Adobe beat the analysts in its first quarter financial results, announced last night.

The company confirmed better-than-anticipated performance during its first quarter, which ended 2 March.

Revenues hit $649.4 million, compared to $655.5 million reported for the first quarter of fiscal 2006 and $682.2 million reported in the fourth quarter of fiscal 2006. GAAP operating income was $146.3 million.

Adobe's first quarter revenue target range was $640 to $670 million.

“This was a solid quarter for Adobe, as we came in at the high end of our earnings target range and were within our targeted range for revenue,” said CEO Bruce Chizen.

Chizen also waxed bullish on the immiment announcement of Adobe CS 3, saying: “As Adobe prepares for the biggest product launch in our history, we are excited about our opportunities and bullish about our prospects for another year of strong performance.”

Adobe revealed a $700-$740 million performance target for its second quarter on GAAP operating margins of between 23-25 per cent.

The company expects the release of CS 3 to drive sales across the coming year.