Adobe on Monday said that it is on track to hit its second quarter and fiscal 2013 financial targets. Analysts expect to hear more from Adobe on how it has navigated the transition from a license-dependent software business to one aligned with cloud computing and subscriptions.
The company reiterated its second quarter targets ahead of its MAX conference.
Here's a look at Adobe's second quarter and 2013 guidance.
More importantly, analysts are looking for Adobe executives to outline the Creative Cloud possibilities beyond the 4 million subscriber target by 2015.
Macquarie analyst Brad Zelnick said in a research note:
In FY10 management indicated the addressable market included 6.7m Creative Pros, 10.6m @Work Creatives, and 22m Education. We note $40/month long term value on 4 million ending subs in 2015 implies a ~$2bn annual recurring revenue stream.
Zelnick also said that he wanted details about the composition of the Creative Cloud customer base broken down by verticals. Adobe may also need to price the Creative Cloud off the monthly subscription model to better target education as well as the academic calendar.
As a bonus, Zelnick was looking for details about Creative Suite 6.5 and how it will drive cloud subscriptions.