Core Viewpoint - Dassault Systèmes reported disappointing fourth-quarter revenue growth and 2026 revenue guidance, leading to a significant drop in share price, with shares down approximately 20% [1][2]. Group 1: Financial Performance - Fourth-quarter revenue growth was only 1%, significantly below sell-side consensus of around 3% and even below bearish buy-side expectations of 2% [1][2]. - Full-year 2025 revenue reached €6.24 billion, reflecting a 4% increase at constant currency [3]. - The company's 3DExperience platform and cloud offerings grew by 10% and 8% respectively for the year, driven by major contracts [3]. Group 2: Revenue Guidance - The 2026 revenue growth guidance of 3-5% at constant currency fell short of investor expectations, which were around 4-6% or 5-7% [2]. - Analysts expressed concerns about the achievability of the 3-5% guidance given the weak fourth-quarter growth [3]. Group 3: Segment Performance - The life sciences division, which includes the Medidata clinical trials business, experienced a revenue decline of 2% for the year due to reduced study starts by pharmaceutical companies [4]. - Revenue from the industrial innovation software segment grew by 6%, continuing to be the company's primary growth driver [4]. Group 4: Future Projections - For 2026, Dassault Systèmes forecasts an operating margin between 32.2% and 32.6%, with earnings per share projected to be between €1.30 and €1.34 [4].