Adobe 2009 Annual Report Download - page 119

Download and view the complete annual report

Please find page 119 of the 2009 Adobe annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 139

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139

ADOBE SYSTEMS INCORPORATED
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (Continued)
119
Effective in the first quarter of fiscal 2009, our former Mobile and Devices Solutions segment, was integrated into our
Platform business unit to better align our engineering and marketing efforts and is now reported as part of the Platform
segment. Prior year information in the table below has been reclassified to reflect the integration of these business units.
To better align our marketing efforts and go-to-market strategies, in fiscal 2010 we plan to move responsibility for the
Connect Solutions product line from our Knowledge Worker segment to our Enterprise segment. We will adjust our
reportable segments at the beginning of fiscal 2010 to reflect changes for how we manage our business as we enter the new
fiscal year.
We report segment information based on the “management” approach. The management approach designates the
internal reporting used by management for making decisions and assessing performance as the source of our reportable
segments.
Our chief operating decision maker reviews revenue and gross margin information for each of our reportable segments.
Operating expenses are not reviewed on a segment by segment basis. In addition, with the exception of goodwill and
intangible assets, we do not identify or allocate our assets by the reportable segments.
Our segment results for fiscal 2009, 2008 and 2007 were as follows (dollars in thousands):
Creative
Solutions
Knowledge
Worker
Enterprise
Platform(1)
Print and
Publishing
Omniture(2)
Total
Fiscal 2009
Revenue ....................................
$
1,702,110
622,970
$
235,498
$
181,033
$
177,970
$
26,272
$
2,945,853
Cost of revenue ........................
152,909
40,155
47,991
21,174
18,674
15,829
296,732
Gross profit...............................
$
1,549,201
582,815
$
187,507
$
159,859
$
159,296
$
10,443
$
2,649,121
Gross profit as a percentage
of revenue ............................
91%
94%
80%
88%
90%
40%
90%
Fiscal 2008
Revenue ....................................
$
2,072,835
810,883
$
252,976
$
231,558
$
211,637
$
—
$
3,579,889
Cost of revenue ........................
160,560
53,282
75,539
44,344
28,905
—
362,630
Gross profit...............................
$
1,912,275
757,601
$
177,437
$
187,214
$
182,732
$
—
$
3,217,259
Gross profit as a percentage
of revenue ............................
92%
93%
70%
81%
86%
—
90%
Fiscal 2007
Revenue ....................................
$
1,898,924
728,528
$
191,317
$
133,380
$
205,732
$
—
$
3,157,881
Cost of revenue ........................
147,161
57,683
68,932
44,087
36,831
—
354,694
Gross profit...............................
$
1,751,763
670,845
$
122,385
$
89,293
$
168,901
$
—
$
2,803,187
Gross profit as a percentage
of revenue ............................
92%
92%
64%
67%
82%
—
89%
_________________________________________
(1) Platform revenue includes revenue related to our Mobile client products of $51.3 million, $113.1 million and $52.5
million for fiscal 2009, 2008 and 2007, respectively, or 28%, 49% and 39% of Platform revenues, respectively.
(2) Fiscal 2009 includes the integration of Omniture as a new reportable segment in the fourth quarter. Fiscal 2008 and
2007 do not include the impact of our acquisition of Omniture.