S&P 500 technology companies had a moment this week in a quiet phase of the first-quarter earnings season. Here's a quick summary of earnings for the week ending June 14.
Of the four technology companies that reported, only Oracle (ORCL) missed both earnings per share and revenue. autodesk (ADSC), Broadcom (Afgo), Adobe (ADBE) Beat the upper and lower lines.
Of the 484 companies that have reported quarterly so far, about 78.8% of them beat EPS, while about 54.5% of them beat the revenue consensus.
Oracle on Tuesday announced fourth-quarter results that beat expectations. However, the announcement that the company has signed several major AI-focused deals offset the impact of the weak earnings report. In a separate statement, the company said it has signed a deal with OpenAI to use the company's cloud infrastructure to expand Microsoft's Azure AI platform. It also signed a deal with Google (GOOG) (GOOGL) to form a multi-cloud partnership.
Tuesday also saw Autodesk's first-quarter results beat expectations, indicating progress on its 3D generative AI project. “Autodesk is outperforming its peers on 3D AI, industry clouds and platforms and developing the business models that will be essential to delivering 3D AI products and services at scale,” said CEO Andrew Anagnost. “We can already use generative AI to quickly create functional 3D shapes from a variety of inputs, including 2D images, text, voxels and point clouds.” The company said it expects second-quarter revenue to be between $1,475 million and $1,490 million and non-GAAP earnings per share between $1.98 and $2.04.
On Wednesday, investors cheered Broadcom's report after the semiconductor company beat estimates for the top and bottom lines and announced a 10-1 stock split. The company expected revenues for the full year to reach $51 billion, higher than estimates of $50.58 billion. Adjusted EBITDA was expected to be about 61% of full-year revenue.
Shares of Adobe rose in after-market trading Thursday after the Photoshop software provider provided an upbeat forecast for this year as well as results. The company guided total revenue for the year to a range of $21.4 billion to $21.5 billion. Analysts had expected revenues of $21.46 billion. Non-GAAP EPS was expected to be approximately $18.00 and $18.20 versus consensus of $18.01.
Four S&P 500 companies, Accenture (ACN), Kroger (KR), Darden Restaurants (DRI), and Jabil (JBL), will report next week on Thursday.