Autodesk Announces Fiscal 2026 Third Quarter Results
- Third quarter revenue grew 18 percent as reported, and on a constant currency basis, to $1.85 billion
Autodesk, Inc. (NASDAQ: ADSK) recently unveiled its financial outcomes for the third quarter of fiscal 2026. The results affirm the company's commitment to innovation, particularly in design technology.
A Message from Leadership
Andrew Anagnost, Autodesk's president and CEO, highlighted the company's pivotal role in defining the AI revolution within the design and manufacturing sectors. He noted that Autodesk is empowering clients through automation and innovative business models, creating sustainable value for customers, industries, and shareholders alike.
Financial Performance Highlights
Autodesk continued to demonstrate strong performance across several key areas, including a notable uptick in revenue from the AECO (Architecture, Engineering, Construction, and Operations) sector. Janesh Moorjani, CFO, emphasized the business's robust momentum and the positive momentum behind its guidance for the fiscal year.
Third Quarter Fiscal 2026 Summary
- Billings: $1,855 million, a significant year-over-year increase of 21%
- Revenue: $1,853 million, marking an 18% year-over-year growth
- GAAP Operating Margin: 25%, reflecting an increase of 3 percentage points
- Non-GAAP Operating Margin: 38%, with a modest rise from the previous year
- GAAP EPS: $1.60, a notable increase of $0.33
- Non-GAAP EPS: $2.67, which is $0.50 higher than last year
- Free Cash Flow: $430 million, representing an increase of 116%
Net Revenue Breakdown
The growth was also bolstered by varying product segments, where major contributions came from:
- Design revenue at $1,537 million, up 19% year-over-year
- Make product revenue reached $205 million, reflecting a 20% increase
- Other revenue sources added $111 million, sustaining a healthy overall revenue rate
- Total Net Revenue for the quarter stood at $1,853 million, indicating an 18% year-on-year rise
Geographic Revenue Growth
Autodesk maintained a steady growth trajectory across various regions:
- Americas: $820 million, 16% growth
- EMEA: $715 million, with a 23% increase
- APAC: $318 million, a 12% year-on-year growth
Looking Forward
As Autodesk approaches the next fiscal quarter, the company projects a revenue range of $1,901 to $1,917 million for Q4 FY26. Additionally, it anticipates GAAP EPS to be between $1.40 and $1.57, highlighting optimism about the upcoming period. The guidance also reflects the expected impacts of market conditions and currency fluctuations, demonstrating a comprehensive approach to its financial framework.
Upcoming Conference Call
Investors and stakeholders can participate in the upcoming conference call scheduled for later today, where company executives will delve deeper into the fiscal performance and future plans.
For those interested in financial specifics, Autodesk will provide supplemental materials and a detailed investment presentation publicly accessible via its investor relations portal.
Frequently Asked Questions
What are the key highlights from Autodesk's Q3 fiscal 2026 results?
Key highlights include an 18% increase in revenue to $1.85 billion and GAAP EPS of $1.60, reflecting a strong financial position.
How has Autodesk performed in different segments?
Autodesk reported significant growth in both design and make segments, with design raking in $1.54 billion and a 19% increase in revenue.
What is Autodesk's outlook for Q4 fiscal 2026?
The company expects revenues between $1.901 and $1.917 billion for Q4 FY26 along with GAAP EPS forecasted between $1.40 and $1.57.
What initiatives is Autodesk focusing on for future growth?
Autodesk aims to innovate through AI and automation, enhancing customer workflows and supporting sustainable business practices.
How does Autodesk define its non-GAAP financial measures?
Non-GAAP measures exclude certain items to provide a clearer view of the company's operating performance and to aid management decisions.
