Adobe Systems Incorporated (NASDAQ:ADBE) has reported its Creative Cloud subscription numbers. The Creative Cloud has hit 1,844,000 subscriptions. Many people predicted that Adobe’s shift to Creative Cloud subscriptions would lead to customer defections and would cause the stock price to drop. The opposite actually happened.
Adobe reported its financial results on Tuesday and the company stock hit an all-time high. The Creative Cloud subscriptions jumped up from 405,000 from the previous quarter. Some of the software that Adobe moved to the cloud include Photoshop, Illustrator, After Effects, and Premiere Pro. The Creative Cloud costs $50 per month for customers that commit to a full year. People that stop paying cannot use the software until they sign up again. Adobe added 500 new features in 2013.
Adobe also added online services for publishing and file sharing. Adobe increased its total to 1,844,000 at the end of the company’s first fiscal quarter, which ended February 28th. The goal is to hit 3 million by the end of fiscal 2014.
Adobe reported annual recurring revenue from its Creative Cloud subscriptions have reached $987 million. Adobe reported $1 billion in revenue for the quarter. The company earned 9 cents per share based on generally accepted accounting principles (GAAP) excluding certain items.