CLAIM #4108 · Adobe Systems Incorporated (ADBE) · 2023Q3 earnings call · Sep 14, 2023 · due Dec 1, 2023
“what we are confident is while we continue to invest in that, the scrutiny that Dan and his team have on other expenses, that we can continue to drive top-line growth as well as cash flow and EPS.”
Shantanu Narayen · CEO
How to check this claim
Look at: Revenue (top-line) growth, operating cash flow, and EPS, year-over-year
It came true if: Revenue growth > 0% AND operating cash flow higher than prior year AND EPS higher than prior year
Where: Quarterly income statement and cash flow statement (Q4 FY2023 earnings release)
In context
“to do as we roll these out in our MAX conference down in L.A. again to keep the enthusiasm with the customer base building, implicit in that guide is an operating margin of around 45.5%. So, as you think about us leading this industry, leading the inflection that's unfolding in front of us, that mid-40%s number we think is the right ballpark to think about the margin structure of the company as we continue to drive this technology and leadership. Looking forward to the Q4 earnings call where we will share more about our fiscal 2024 targets. Shantanu Narayen: And maybe Keith, just 30 seconds to add to that, for investors like you who want to make sure we're not in any way not investing in the future, we are investing on training for 3D, for video, for new forms of imaging and vectors. So, what we are confident is while we continue to invest in that, the scrutiny that Dan and his team have on other expenses, that we can continue to drive top-line growth as well as cash flow and EPS. So, I think we're unique in that respect. Keith Weiss: Definitely. Very impressive, guys. Thank you so much for taking the question. Operator: And our next question will come from Kash Rangan with Goldman Sachs. Kash Rangan: Sorry to hear of John Warnock's passing. My condolences. But congrats on the quarter. As we look at the pricing model for generative AI products which are based on consumption, do you think that these -- rather, how additive do you think the generative AI offerings will be to the growth profile of the company going forward? And also one for Dan. When you look at your Q4 guidance, are you contemplating -- it looks like it's not largely changed versus the Street's prior expectations. Are we not embedding any opportunities to show what the generative AI products can do?”
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SEC filings for ADBE ↗ · Claim quote is verbatim from the 2023Q3 earnings call.