Adobe Inc.

Please welcome Jonathan Voss, Vice President of Investor Relations.

Good morning and thanks everyone for joining us today. I'm Jonathan Voss and welcome to our financial analyst meeting. You should have a copy of the press release which we filed this morning at approximately 5 a.m. Pacific time. AS WELL AS A COPY OF OUR SLIDES THAT WE POSTED TO THE INVESTOR RELATIONS WEBSITE. I'M HOPEFUL TO HAVE AN OPPORTUNITY TO MEET WITH MANY OF YOU IN PERSON THIS YEAR. FOR NOW, I'M REALLY PLEASED TO BE ABLE TO BE HERE WITH ADOBE'S LEADERSHIP TEAM AND ENGAGE ONCE AGAIN VIRTUALLY, AND WE HAVE A GREAT PROGRAM FOR YOU TODAY. WITH THE WEBCAST FORMAT THE LIVE PRESENTATION WILL BE DOING TODAY WILL BE A STREAMLINED VERSION OF THE LONG FORM INFORMATION THAT WE POSTED TO THE INVESTOR RELATIONS WEBSITE THAT HAS ALL OF THE INFORMATION YOU'RE YOU'RE USED TO RECEIVING FROM ADOBE SO WE'LL WE'LL COVER A PORTION OF THOSE SLIDES TODAY AND THEN WE'LL GO AHEAD AND DO Q AND A AT THE END LET'S TAKE A QUICK LOOK AT THE AGENDA. SHANTI NEW WILL KICK THINGS OFF WITH A BRIEF WELCOME AND THEN AND WILL PRESENT ADOBE'S VISION AND STRATEGY FOR THE FUTURE. ANIL WILL GO OVER OUR DIGITAL EXPERIENCE STRATEGY AND DAVID WILL COVER DIGITAL MEDIA STRATEGY AFTER THAT. AND THEN DAN DERN WHO JOINED IN OCTOBER AS ADOBE'S CHIEF FINANCIAL OFFICER WILL PROVIDE A DETAILED FINANCIAL SUMMARY AS WELL AS DISCUSSING ADOBE'S LONG-TERM STRATEGY. THEN SHANTANU WILL WRAP THINGS UP SHARING HIS VISION OF THE LONG-TERM OPPORTUNITY AND WE'LL GO TO LIVE Q&A. Before we get started, as a reminder, some of the information we'll be providing includes forward-looking statements that are subject to risk and uncertainty. Actual results may differ from those statements, and we encourage you to review the risk factors in our SEC filings for more information. Additionally, we'll be providing both GAAP and non-GAAP financial metrics. Reconciliations between the two are available on Adobe's Investor Relations website. I will now pass it over to Adobe's chairman and CEO, Shantanu Narayan.

