe® Photoshop® Lightroom®, and PhotoPresets for Adobe Camera Raw.
New users of the above mentioned onOne Software products will automatically receive the latest Mac versions of these products which will operate with Leopard.
Existing users of onOne Software’s Plug-In Suite 3, Genuine Fractals 5, Mask Pro 4, Intellihance Pro 4, PhotoFrame 3 and Essentials 2 for Photoshop Elements can use their auto-update feature in each plug-in to receive the latest updates or they can visit the onOne website (www.ononesoftware.com) to download the latest Mac OS X Leopard compatible installers. Existing users of the Plug-In Suite 3, Genuine Fractals, Mask Pro, Intellihance Pro, PhotoFrame and Essentials for Photoshop Elements will need the following version numbers to ensure Leopard compatibility: Genuine Fractals 5.0.4, Mask Pro 4.1.2, Intellihance Pro 4.2.1, Plug-In Suite 3.1 (now includes PhotoFrame 3.1.2 and PhotoTune 2.2), Essentials for Photoshop Elements 2.0.
About the Products
- Genuine Fractals 5 can resize images over 1,000% with no loss of detail or sharpness.
- Mask Pro 4.1 easily creates high-quality masks and selections from tough subjects like hair and glass.
- PhotoFrame 3 and PhotoFrame 3 Professional Edition create stunning border and edge effects right out of the darkroom. PhotoFrame 3 Professional Edition builds on PhotoFrame by including additional frame choices, created by professional photographers Dave Cross, Jack Davis, Jim DiVitale, Helene Glassman, Kevin Kubota, Rick Sammon and Vincent Versace.
- Intellihance Pro 4 makes optimizing your images a snap by combining eight image adjustments in one place.
- Essentials 2 for Photoshop Elements software suite includes technology from onOne Software’s newly acquired PhotoTune color correction software, and onOne Software’s Mask Pro, PhotoFrame, and Genuine Fractals software products fine-tuned specifically for Adobe Photoshop Elements.
- PhotoTools 1 and PhotoTools 1 Professional Edition utilize the power of Photoshop Actions to provide a wide range of imaging tools including effects, corrections and production automation in a full-featured interface.
- Plug-in Suite 3 combines full versions of four essential software tools – Genuine Fractals 5, PhotoFrame 3.1, Mask Pro 4.1 and Intellihance Pro 4.2 – as well as the new PhotoTune 2.2 as a bonus.
- PhotoTune 2 incorporates the onOne Software’s newly acquired color-correction plug-ins – 20/20 Color MD™ 2.0 and SkinTune™ 2.0.
- PhotoPresets for Adobe Photoshop Lightroom features over 80 presets designed by Photoshop Hall-of-Famer Jack Davis.
- PhotoPresets for Adobe Camera RAW features over 100 presets for designed by Photoshop Hall-of-Famer Jack Davis.
Is Photography Dead?
Source Newsweek
Written by Peter Plagens
How is that even remotely possible? The medium certainly looks alive, well and, if anything, overpopulated. There are hordes of photographers out there, working with back-to-basics pinhole cameras and pixeled images measured in gigabytes, with street photography taken by cell phones and massive photo "shoots" whose crews, complexity and expense resemble those of movie sets. Step into almost any serious art gallery in Chelsea, Santa Monica or Mayfair and you're likely to be greeted with breathtaking large-format color photographs, such as Andreas Gefeller's overhead views of parking lots digitally montaged from thousands of individual shots or Didier Massard's completely "fabricated photographs" of phantasmagoric landscapes. And the establishment's seal of approval for photography has been renewed in two current museum exhibitions. In "Depth of Field"— the first installation in the new contemporary-photography galleries at the Metropolitan Museum of Art in New York, on display through March 23—the fare includes Thomas Struth's hyperdetailed chromogenic print of the interior of San Zaccaria in Venice and Adam Fuss's exposure of a piece of photo paper floating in water to a simultaneous splash and strobe.
At the National Gallery of Art in Washington, "The Art of the American Snapshot, 1888–1978" (up through Dec. 31) celebrates average Americans who wielded their Brownies and Instamatics to stunning effect.
Yet wandering the galleries of these two shows, you can't help but wonder if the entire medium hasn't fractured itself beyond all recognition. Sculpture did the same thing a while back, so that now "sculpture" can indicate a hole in the ground as readily as a bronze statue. Digitalization has made much of art photography's vast variety possible. But it's also a major reason that, 25 years after the technology exploded what photography could do and be, the medium seems to have lost its soul. Film photography's artistic cachet was always that no matter how much darkroom fiddling someone added to a photograph, the picture was, at its core, a record of something real that occurred in front of the camera. A digital photograph, on the other hand, can be a Photoshop fairy tale, containing only a tiny trace of a small fragment of reality. By now, we've witnessed all the magical morphing and seen all the clever tricks that have turned so many photographers—formerly bearers of truth—into conjurers of fiction. It's hard to say "gee whiz" anymore. Read it all...
Thursday, November 29, 2007
When is Photoshop unethical?
