ADBE · 10-Q · 2026Q3 · Full report

Acquisition / Partnership / Divestiture

ADOBE INC. · 2026-09-22 · Importance 71 · Surprise 60 · Contradicted

Adobe acquired Semrush in the second quarter of fiscal 2026, and the transaction was the primary driver of $1.91 billion in nine-month investing cash outflows alongside capital expenditures and short-term investment purchases. Semrush expanded Adobe Experience Manager with search engine optimization and generative engine optimization capabilities. On June 24, 2026, Adobe agreed to acquire privately held Topaz Labs for approximately $340 million, primarily in cash. Topaz Labs specializes in video and image enhancement models, and Adobe expects the transaction to close in the fourth quarter of fiscal 2026 using cash on hand, subject to regulatory approvals and customary closing conditions.

Key facts

• On June 24, 2026, we entered into a definitive agreement to acquire Topaz Labs Inc. for approximately $340 million, primarily in cash consideration, subject to customary purchase price adjustments; expected to close in the fourth quarter of fiscal 2026 and to be financed using cash on hand. source
• Net cash used for investing activities was $1,908 million for the nine months ended August 28, 2026, primarily due to the acquisition of Semrush, ongoing capital expenditures and purchases of short-term investments. source
• We acquired Semrush in April 2026, which enhances Adobe Experience Manager offerings with search engine optimization and generative engine optimization solutions, and contributed to ARR and subscription revenue growth. source

Impact estimates