Both the WSJ and Bloomberg reported earlier this morning that Adobe was close to announcing the deal to acquire Figma. In the end, Adobe confirmed the news to coincide with its quarterly earnings.
Those Q3 earnings saw the company post revenues of $4.43 billion and non-GAAP earnings per share of $3.40, which respectively met and exceeded analysts’ expectations. Nevertheless, the company said that it might need to finance this deal with a loan, and it provided a lukewarm outlook for the next quarter, with revenues expected to be $4.52 billion and EPS of $3.50, citing “the overall macroeconomic environment” and “FX headwinds”. Its stock is trading down nearly 10% pre-market open — one sign of how Adobe likely hoped the news of consolidating and taking out a rival could give it a boost.
Investors are not the only ones a little worried…
Source: Tech Crunch