Adobe's fiscal third quarter results were roughly in line with expectations, but the company cut its outlook based on a transition to a cloud computing model.
The company reported third-quarter earnings of $201.4 million, or 40 cents a share, on revenue $1.08 billion, which met the low end of Adobe's expectations. Non-GAAP earnings in the third quarter were 58 cents a share, in line with estimates.
The good news is Adobe is seeing better-than-expected subscriptions to its Creative Cloud. The bad news is there's a revenue hit during the transition. Adobe said: