Adobe Systems shares pop after saying fiscal 2019 revenue to rise 20%

Shares of Adobe Systemc Inc (NASDAQ:ADBE) jumped in afterhours trading on Monday after the company projected revenue in fiscal 2019 to rise 20% and reaffirmed its revenue and earnings targets for the fourth quarter of the year.

The company’s executive team said after meeting in Los Angeles that digital media and digital experience segment revenue should each increase 20% in fiscal 2019, and that net new digital media annualized recurring revenue should hit $1.4 billion. Digital experience subscription bookings should see around 25% year-over-year growth.

The shares of Adobe jumped 13.99% in afterhours trade on Monday to $252, having closed 4.36% lower at $238.01.

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Adobe affirmed it is on track to achieve 4Q fiscal year 2018 revenue of $2.42 billion.

The company also stated it is on track to achieve its 4Q earnings per share targets of $1.42 on a GAAP-basis, and $1.87 on a non-GAAP basis, as well as meet other financial metrics it targeted for the quarter.

These targets do not reflect the impact of Adobe’s pending acquisition of Marketo. The company will report fourth quarter earnings on December 13.

Adobe Systems is a US computer software company. It is based in San Jose, California.

Reporting by Rene Pastor, contactable on [email protected]

Story by ProactiveInvestors