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Public Company Information:
NASDAQ:
ADSK
SAN RAFAEL, Calif.–(BUSINESS WIRE)–Autodesk, Inc. (NASDAQ: ADSK) recently shared its financial performance for the second quarter of fiscal 2015.
Second Quarter Fiscal 2015 Highlights:
- Total billings rose by 27% compared to the same period last year.
- Subscriptions increased by about 74,000 from the first quarter of fiscal 2015.
- Revenue reached a record $637 million, up 13% compared to the previous year's second quarter. On a constant currency basis, revenue also increased by 13%. The acquisition of Delcam contributed approximately $11 million to this figure.
- GAAP operating margin was 8%, down from 15% in the same period last year.
- Non-GAAP operating margin was 18%, down from 24% in the previous year's second quarter. A reconciliation between GAAP and non-GAAP results is provided in the accompanying tables.
- GAAP diluted earnings per share were $0.13, compared to $0.27 in the second quarter of fiscal 2014.
- Non-GAAP diluted earnings per share were $0.35, compared to $0.45 in the same period last year.
- Deferred revenue hit a record $981 million, an increase of 22% from the second quarter of fiscal 2014.
- Cash flow from operations was $96 million, up 47% from the previous year's second quarter.
Carl Bass, Autodesk president and CEO, said, “Strong global demand and increased adoption of our suite solutions led to robust billings and record revenue. We made significant progress in transitioning to a more recurring, subscription-based business, adding around 74,000 maintenance, desktop (rental), and cloud subscriptions. This has significantly boosted deferred revenue, which is approaching $1 billion. Our strong performance and positive outlook on the macroeconomic environment have led us to raise our guidance for billings, revenue, and subscription additions for fiscal 2015.â€
Operational Overview for the Second Quarter:
- Revenue in the Americas grew by 11% to $223 million compared to the second quarter last year.
- EMEA revenue was $244 million, up 21% compared to the same period last year, or 16% on a constant currency basis.
- APAC revenue reached $170 million, an 8% increase from the previous year's second quarter, or 14% on a constant currency basis.
- Revenue from emerging economies was $98 million, up 14% from the previous year's second quarter, or 13% on a constant currency basis. Emerging economies accounted for 15% of total revenue in the second quarter.
Segment Performance:
- Platform Solutions and Emerging Business (PSEB) revenue was $208 million, up 5% compared to the second quarter last year.
- Architecture, Engineering and Construction (AEC) revenue was $218 million, up 23% compared to the previous year's second quarter.
- Manufacturing revenue was $168 million, up 17% compared to the same period last year.
- Media and Entertainment (M&E) revenue was $44 million, flat compared to the second quarter last year.
Product Line Revenue:
- Flagship products revenue was $307 million, up 6% from the previous year's second quarter.
- Suites revenue was $232 million, up 20% compared to the same period last year.
- New and Adjacent products revenue was $99 million, up 24% from the previous year's second quarter.
Business Outlook:
Autodesk's current expectations for the third quarter and full fiscal year 2015 assume a continuation of the current economic and foreign exchange environments. The company has updated its guidance for the full fiscal year 2015 as follows:
- Billings growth: 10-12%
- Revenue growth: 7-9%
- GAAP operating margin: 4-5%
- Non-GAAP operating margin: 15-16%
- Net subscription additions: 200,000-250,000
The company expects a projected annual effective tax rate of 29% for GAAP and 26% for non-GAAP results, excluding one-time GAAP discrete items and the federal R&D tax credit that expired at the end of 2013.
Autodesk will host a conference call today at 5:00 p.m. ET. The live broadcast can be accessed via the company's investor relations website. Supplemental financial information and prepared remarks will be posted simultaneously with this press release.
Note: The prepared remarks will not be read during the call. The call will include brief remarks followed by questions and answers.
A replay of the call will be available at 7:00 p.m. ET and will remain on the company's website for at least 12 months.
Safe Harbor Statement:
This press release contains forward-looking statements involving risks and uncertainties, including statements regarding the impacts of the business model transition and other statements about strategies, market positions, performance, and results. Actual results could differ materially from these statements due to various factors such as general market conditions, failure to maintain revenue growth and profitability, challenges in managing transitions to new business models, performance in particular geographies, government financial obligations, weak growth in industries served, slowing momentum in subscription billings, difficulty predicting revenue from new businesses, difficulties integrating acquired businesses, and unexpected fluctuations in tax rates.
For more information on potential factors affecting Autodesk's financial results, refer to the company's Annual Report on Form 10-K for the year ended January 31, 2014, and Form 10-Q for the quarter ended April 30, 2014, which are filed with the U.S. Securities and Exchange Commission. Autodesk does not assume any obligation to update the forward-looking statements provided.
About Autodesk:
Autodesk helps people imagine, design, and create a better world. Everyone—from design professionals, engineers, and architects to digital artists, students, and hobbyists—uses Autodesk software to unlock their creativity and solve important challenges. For more information visit autodesk.com or follow @autodesk.
Autodesk is a registered trademark of Autodesk, Inc., and/or its subsidiaries and/or affiliates in the USA and/or other countries. All other brand names, product names, or trademarks belong to their respective holders. Autodesk reserves the right to alter product and service offerings, specifications, and pricing at any time without notice, and is not responsible for typographical or graphical errors that may appear in this document.
© 2014 Autodesk, Inc. All rights reserved.