Adobe’s (NSDQ: ADBE) fiscal year ends Nov. 30, so its Q4 earnings are reported off-peak: The design software company, which is increasingly banking on web video and applications, announced revenue of $911 million, up 33 percent from last year’s $682.2 million. Net income grew 21 percent to $222.2 million ($.39/share) from $183.2 million ($.31/share). The company credited its growth to strong adoption of Creative Suite 3, and it’s calling for 13 percent revenue growth next year.

On the conference call, the new CEO Shantanu Narayen discussed the expanding role of digital media to Adobe’s business. Some highlights:

—Video: Revenue from Adobe’s video products grew 37 percent year-over-year, while it estimates that 76 percent of online video broadcasters use Flash.
—Microsoft’s (NSDQ: MSFT) Silverlight: “With respect to competition, I think there are multiple companies that look at the opportunity to really change the web experience. What Microsoft is doing with Silverlight is really focusing more on the media aspects of it, much like we did with Flash Player. But I think you will continue to see other companies also target the entire web experience as an area for innovation.”
—Pricing: Narayen acknowledged that there was pricing pressure for Flash Media Server, but overall pricing was helped as it was able to sell more high end software suites.
—AIR: The company’s platform for building rich internet apps, AIR, is still not fully understood by analysts, at least in terms of the business model. Naryan identified multiple ways AIR will drive revenue, including increased use of Adobe’s authoring tools, higher adoption of its server products and ad opportunities with partners.

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