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MacDailyNews Note: Adobe earned 54 cents per share in its fiscal third quarter vs. analysts consensus expectation of 49 cents per share. Revenue increased 42% to $990.3 million vs. expectations of $985 million.
CNBC reports, “Guidance for the fourth quarter placed expected revenue in the range of $950 million-$1 billion, considerably less than $1.03 billion expected by analysts.”
MacDailyNews Note: Following Adobe’s earning release, in after-hours trading, ADBE shares were down nearly 15%.
Full article here.
MacDailyNews Take: Suggestion: Less whining, ingrates, and more work.
So much for that Flash packager bump.
Ok, let me get this straight.
Adobe predicts $950-1000m and are getting trounced because they didn’t say $953-1003m? $3 million is an issue beneath the scale of a billion
Ummm, didn’t really think the guidance and analysts’ expectations were off by a margin worth of shedding 15 percent of stock price.
I’ll post again when I think of something snarky to say about Flash.
This is the problem with releasing your software in one big sticky wad. CS5 sales evidently didn’t impress Wall Street much. And it’s going to be a whole long year before the next version.
Joe’s right, this is nonsense. They guided to $950 to 1000M, which implies that the error rate is $25M, so $3M is within the margin of error.
If Sony bought Adobe, would this be a Flash in Japan?
=:~)
@ ChrissyOne What kind of big sticky wad are you thinking of? The mind runs agog with possibilities!:-)
The MDN take is spot on. We use some of Adobe’s stuff out of necessity…BUT it is painful. CS applications open with glacial-like speed even on a Mac Pro octomom with 8GB of memory.
If Adobe had been working to support the Mac platform for the past ten years rather than pissing on it, then I might not feel so militant about those goobers. Stick it, Adobe!
0.03 billion is 30 million, not 3.
But still not a huge difference, considering the margin of error.
Then again, this is about manipulating stock prices, not actual merit.
Nice use of ‘agog’.
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Chas . . . Chas . . . what are we going to do with you…?
I have yet to use anything from Adobe that runs well on anything from consumer grade to workstation grade computers. It’s pretty obvious that Adobeviews customers as cows to be milked & rubes to be bilked. there’s other SW out there that will get the job done well and for fewer $ & issues.
Here’s to hoping this trend continues! Normally I’m against schadenfreud (or however you spell it), but with Adobe it’s different. I have used their software for over 10 years and ever since they stopped supporting the Mac and started “porting” I’ve hated them. Their shitty software has only gotten more buggy and fragmented over time and they refuse to do anything but bitch about the Mac. So I am glad they’re falling, and I hope that they continue to do so.
Now if there was only a decent industry-supported competitor to their creative suite, that would be great. Until then, I am sticking with CS3 and never upgrading again. You’ve extorted enough money from me Adobe, I hope you rot in hell.
I remember the days that Adobe was innovative. Those days are looongg gone.
All they are interested in now is to see how the can cram Flash in every single product they own or bloat it to a point that it’s unusable.
Their downfall was the day they purchased Macromedia and essentially bought their competition. No longer did they have to worry about making cool products or more importantly, making them stable.
Stuffing the channel always has a payback.
Adope’s shenanigans have helped fuel their dismal quarter…
adobe is made out of dung and straw. FACT! That and some other stuff, also John Nackers
Adobe is not keeping its stockholders happy, they appear to hate their customers, they miss their targets for delivering new software versions, and when it arrives, it stinks and is missing promised features. Their core software is long in the tooth and badly in need of a complete rewrite…
Why exactly are they still in business, and what do they think they are doing?
I am totally underwhelmed by Photoshop CS5. When is somebody gonna step up and kick Adobe’s ass?