Good morning and thanks, Jonathan. Welcome to this virtual 2022 financial analyst meeting. Adobe had another outstanding year in 2021. I'm incredibly proud of the dedication and resilience of Adobe's 25,000 employees all around the world in delivering breakthrough technologies for our customers. I'd like to start with a recap of the tremendous accomplishments we had across every dimension in 2021. As a product geek at heart, I take immense pride in our team driving hundreds of innovations across Adobe Creative Cloud, Document Cloud, and Experience Cloud. Earlier this week, we introduced Creative Cloud Express to enable anyone to express their ideas simply and beautifully. Creative Cloud Express is the start of a brand new journey to introduce first-time creators to Adobe Creative Tools while adding significant value to all of our current Creative Cloud subscribers. I think it marks a new chapter of creation, collaboration, and sharing on the web and leverages the unique technology and capabilities of Adobe's flagship products. It also builds on the collaboration capabilities we debuted at Max, including Illustrator and Photoshop on the web, Creative Cloud Spaces, and Creative Cloud Canvas. With the addition of Frame.io, we're now incorporating review and approval functionality to deliver a powerful collaboration platform for end-to-end video collaboration. And we're continuing to add magic to our flagship applications, and we're enabling them to run natively on new hardware like Apple's M1 chip, as well as Microsoft Windows, Surface, and Pen. In Document Cloud, Acrobat Web now supports 21 frictionless verbs, create, export, extract, and edit for both text and images in PDF. We've seen tremendous growth in Acrobat Online as people tap our powerful free browser-based document tools to handle important tasks on the fly without the need to download any software. In addition, we made outstanding progress with PDF support within both the Chrome as well as Edge browsers. And on the Experience Cloud platform, we extended our real-time customer data platform to B2B customers, bringing together individual and account profiles across systems to give B2B companies a single view of their customer for the very first time. We launched Adobe Journey Optimizer, harnessing over 20 years of industry-leading email marketing and cross-channel campaign management expertise to empower brands to design and deliver personalized experiences across the entire customer journey in a single application. With the new acquisition of Adobe Workfront, we're now empowering companies to optimize business outcomes by connecting creative and marketing professionals to manage all creative workflows across the entire marketing lifecycle. In addition, we've advanced our industry leadership in key areas across our portfolio. clearly underpinning our three clouds is the magic and power of Adobe Sensei, our artificial intelligence and machine learning framework, a significant differentiator for Adobe and an enabler to more rapid innovation. We continued our investment in the Adobe Experience Platform as the foundational platform for strong governance capabilities across our Experience Cloud business, accelerating innovations like real-time customer data platform and Adobe Journey Optimizer on a global scale. We take our responsibility in the creative community very seriously, and as part of the content authenticity initiative, we've published a draft specification as an open standard to combat online disinformation. I'm amazed at the resiliency of our employees, and we pioneered all new digital event experiences with Adobe Summit and Adobe Max, extending our reach and engaging millions of people around the world. I'm also tremendously proud of the industry recognition we continue to receive for our brand, our workplace, our culture, and our practices. And just to name a few examples, we were again named a top riser on Interbrand's best global brands list. We're named to Fortune's 100 best companies to work for for the 21st year. People Magazine's companies, companies that care list for the fifth year. Fast Company's Brands That Matter list. And I think what's more significant for a lot of investors moving forward, the Dow Jones Sustainability Index for the fifth year. And one that I'm particularly proud of, 100% score for being the best place to work for disability inclusion. When you look at our financial results, it puts us in an incredibly rare position in the industry. Not many companies can drive the top line and bottom line growth with an impressive margin the way we do. And we powered through $15 billion in 2021. And we accomplished some significant milestones in Q4. Our first billion dollar digital experience revenue quarter, our first $3 billion digital media, and $2 billion in cash flow. Just some incredible financial statistics. Dan Dern, our new CFO, will cover our Q4 as well as our FY21 results in greater detail. Since he joined Adobe in October, I've really appreciated his experience and partnership, and I look forward to him sharing his perspective as well as having significant impact on Adobe's growth in the decade to come. I'm also delighted to announce that Anil Chakravarti and David Bhadwani have been promoted to the president of the digital experience and digital media businesses, respectively. I value their leadership and contributions, and they will share more color around each of our businesses. While 2021 was awesome, I'm actually most excited about what's to come for 2022 and beyond in the over 20 years that I've been at Adobe. We have this immense market opportunity. We have an incredible technology innovation roadmap and the best leadership team of any company on the planet. And I think what we've done is provided 2022 targets that demonstrate the strength of the underlying business. Three incredibly large growing opportunities across our clouds, continued focus on execution based on the current economic climate. I think the one change that we all are experiencing is as the company scales beyond $15 billion, we also have to focus on FX expectations given the recent strength of the U.S. dollar. But as excited as I am to talk about 2022, today is really sharing about Adobe's tremendous growth story and how we're going to be driving the next decade of growth, because that's really what underpins our growing over $200 billion addressable market opportunity. As you'll hear throughout the day from our leadership team, our growth is anchored across these five key pillars. our proven track record and our focus on creating and leading categories. The ever-increasing expanding set of customers that we serve, from consumers to creative pros to first-time creators to small and medium businesses to the largest enterprises in the world. Our ability to deliver incredible technology platforms that enable whole new classes of applications and accelerate our innovative cadence. The important shift we continue to make from building applications to enabling new business models, apps, services, artificial intelligence and platforms that's paying dividends. And last but not least, an incredible global ecosystem of partners that spans the entire customer lifecycle from experience creation and marketing to delivery and ongoing support. And I think the message for you as investors is across every dimension, across every business, our aspirations are higher and we're thinking bigger. There's this incredible once-in-a-lifetime expansive opportunity in front of us, and I think we're uniquely positioned to capture it. And now to provide color on the strategy on how we're going to expand markets and categories, I'd like to welcome Ann Lunas, who recently celebrated her 15th year at Adobe, our incredible chief marketing officer, who's also taken on the additional responsibility for corporate strategy. Ann?