Adobe targets total revenue between $6.43 billion and $6.48 billion during the second quarter of fiscal year 2026. The company also expects earnings per share to range between $4.35 and $4.40 on a GAAP basis, and between $5.80 and $5.85 on a non-GAAP basis. This outlook is based on an estimated non-GAAP operating margin of 44.5%, noting that these figures do not include any contribution from the pending acquisition of Semrush.

Adobe successfully attracted more than 80 million monthly active users to its freemium tiers, a 50% year-over-year increase, representing a major success in brand building and reaching new generations of creators. However, this model causes a timing shift and temporary pressure on annualized recurring revenue (ARR) in the near term, as users initially enter without paying, and the actual monetization process begins later when they hit paywalls and upgrade their accounts.

Adobe's traditional stock business represents a commercial portfolio valued at approximately $450 million, and it experienced a larger and faster decline in the first quarter than the company had planned. This decline is driven by users' growing preference to generate images and content directly using generative AI tools rather than browsing and purchasing stock photos. Adobe is currently addressing this shift by offering hybrid offerings that combine licensed intellectual property with commercially safe generative AI.