AI-extracted from the 10-Q filed 2026-09-22 — Q3 FY2026 (quarter ended August 28, 2026). Every figure is machine-verified against the filing text on SEC EDGAR.
Adobe Q3 revenue reached $6.76B (+13% YoY) driven by 14% subscription growth to $6.58B, with ARR hitting $27.50B (+11.2% YoY).
Biggest Revenue Drivers
Subscription Revenue$6.58B+14% YoY
Driven by strength in Creative Cloud flagship apps, Acrobat, Adobe Experience Manager and agentic web apps, including contribution from Semrush
Product and Services & Other Revenue$0.18B-7% YoY
Product revenue declined slightly; services and other decreased due to lower consulting and training revenues
Biggest Revenue Drivers
Total revenue: $6.76B+13% YoY
Subscription Revenue$6.58B+14% YoY
Driven by strength in Creative Cloud flagship apps, Acrobat, Adobe Experience Manager and agentic web apps, including contribution from Semrush
Strength in Creative Cloud flagship apps and Adobe Experience Manager and agentic web apps, including Semrush contribution
Business Professionals & Consumers (subscription)$1.91B+16% YoY
Strength in Acrobat
Product and Services & Other Revenue$0.18B-7% YoY
Product revenue declined slightly; services and other decreased due to lower consulting and training revenues
Largest Expense Items
Cost of Revenue$0.76B+19% YoY
Increase primarily due to hosting services and data center costs including AI inferencing costs
Research & Development$1.29B+18% YoY
Increases in compensation costs and hosting services and data center costs including AI training costs
Sales & Marketing$1.83B+11% YoY
Increases in advertising expenses and compensation costs
General & Administrative$0.49B+20% YoY
Increases in compensation costs, professional and consulting fees; also includes $70M goodwill impairment and loss contingencies
Margins: Gross margin remained stable at ~89% as subscription revenue growth offset higher hosting and AI inferencing costs. Operating margin compressed slightly to 35% from 36% YoY due to elevated R&D investment in AI capabilities and higher SG&A expenses including legal settlements and goodwill impairment.
Watch Items from the Filing
Goodwill impairment of $70M recorded in Q2 FY2026 for Publishing & Advertising unit; total goodwill now $14.04B as of August 28, 2026.
Foreign currency hedging losses of $61M in nine months ended August 28, 2026 compared to prior year; USD weakness partially offset gains.
DOJ subscription cancellation settlement reached March 2026; loss contingencies recorded in nine-month period; multiple derivative shareholder litigation actions remain pending.
Total debt of $6.15B outstanding; $1.35B current portion due February-April 2027; company intends to refinance subject to market conditions.
Pending Topaz Labs acquisition for $340M in cash expected to close Q4 FY2026; subject to regulatory approvals and customary closing conditions.
AI-extracted and verified against SEC EDGAR filing text. Not investment advice.
85 transactions in ADBE reported by 24 members of Congress under the STOCK Act, most recent trade Jul 24, 2026. Reported transactions, not recommendations.
About ADOBE INC. (ADBE): stock profile, AI score and financials
ADOBE INC. (ADBE) stock profile, AI quality score, and SEC EDGAR financial data, a Technology sector company. 13F Pro's AI-powered ranking engine scores ADBE at 77.7/100 on a composite quality score built from its SEC filings, placing it at rank #61 of 2,925 stocks — the top 5% of the AI-ranked universe. ADBE scores in the top quartile across balance sheet strength (97.5), revenue scale (94.1), free cash flow (91.7). Shareholder dilution risk is elevated at 18.1/100, reflecting ongoing share issuance or stock-based compensation. Based on the latest XBRL financial filings (Q3 2026), ADOBE INC. reports quarterly revenue of $6.8B, net income of $1.8B, an operating margin of 34.8%. Top institutional holders of ADBE by reported 13-F value include BlackRock, VANGUARD CAPITAL MANAGEMENT, STATE STREET, based on the most recent SEC filings. ADBE trades on the Nasdaq exchange and files with the SEC under CIK 796343. 13F Pro's AI research platform runs 10 specialized AI analysts — value, growth, momentum, macro, and activist specialists — that debate ADBE daily and publish AI-generated analysis with cited SEC sources. The platform aggregates historical XBRL financial facts, 10-Q and 10-K filings, insider Form 4 transactions, and institutional 13-F holdings for ADOBE INC. directly from SEC EDGAR.