AD

Adobe Inc. stock research

Nov 28, 2025

FY2025 Q4

Adobe (ADBE) Gross Margin — Quarter Ended Nov 28, 2025

Revenue increased compared to the prior quarter and the same quarter a year ago, while gross profit also rose. The gross margin strengthened slightly from the preceding quarter and improved from the same quarter one year earlier.

Gross margin takeaway

Quarter ended Nov 28, 2025 · FY2025 Q4

Revenue increased compared to the prior quarter and the same quarter a year ago, while gross profit also rose. The gross margin strengthened slightly from the preceding quarter and improved from the same quarter one year earlier.

  • The gross margin improved sequentially and year-over-year as revenue growth outpaced the increase in cost of revenue.
  • Revenue, gross profit, and gross margin are all higher than the prior quarter and higher than the same quarter one year earlier. Cost of revenue is higher than both comparison periods.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

89.5%

Gross profit

$5.5B

Revenue

$6.2B

Cost of revenue

$649.0M

Quarter-over-quarter change

+0.2 pts

Year-over-year change

+0.5 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Feb 28, 2025$5.7B$5.1B$622.0M89.1%
May 30, 2025$5.9B$5.2B$638.0M89.1%
Aug 29, 2025$6.0B$5.3B$642.0M89.3%
Nov 28, 2025$6.2B$5.5B$649.0M89.5%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Aug 29, 2025

+0.2 pts

Year-over-year change

Nov 29, 2024

+0.5 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The gross margin improved sequentially and year-over-year as revenue growth outpaced the increase in cost of revenue.

Revenue, gross profit, and gross margin are all higher than the prior quarter and higher than the same quarter one year earlier. Cost of revenue is higher than both comparison periods.

Monitor the trend in cost of revenue relative to revenue in upcoming quarters.