(Reuters) -Adobe raised its full-year results forecast on Thursday, helped by continued demand for its AI-powered software tools that generate images and video content. 

The company, an industry veteran in the creative software market, is known for its flagship products, such as Photoshop and Premiere Pro, which have become essential tools for professionals worldwide.

Despite a weak first quarter marked by budget constraints and project delays amid macroeconomic uncertainties, Jefferies analysts said demand seemed to start recovering in the second quarter as clients resumed stalled projects and adjusted to the changing environment, supporting ongoing growth targets.

Adobe expects revenue to be between $23.50 billion and $23.60 billion in fiscal 2025, compared with its prior range of $23.30 billion to $23.55 billion.

Excluding items, it raised its full-year profit to between $20.50 and $20.70 per share, from its prior range of $20.20 to $20.50 each.  

"We continue to invest in AI innovation across our customer groups to enhance value realization and expand the universe of customers we serve," finance chief Dan Durn said.

In 2023, Adobe launched Firefly, which enables users to create, edit and enhance images and videos from simple text prompts. 

Powered by ethically sourced training from exclusively licensed or public domain images, Adobe Firefly expands the company's AI-driven creative tools, enabling users to accelerate ideation and content creation while ensuring brand safety and copyright compliance.

Adobe said in April it was integrating image-generation AI models from OpenAI and Google into its Firefly app.

Revenue for the second quarter stood at $5.87 billion, above the analysts' average estimate of $5.79 billion.

Adobe's outlook for third-quarter results was also above estimates.