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Adobe Systems Inc  (NAS:ADBE) Retained Earnings: $9,072 Mil (As of Aug. 2017)

Retained earnings is the accumulated portion of net income that is not distributed to shareholders. Adobe Systems Inc's retained earnings for the quarter that ended in Aug. 2017 was $9,072 Mil.

Adobe Systems Inc's quarterly retained earnings increased from Feb. 2017 ($8,299 Mil) to May. 2017 ($8,653 Mil) and increased from May. 2017 ($8,653 Mil) to Aug. 2017 ($9,072 Mil).

Adobe Systems Inc's annual retained earnings increased from Nov. 2014 ($6,924 Mil) to Nov. 2015 ($7,253 Mil) and increased from Nov. 2015 ($7,253 Mil) to Nov. 2016 ($8,115 Mil).


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Adobe Systems Inc Annual Data

Nov07 Nov08 Nov09 Nov10 Nov11 Nov12 Nov13 Nov14 Nov15 Nov16
Retained Earnings Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7,003.00 6,928.96 6,924.29 7,253.43 8,114.52

Adobe Systems Inc Quarterly Data

Nov12 Feb13 May13 Aug13 Nov13 Feb14 May14 Aug14 Nov14 Feb15 May15 Aug15 Nov15 Feb16 May16 Aug16 Nov16 Feb17 May17 Aug17
Retained Earnings Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 7,714.90 8,114.52 8,299.36 8,652.75 9,072.32

Calculation

Retained Earnings is the accumulated portion of net income that is not distributed to shareholders. Because the net income was not distributed to shareholders, shareholders' equity is increased by the same amount.

Of course, if a company loses, it is called retained losses, or accumulated losses.


Explanation

Historically profitable companies sometimes have negative retained earnings. This is because they have cumulatively paid out more to shareholders than they reported in profits.

For example, in 2011, Microsoft had negative retained earnings. This does not mean the company lost more money than it made over the years. It just means it paid out more money than it earned.

If a company has negative retained earnings, investors should check the 10-year financial results. They should not assume that negative retained earnings prove a company has generally lost money in the past.

Of course, many companies with negative retained earnings have indeed lost money in the past.

Retained Earnings: Warren Buffett's Secret.

One of the most important indicators of durable competitive advantage. Net earnings can be paid out as dividends, used to buy back shares or retained for growth.

If the company loses more than it has accumulated, retained earnings is negative.

If a company isn't adding to its retained earnings, it isn't growing its net worth.

Rate of growth of retained earnings is good indicator whether it's benefiting from a competitive advantage.

Microsoft is negative because it chose to buyback stock and pay dividends.

The more earnings retained, the faster it grows and increases growth rate for future earnings.

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