Adobe's (ADBE 7.58%) second-quarter earnings report was very strong, especially in one segment that may come as a surprise. In this clip from "3 Minute Stock Updates" on Motley Fool Live, recorded on July 6, Fool.com contributor Toby Bordelon highlights the software company's trending revenues from its metaverse and e-signature businesses.
Toby Bordelon: This is their three main segments here. The three main divisions. They've got Adobe Creative Cloud, which is things like Photoshop, Document Cloud, Acrobat, and e-signature business there. Experience Cloud, which is things like marketing and analytics. They'll give you numbers on each one of these, but they also will lump Creative Cloud and Document Cloud together in the media segment as well. They report all their results.
But if you break this down, you see that it's a solid quarter all around in all three segments. Creative Cloud, $2.6 billion in revenue, that's up 12%, which we see continued updates, improvements as always. They say they're seeing increased demand from metaverse content and seeing some success with partnerships with companies like Unity (U 0.23%), Mattel (MAT 1.08%), Meta Platforms (META 3.77%). That's good. This new trend we're seeing, everyone likes the metaverse. Bleeding into Adobe a little bit on some of that backend support with their Creative Cloud stuff.
Then we've got Document Cloud. This is really solid here. Revenue up 27% to $595 million. The smallest of the three parts but the fastest growing and you wonder if maybe they're going to surpass DocuSign (DOCU +1.21%) as the market leader. Some of the struggles DocuSign is having gives them an opportunity here. Monthly average users are over 50 million. That was a double year over year, and they're seeing some very strong demand for their sign business there. Good news there.
Experience Cloud doing well too, that revenue was up 17% to $1.1 billion. Almost all of that is subscription. A nice steady business there and they're continuing to grow their customer base with some major companies there you can see at the bottom, companies like McDonald's (MCD +0.79%), Humana (HUM +1.07%), BMW (BMWYY +0.00%), there's some good customers there and continue to improve increasing the analytic services. This is a really solid company, it's well-run, the growth rates are pretty high. A lot to like here, I think. I like where they're going.
