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Citing a 'strong performance' by Adobe Acrobat and its creative systems, Adobe recorded sales of $655.5 million, compared to $472.9 million in the same period a year ago, which is a 39 per cent growth in revenue. This was at the upper limit of target expectations (of between $630 to $660 million).

Profits were down, however, with net income standing at $105.1 million compared to $151.9 million in the first quarter of 2005. Note that the company's results incorporate the recent acquisition of Macromedia, which will affect direct comparisons with previous quarters.

This all translated into earnings per share of $0.17. This is on a GAAP (generally accepted accounting principles) basis (a non-GAAP total, which

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would exclude charges from the Macromedia acquisition would be $0.32).

'Adobe's business continues to perform well, driven by strong demand for our creative solutions and Acrobat,' said Adobe's chief executive officer, Bruce R. Chizen. 'In addition to our strong financial results, we are making rapid progress integrating the Macromedia business and remain excited about our prospects for future growth.'

Wall Street's reaction was lukewarm, however, with disappointment at the dent in profits. Shares fell 3.5 per cent in after hours trading.

Looking ahead to its second fiscal quarter of 2006, Adobe is targeting revenue of $640 million to $670 million, and - on a non-GAAP basis (excludes acquisition-related costs and stock-based compensation) - is aiming for earnings per share of approximately $0.30 to $0.32.

You can read more information on the Investor Relations section of the Adobe website.