Adobe posts first Billion Dollar Quarter despite criticisms against Flash

In the fourth quarter of fiscal 2010, Adobe achieved record revenue of $1.008 billion, compared to $757.3 million reported for the fourth quarter of fiscal 2009 and $990.3 million reported in the third quarter of fiscal 2010.  This represents 33 percent year-over-year revenue growth.  Adobe’s fourth quarter revenue target range was $950 million to $1 billion.

In 2010, Adobe had a series of notable releases in key product segments that helped bolster its current success. Adobe CS5, Lightroom 3, Photoshop Elements 9 and Acrobat X shipped in 2010 with major feature upgrades.

This is despite a very public and almost embarrassing dispute against Apple over its Flash web animation and motion graphics format. Apple openly dismissed Flash and disabled the plugin in the popular iPhone, iPod Touch and iPad devices as well as the recently released MacBook Air 2010. 

Adobe has since allied itself with Apple's competitors specifically RIM whose BlackBerry PlayBook will ship with Flash and Adobe Air.

The Company also reported record revenue of $3.800 billion in fiscal year 2010, compared to $2.946 billion in fiscal 2009.  This represents 29 percent year-over-year revenue growth.

“We posted our first billion dollar quarter and record annual revenue in 2010, driven by outstanding performance across all of our major businesses,” said Shantanu Narayen, president and CEO of Adobe.  “Adobe is transforming how the world is creating, measuring and delivering digital experiences.  We are one of the most diversified software companies in the world and are entering 2011 with strong momentum.”