They deserve to get bitch-slapped by Wall $treet. Just visit the Adobe user forums having to do with the CS5 suite (pick the Photoshop CS5 User Forum for Mac – or for that matter, Windows and prepare to be amazed). http://forums.adobe.com/community/photoshop/photoshop_macintosh
To an individual, the responses and postings in the user forum are shrill and furious. People are going absolutely insane trying to make CS5 function with anything approaching moderate stability. Filters are broken. Printing and scanning drivers are broken. It crashes constantly. It breaks very expensive video cards. At best, CS5 is an early beta, and really more of a bad alpha version at this stage. Some people paid up to $1,300 for the CS5 Suite, only to find their investment is completely worthless.
In short, CS5 is a complete train wreck.
If you read the comments in response by Adobe chief corporate apologist Chris Cox, he will always come back with the same answer: in the Mac forums, he flatly states that it’s Apple’s fault. In the Windows forums, he flatly states that it’s Microsoft’s fault.
Chris Cox is wrong. I am sure he knows that, but he is paid to say the exact opposite.
Mind you, little guys and sole proprietors are easily hoodwinked. You can read the pieces by the usual retinue of Adobe gurus who suckle at the teat of Adobe, who swear that CS5 is really cool. But I have chatted with several filter makers who have told me privately to stay away from CS5. It’s not at all ready for prime time.
But large corporate buyers and ad agencies know better. Word has it that they are holding off on their site license upgrades and purchases of CS5, because based on their tests, they know it’s a disaster. It’s no surprise then that Adobe’s quarterly projections are falling short. The smart money is on to their lies and utter incompetence.
In my heart of hearts, I can only pray that a company like Apple has a full-blown Adobe CS suite competitor, or at least a Photoshop competitor waiting in the wings. Adobe has gone from what once was an innovative and well managed company to a bloated corporate mess populated by clueless MBAs. Sad.
To paraphrase the late Werner Von Braun, the architect of the NASA Apollo space program about the bureaucracy of NASA: “If we had more people, we would have failed.” Sadly, this is what Adobe has become.
Instead of staying current with Apple’s developer tools and guidelines, Adobe lagged almost a decade behind. Even Photoshop CS4 can only address 4 gigs of RAM, which is ridiculous. If you set the static RAM settings in CS4 to the full 4 GIGs, you will crash. Today’s Mac Pro Towers, even consumer Macs, can address far more than that. Memory leaks and out of memory errors are common. And CS4 is relatively stable insofar as Photoshop is concerned.
It’s a mess. Photoshop is one of the most important software applications in use today by graphic artists, illustrators and photographers. And CS5 is functionally useless. I pity anyone who was hoodwinked into buying it.
I can only hope that the board of directors of Adobe initiates a serious house cleaning of the company’s senior management, and brings in a team with some measure of competence. The direction taken by Adobe and its product management is nothing less than a disaster. How many bad quarters will it take for the world to wake up to that fact?
As a daily, heavy Photoshop user for more than 18 years, your post is one of the most insightful, on point, pitch-perfect and downright perfect assessments of Photoshop, CS4, and Adobe in general as I have ever read.
The more this situation grinds on, the more I wish Apple would buy them. Not because Apple’s perfect — far from it — but because they truly value creativity and building tools that allow it to happen. And companies like that are becoming fewer and fewer…
@Furious,
In many ways, what you have said about Adobe can be said about M$ as well. And also Apple in the late 80’s and up to ’97.
Seems like a combination of suits and a monopoly just breeds incompetence, arrogance and eventually poor products and failure.
I hope Adobe dies the same death they gave FrameMaker!
Yes, Adobe is sort of like Microsoft in which they EXTEND AND EMBRACE companies and products and then KILLS THEM OFF to protect their own crapware.
What happened to the Altsys suite?
Adobe, Macromedia, Specular, MetaTools and Fractal Design were all much better off then they were SMALLER AND MORE INNOVATIVE.
Im afraid the days of graphics app innovation are over. I would bet that with the purchase of Macromedia, Adobe now holds a most of the patents on photo manipulation/vector graphic software that would make it very very hard for any company to design a competitive software package with all the features we have become accustomed to. I would say that any other company would have a long legal battle ahead of it if they were to try to design a Photoshop alternative.