Posted by T. Michael Testi
When is a photograph a lie? According to Roger Sinclair, legal consultant at Egos Ltd, a contract, commercial and media law specialist, “If you use photo editing software to produce a piece of art, [then that’s] fine.
“But if you're using it to make material changes to a picture which you are using to report an event, and to make it seem something different to what it in fact was, then there's a technical term for that which you'd better get to grips with: it's a 'lie'.”
This all stems from an incident last month when British Culture Secretary James Purnell was unable to make it on time to a photo-shoot with other MPs to promote a new development at a hospital in Tameside, he said that instead of ‘letting anyone down’ the MP gave his consent for the hospital to doctor the image so it looked like he was actually there.
As Mr Purnell did eventually turn up, Photoshop was used to add his pose to the original image, giving the impression he had attended, when he hadn’t.
You can read the original article entitled “James Purnell in fake photo row” or you can read the new article “When is Photoshop unethical?” and you decide.
Thursday, November 01, 2007
Boston Red Sox - Photoshopping the champs - Boston.com
Posted by T. Michael Testi
This is actually pretty funny. Boston.com has asked its readers to post some of their “Photoshoped” creations involving the Boston Red Sox World Series victory. See it all…
Book Review: The Designer's Apprentice By Rick Ralston
While using Photoshop, Illustrator, or InDesign, did you ever find yourself manually repeating the same tasks and think there must be a better way? Perhaps you were even aware that actions existed in Photoshop, but were either too busy or too afraid to spend the time to learn them. The Designer's Apprentice was written to help get you started, and keep you going well down the road.
The techniques illustrated in The Designer's Apprentice were developed out of necessity by author Rick Ralston during his 15-year career as a graphics design professional with the Coca-Cola Company in Atlanta. The book was written out of his frustration with the lack of adequate documentation, and holistic discussion of graphics automation. The other problem was that most other documentation on the subject assumes you know more than what you do, or that if you are not an expert, you have no business working with this technology anyway.
The Designer's Apprentice is 252 pages, divided into 12 chapters, and three parts. I will break this down into the three parts; Automation Concepts, Tools, and Projects. The book focuses on three products: Photoshop, Illustrator, and InDesign, of which the author requests you be familiar with and have a good understanding of at least one of these. Most of the examples are posted at the Peachpit website.
Part I, "Concepts," begins by explaining what automation is and how we can find it in our everyday lives, right down to our beating hearts. The author defines automation as a set of editable commands a computer can execute to perform a task. You will learn you can use automation to do things like resize files, apply filters, apply copyrights, edit text, find and replace, merge data, and export data, as well as a whole host of other operations to include doing multiple tasks as a single item.
Part II, "Tools," will expose you to the tools available for automating Adobe Creative Suite. These include Actions, scripting, Automator (Mac), data-driven publishing, and server-based applications, as well as third party programs. With Actions, you can record and play back steps that perform an action. You can also halt and accept user input. Scripting comes in three flavors: AppleScript on Mac's only, JavaScript on Mac and PC, and VBScript on PC's only. Automator is the automation program that is built into Mac OS X operating system.
Each of the three Creative Suite products employs their own versions of Data-Driven Publishing (DDP). DDP allows you to target your market better by driving portions of your output to the correct target by data-driving it.
The author also covers other time saving devices such as QuickKeys, which is a macro software that records your mouse movements and keystrokes, and plays them back on demand, third party editors that allow data clean up, triggering software such as iCal, or iDo on the Mac, or Task Scheduler and Automate on Windows. He also describes server based graphic solutions such as DeBabelizer Pro; to automate optimizing, manipulating, raster images, Adobe Graphics Server; which also processes raster images, produces data-driven raster images, and creates data-driven SVG files.
Part III, "Projects," is four chapters that take you through scenarios. Say you own a graphic design studio and you have a client who wants you to design a campaign to increase awareness in the new retail spaces they have. The chapters break out in to Photoshop automation, Illustrator automation, InDesign automation, and a system project, which links the three together.
The Designer's Apprentice is overall a good book. It does a great job of covering actions and scripting. Since I do not have a Mac, I cannot truly surmise on Automator. The server section is too thin to be of more than informational use, and most users are not going to be interested in server installations that range from $4,000 to $60,000 dollars. If they did, covering it in seven pages would not be where they would make or base their decision. The rest of the book, however, was quite informative.
If you want to take the plunge into the world of Adobe Creative Suite automation, then The Designer's Apprentice is a good place to start. You will find the basics of how to perform menial tasks without having to do them yourself. You will have, in essence, a designer's apprentice.
Photoshop User Awards - The worldwide Adobe Photoshop competition.
Posted by T. Michael Testi
The competition is now open over at Photoshop User Magazine for the Photoshop User Awards. This year the grand prize is a trip to Maui Hawaii for the assignment to shoot the magazine cover.
There are eleven categories to choose from an the winner in each will get $2500 in prizes, with the grand prize of the best of the best receiving a trip to Maui Hawaii for yourself and a friend with plane fare, hotel and daily expenses. Read it all…