An Irish-based subsidiary of the software giant Adobe a $2.8 billion (€2.36 billion) dividend to its US parent late last year and subsequently agreed an additional $2 billion pay out.
Directors of Adobe Software Trading Company Limited, which is based in Citywest, but domiciled in Bermuda, agreed the $2.8 billion dividend last November. It compares to a $1.7 billion pay out a year earlier.
The company later agreed an additional $2 billion dividend, which is to be paid in early December providing certain conditions are met.
The unit is an intermediary holding company for Adobe subsidiary companies based outside of North America. Its principal activities are the licensing, production and distribution of software that includes Photoshop, Premiere and Acrobat. The Dublin-based company also carries out research and development for its parent company.
The subsidiary became an investment holding company following the sale of $11 billion worth of intellectual property rights it owned to Adobe Systems Software Ireland at the end of the reporting period.
Revenues at Adobe Software Trading Company Limited in the 12 months to the end of November 2020 to rose 16 per cent to $5.6 billion. As a percentage of revenue, the operating margin was 53 per cent.
Pretax profits rose from $2.7 billion to $3.07 billion over the year.
Products
The unit employed over 3,800 people at the end of November last, up from 3,674 a year earlier with staff-related costs rising from $767 million to $832.1 million. The vast majority of employees were working in sales and marketing.
Founded in 1982 and with headquarters in San José, California, the company’s parent, Adobe Systems Inclusive, makes digital software products that also include Dreamweaver and Illustrator.
Adobe Systems Software Ireland Limited, which acquired the IP rights from its sister company reported a 17 per cent rise in turnover to $5.3 billion.
The subsidiary, which offers a line of digital media products and services, recorded pretax profits of $263.7 million, up from $85.6 million in the prior year. It employed 252 people at the end of November last with staff-related costs totalling $31 million.
