Adobe Exceeds $11 Billion in Annual Revenue Thanks to Strategic Acquisitions
Adobe reports record-breaking annual revenue of $11.17 billion for fiscal year 2019, representing a 24 percent growth rate. The impressive financial milestone stems from a combination of major acquisitions like Marketo and Magento, alongside strong in-house product development.
Adobe reports record-breaking annual revenue of $11.17 billion for fiscal year 2019, which represents a 24 percent growth rate compared to the previous year. The company generates $2.99 billion in the most recent quarter alone, solidifying its position as one of the largest and most profitable software companies in the world. CEO Shantanu Narayen calls the financial performance a phenomenal milestone for the organization.
Strategic acquisitions play a major role in driving this impressive growth throughout the year. Adobe buys Magento for $1.7 billion in May and subsequently acquires Marketo for $4.75 billion in September, placing both companies under its Digital Experience revenue segment. This specific segment generates $859 million in the final quarter, showing sequential growth as the company successfully cross-sells and up-sells these newly integrated platforms.
However, Adobe does not rely solely on acquisitions to expand its market share, as it also builds new enterprise products in-house. The company actively evolves its customer experience management strategy by launching the Adobe Experience Platform, which features real-time customer profiles and an open architecture. This purpose-built platform enables businesses to deliver personalized customer experiences at scale, further boosting Adobe's internal product revenue.