Item 5. Market for Registrant’s Common Equity
ITEM 5. MARKET FOR REGISTRANT’S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
Market Information for Common Stock
Our common stock is traded on the NASDAQ Global Select Market under the symbol “ADBE.”
Stockholders
According to the records of our transfer agent, there were 974 holders of record of our common stock on January 8, 2021. Because many of such shares are held by brokers and other institutions on behalf of stockholders, we are unable to estimate the total number of stockholders represented by these record holders.
Dividends
We do not anticipate paying any cash dividends in the foreseeable future.
Issuer Purchases of Equity Securities
Below is a summary of stock repurchases for the three months ended November 27, 2020. See Note 14 of our Notes to Consolidated Financial Statements for information regarding our stock repurchase programs.
Period
Total Number of Shares
Repurchased Average
Price Paid
Per
Share Total
Number of
Shares
Purchased
as Part of
Publicly
Announced
Plans
Approximate
Dollar Value
that May
Yet be
Purchased
Under the
Plans
(in millions, except average price per share)
Beginning repurchase authority (1)
$ 3,066
August 29 — September 25, 2020
Shares repurchased 0.3 $ 490.89 0.3 $ (167)
September 26 — October 23, 2020
Shares repurchased 0.7 $ 484.50 0.7 $ (311) (2)
October 24 — November 27, 2020
Shares repurchased 0.6 $ 471.53 0.6 $ (283) (2)
Total 1.6 1.6 $ 2,305
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(1) In May 2018, the Board of Directors granted authority to repurchase up to $8 billion in common stock through the end of fiscal 2021.
(2) In September 2020, we entered into a structured stock repurchase agreement with a large financial institution whereupon we provided them with a prepayment of $850 million. As of November 27, 2020, approximately $255 million of the prepayment remained under this agreement.
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ITEM 6. SELECTED FINANCIAL DATA
The following selected consolidated financial data is derived from our Consolidated Financial Statements. As our historical operating results are not necessarily indicative of future operating results, this data should be read in conjunction with the Consolidated Financial Statements and notes thereto, and with Item 7, Management’s Discussion and Analysis of Financial Condition and Results of Operations.
On November 30, 2019, the beginning of our fiscal year 2020, we adopted the Financial Accounting Standards Board’s (“FASB”) Accounting Standards Update (“ASU”) No. 2016-02, Leases (Topic 842), using the alternative modified retrospective transition method provided in ASU 2018-11, Leases (Topic 842): Targeted Improvements. Similarly, on December 1, 2018, the beginning of our fiscal year 2019, we adopted the FASB’s ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606), using the modified retrospective method of transition. Financial information prior to the respective periods of adoption has not been restated and continues to be reported under the accounting standards in effect for those periods.
(in millions, except per share amounts and employee data) Fiscal Years
2020 2019 2018 2017 2016 (2)
Operations:
Revenue $ 12,868 $ 11,171 $ 9,030 $ 7,302 $ 5,854
Gross profit $ 11,146 $ 9,498 $ 7,835 $ 6,291 $ 5,035
Income before income taxes $ 4,176 $ 3,205 $ 2,794 $ 2,138 $ 1,435
Net income $ 5,260 $ 2,951 $ 2,591 $ 1,694 $ 1,169
Net income per share:
Basic $ 10.94 $ 6.07 $ 5.28 $ 3.43 $ 2.35
Diluted $ 10.83 $ 6.00 $ 5.20 $ 3.38 $ 2.32
Shares used to compute basic net income per share 481 486 491 494 498
Shares used to compute diluted net income per share 485 492 498 501 504
Financial position:
Cash, cash equivalents and short-term investments $ 5,992 $ 4,177 $ 3,229 $ 5,820 $ 4,761
Working capital (1)
$ 2,634 $ (1,696) $ 556 $ 3,720 $ 3,028
Total assets $ 24,284 $ 20,762 $ 18,769 $ 14,536 $ 12,697
Debt, current $ — $ 3,149 $ — $ — $ —
Debt, non-current $ 4,117 $ 989 $ 4,125 $ 1,881 $ 1,892
Stockholders’ equity $ 13,264 $ 10,530 $ 9,362 $ 8,460 $ 7,425
Additional data:
Worldwide employees 22,516 22,634 21,357 17,973 15,706
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(1) As of November 29, 2019, working capital was in a deficit primarily due to the reclassification of our $2.25 billion term loan due April 30, 2020 and $900 million 4.75% senior notes due February 1, 2020 to current liabilities. We subsequently refinanced our Term Loan and 2020 Notes in February 2020, before the respective due dates.
(2) Our fiscal year is a 52- or 53-week year that ends on the Friday closest to November 30. Fiscal 2016 was a 53-week fiscal year compared with the other periods presented which were 52-week fiscal years.
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