Adobe $ADBE’s ADBE Annualized Recurring Revenues (ARR) hit $26.06 billion exiting the first quarter of fiscal 2026, growing 10.9% year over year, driven by strong demand for Acrobat and Express, Creative Cloud Pro, Adobe Experience Platform (AEP) and apps, as well as GenStudio in the Enterprise. AI-first applications (including Firefly app and Firefly Enterprise) ARR tripled on a year-over-year basis, while total customers with ARR over $10 million grew by more than 20% year over year. Globally, AEP and apps, as well as Adobe GenStudio, saw ending ARR growth of more than 30% year over year. Acrobat AI Assistant ARR grew approximately 3 times year over year.
Firefly’s ending ARR across the Firefly app, Firefly credit packs and Firefly Enterprise exceeded $250 million. Firefly subscription and credit pack ending ARR grew 75% sequentially, reflecting strong Firefly momentum with generative credit consumption growing more than 45% quarter-over-quarter. Demand for video generative actions grew more than 8 times year over year, and audio generative actions doubled year over year, which reflected customers adopting AI-assisted creation across the full creative process.
Adobe expects ARR to grow 10.2% for fiscal 2026. However, ARR growth is expected to remain under pressure in the near-term due to higher monthly active users for freemium new AI offerings. Nevertheless, Adobe’s innovative portfolio and an expanding partner base are expected to drive ARR over the long term. Adobe boasts a rich partner base that includes the likes of NVIDIA, Amazon $AMZN Web Services (AWS), Microsoft $MSFT,
