Bentley(US:BSY)2025-11-05 12:04Financial Performance - Total revenues for Q3 2025 were $375.5 million, representing a year-over-year increase of 12.0%[2] - Subscription revenues reached $344.3 million, up 13.5% year-over-year, accounting for 92% of total revenues[2][5] - Annualized Recurring Revenues (ARR) grew to $1,405.2 million, reflecting a constant currency growth rate of 10.5% compared to the previous year[2] - Total revenues for the three months ended September 30, 2025, increased to $375.5 million, up 12% from $335.2 million in the same period of 2024[18] - Subscription revenues rose to $344.3 million, representing a 14% increase compared to $303.2 million in the prior year[18] - Gross profit for the nine months ended September 30, 2025, was $903.6 million, a 11% increase from $813.4 million in 2024[18] - Operating income for the three months ended September 30, 2025, was $84.5 million, up 23% from $68.6 million in the same quarter of 2024[22] - Net income attributable to Bentley Systems for the nine months ended September 30, 2025, was $219.2 million, a 19% increase from $184.7 million in 2024[18] - Cash flows from operating activities for the nine months ended September 30, 2025, totaled $396.9 million, compared to $353.7 million in the same period of 2024[20] - The company reported a basic net income per share of $0.18 for the three months ended September 30, 2025, compared to $0.13 in the same period of 2024[22] Cash Flow and Expenses - Cash flows from operations were $116.4 million, up from $86.1 million year-over-year[2] - Free cash flow for the quarter was $110.7 million, compared to $84.3 million in the same period last year[2] - Cash flows from operations for the three months ended September 30, 2025, were $116,376 million, compared to $86,105 million for the same period in 2024, representing a year-over-year increase of 35%[24] - Free cash flow for the nine months ended September 30, 2025, was $384,040 million, up from $345,161 million in 2024, indicating a growth of 11.3%[24] - Cash interest expenses for the three months ended September 30, 2025, were $2,520 million, down from $3,424 million in 2024, showing a reduction of 26.4%[24] - Cash taxes for the nine months ended September 30, 2025, totaled $34,027 million, slightly up from $33,023 million in 2024, indicating a year-over-year increase of 3%[24] - The company reported cash acquisition expenses of $9,354 million for the nine months ended September 30, 2025, compared to $5,571 million in 2024, representing a 67.5% increase[24] - Changes in operating assets and liabilities for the nine months ended September 30, 2025, resulted in a negative impact of $37,039 million, compared to a negative impact of $44,718 million in 2024, showing an improvement[24] Profitability Metrics - Operating income margin improved to 22.5%, up from 20.5% in the same period last year[2] - Net income per diluted share increased to $0.18, compared to $0.13 for the same period last year[2] - Adjusted operating income for the nine months ended September 30, 2025, was $390.0 million, compared to $354.3 million in the same period of 2024[22] - Adjusted EBITDA for the three months ended September 30, 2025, reached $129,722 million, compared to $110,001 million in 2024, reflecting a 17.9% increase[24] Research and Development - Research and development expenses for the three months ended September 30, 2025, increased to $78.8 million, up from $70.1 million in 2024[18] Strategic Initiatives - New AI capabilities were unveiled during the quarter, enhancing the company's portfolio and addressing the engineering capacity gap[4][5] - The company is positioned for potential acquisitions and stock repurchases to support long-term growth[5] Cash and Liquidity - The company had cash and cash equivalents of $165.4 million at the end of the period, significantly up from $72.2 million at the end of September 2024[20]