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Autodesk Q4 Earnings and Sales Surpass Estimates, Improve Y/Y
ADSKAutodesk(ADSK) ZACKS·2025-02-28 16:06

Core Viewpoint - Autodesk reported strong financial results for the fourth quarter of fiscal 2025, with earnings and revenues exceeding expectations, but announced a significant workforce reduction as part of a restructuring plan. Financial Performance - Non-GAAP earnings per share for Q4 FY2025 were 2.29,beatingtheZacksConsensusEstimateby7.512.29, beating the Zacks Consensus Estimate by 7.51% and improving 9.6% year over year [1] - Revenues reached 1.64 billion, surpassing the consensus mark by 0.50% and growing 11.6% year over year [2] - Billings increased by 23% year over year to 2.11billion[6]RevenueBreakdown−Subscriptionrevenues,whichaccountedfor92.92.11 billion [6] Revenue Breakdown - Subscription revenues, which accounted for 92.9% of total revenues, rose 13.7% year over year to 1.52 billion [4] - Maintenance revenues declined 28.6% year over year to 10million,whileotherrevenuesdecreased7.810 million, while other revenues decreased 7.8% to 107 million [4] - Recurring revenues contributed 97% to total revenues, with a net revenue retention rate within the targeted range of 100-110% [5] Regional Performance - Revenues from the Americas increased 11.3% year over year to 730million[5]−EMEArevenuesclimbed14.1730 million [5] - EMEA revenues climbed 14.1% to 623 million, while Asia-Pacific revenues rose 7.1% to 286million[5]ProductPerformance−AECrevenues,whichrepresent48.7286 million [5] Product Performance - AEC revenues, which represent 48.7% of total revenues, increased 14.8% year over year to 799 million [7] - AutoCAD and AutoCAD LT revenues rose 8.5% to 409million,whileManufacturingrevenuesincreased8.9409 million, while Manufacturing revenues increased 8.9% to 318 million [7] Operating Results - Non-GAAP operating income was 608million,reflectinga16.5608 million, reflecting a 16.5% year-over-year increase, with an operating margin of 37.1%, up 160 basis points [8] Balance Sheet & Cash Flow - Cash and cash equivalents totaled 1.89 billion, up from 1.71billionasofOctober31,2024[9]−Freecashflowwas1.71 billion as of October 31, 2024 [9] - Free cash flow was 678 million, an increase of 251millioncomparedtothepreviousyear[10]FutureGuidance−ForQ1FY2026,Autodeskprojectsrevenuesbetween251 million compared to the previous year [10] Future Guidance - For Q1 FY2026, Autodesk projects revenues between 1.60 billion and 1.61billion,withnon−GAAPearningspershareexpectedbetween1.61 billion, with non-GAAP earnings per share expected between 2.14 and 2.17[11]−Forfiscal2026,revenuesareanticipatedtobebetween2.17 [11] - For fiscal 2026, revenues are anticipated to be between 6.895 billion and 6.965billion,withbillingsestimatedintherangeof6.965 billion, with billings estimated in the range of 7.06 billion to $7.21 billion [11][12] Restructuring Plan - Autodesk plans to reduce its workforce by approximately 9%, equating to about 1,350 employees, as part of a worldwide restructuring initiative [3]