Autodesk(US:ADSK) ZACKS·2025-11-26 15:51Core Insights - Autodesk (ADSK) reported strong third-quarter fiscal 2026 results with non-GAAP earnings of $2.67 per share, exceeding the Zacks Consensus Estimate by 7.23% and reflecting a 23% year-over-year increase [1] - The company achieved revenues of $1.85 billion, surpassing the consensus mark by 2.67% and growing 18% year over year [1] Performance Highlights - Autodesk's robust performance was driven by exceptional AECO performance, higher-than-expected upfront revenues, sustained momentum in the Autodesk Store, and better-than-anticipated billings linearity [2] - Subscription revenues, which constitute 93.6% of total revenues, rose 19% year over year to $1.73 billion, while maintenance revenues declined 11.1% to $8 million [3] - Other revenues increased 6.7% to $111 million [3] Regional Revenue Breakdown - Revenues from the Americas, accounting for 44.3% of total revenues, increased 16.3% year over year to $820 million [4] - EMEA revenues, representing 38.6% of total revenues, climbed 23.3% to $715 million [4] - Asia-Pacific revenues, making up 17.2% of total revenues, increased 11.6% to $318 million [4] - Total billings reached $1.86 billion, marking a 21% year-over-year increase [4] Product Line Performance - AECO revenues, which account for 49.7% of total revenues, increased 22.6% year over year to $921 million [5] - AutoCAD and AutoCAD LT revenues rose 15.1% to $458 million, while Manufacturing revenues increased 15.6% to $355 million [5] - Media and Entertainment revenues grew 3.6% to $86 million [5] Operating Results - Non-GAAP operating expenses rose 16.2% year over year to $1.03 billion, with a non-GAAP operating margin of 37.7%, expanding 120 basis points year over year [6] Financial Position - As of October 31, 2025, Autodesk had cash and cash equivalents of $2.29 billion, up from $2.24 billion as of July 31, 2025 [7] - Deferred revenues increased 5% to $3.85 billion, with unbilled deferred revenues at $3.52 billion [7] - Cash flow from operating activities was $439 million, representing a 110% increase year over year, while free cash flow was $430 million, indicating a rise of 116% [8] Guidance - For Q4 fiscal 2026, Autodesk projects revenues between $1.90 billion and $1.92 billion, with non-GAAP earnings per share expected between $2.59 and $2.67 [9] - For the full fiscal 2026, revenues are anticipated to be between $7.15 billion and $7.17 billion, with billings estimated in the range of $7.47 billion to $7.53 billion [9] - Non-GAAP earnings are expected to be in the range of $10.18 to $10.25 per share, with an anticipated non-GAAP operating margin of approximately 37.5% [10] - Free cash flow is projected to be between $2.26 billion and $2.29 billion [10]