Adobe Inc.

Good day, and welcome to the Q4 and FY24 Adobe Earnings Conference Call. Today's conference is being recorded. At this time, I'd like to turn the conference over to Steve Day, SVP, DX, CFO, and Corporate Finance Interim Head of IR. Please go ahead, sir.

Good afternoon, and thank you for joining us. With me on the call today are Shantanu Narayan, Adobe's Chair and CEO, David Wadwani, President of Digital Media, Anil Chakravarti, President of Digital Experience, and Dan Dern, Executive Vice President and CFO. On this call, which is being recorded, we will discuss Adobe's fourth quarter and fiscal year 2024 financial results. You can find our press release as well as PDFs of our prepared remarks and financial results on Adobe's Investor Relations website. The information discussed on this call, including our financial targets and product plans, is as of today, December 11th, and contains forward-looking statements that involve risk, uncertainty, and assumptions. Actual results may differ materially from those set forth in these statements. For more information on those risks, please review today's earnings release and Adobe's SEC filings. On this call, we will discuss GAAP and non-GAAP financial measures. Our reported results include gap growth rates as well as constant currency rates. During this presentation, Adobe's executives will refer to constant currency growth rates unless otherwise stated. Non-gap reconciliations are available in our earnings release and on Adobe's investor relations website. I will now turn the call over to Shantanu.

Thanks, Steve. Good afternoon and thank you for joining us. In Q4, we achieved revenue of $5.61 billion, representing 11% year-over-year growth. In our digital media business, we delivered record net new ARR of $578 million. And our digital experience business achieved subscription revenue of $1.27 billion, representing 12% year-over-year growth. 2024 was a year of records for Adobe. We achieved record revenue of $21.51 billion, representing 11% year-over-year growth. Gap earnings per share was $12.36, and non-gap earnings per share was $18.42, representing 5% and 15% year-over-year growth, respectively. We hit several new milestones with our AI innovations. enabling us to add more than $2 billion in digital media net new ARR and surpass $1 billion in the ending book of business for Adobe Experience Platform and native apps. The digital experience business crossed $5 billion in revenue, making us one of the mission-critical providers of marketing technology in the world. We exited the year with $19.96 billion in RPO, and cash and short-term investments of $7.89 billion. 2024 was also a transformative year of product innovation, where we delivered foundational technology platforms. We introduced multiple generative AI models in the Adobe Firefly family, including imaging, vector design, and most recently, video. Adobe now has a comprehensive set of generative AI models designed to be commercially safe for creative content, offering unprecedented levels of output quality and user control in our applications. We reimagine creativity and productivity for a broader set of customers with Adobe Express, the quick and easy create-anything app. The deep integration of Firefly across our flagship applications in Creative Cloud, Document Cloud, and Experience Cloud, is driving record customer adoption and usage. Firefly-powered generations across our tools surpassed 16 billion with every month this past quarter setting a new record. We enhanced document productivity with AI Assistant in Adobe Acrobat and Reader, unlocking even greater value from the trillions of PDFs around the world. We've successfully scaled Adobe Experience Platform and native apps to deliver the fundamental infrastructure required for customer engagement. We're accelerating automated decisioning, empowering audiences, journeys, and channels to deliver truly personalized experiences at scale. We set the stage to drive an AI content revolution by bringing content and data together in Adobe Gen Studio integrating high-velocity creative expression with enterprise activation. The release of Adobe Gen Studio for performance marketing integrates Creative Cloud, Express, and Experience Cloud and extends our end-to-end content supply chain solution, empowering freelancers, agencies, and enterprises to accelerate the delivery of content, advertising, and marketing campaigns. I'll now turn it over to David to discuss the momentum in our digital media business.