ADBE vs NOW

Adobe reported record Q1 FY2026 results driven in part by AI-related momentum: management highlighted that AI-first ARR more than tripled year-over-year and emphasized accelerating AI-powered capabilities across creativity, productivity and customer experience orchestration. Financials: total revenue $6.40B (+12% YoY), non-GAAP operating income $3.04B, non-GAAP net income $2.49B, operating cash flow $2.96B. Company provided Q2 revenue guidance of $6.43B–$6.48B and EPS guidance (GAAP $4.35–$4.40; Non-GAAP $5.80–$5.85) and reaffirmed FY2026 targets. The release contains strong AI positioning but does not disclose specific AI product names, primitives, developer tooling, or external AI partnerships.

ServiceNow presents a bullish AI-forward narrative: positioning itself as an "AI control tower" and highlighting product momentum (Now Assist, Workflow Data Fabric, Raptor, CPQ, Build Agent) and strategic moves (acquisitions of Moveworks, intent to acquire Armis and Veza). The company announced multiple partner integrations (Anthropic/Claude, OpenAI, Microsoft Agent 365, Figma) to bring foundation/frontier models and agent orchestration into its platform and announced programs (Build Program, Now Next AI, ServiceNow Store) to accelerate partner-built AI agents. Financially, Q4 2025 total revenue was $3,568M (20.5% YoY), non-GAAP gross margin 80.5%, non-GAAP operating income $1,101M, GAAP net income $401M, and non-GAAP free cash flow $2,032M. Guidance includes Q1 2026 subscription revenue of $3,650–3,655M and full-year 2026 subscription revenue $15,530–15,570M, and management links AI product adoption (Now Assist, Moveworks) to near-term guidance and long-term market opportunity.