So, it’s 11 PM here in London, Bentley’s Year in Infrastructure winners have been announced (and they’re partying hard downstairs — congrats to you and all of the finalists; it was a tough, tough contest) but back in the real world, PTC announced results for Q4 and fiscal 2014. There’s no way I’m able to parse this to any level of detail right now , so here are the highlights:
- GAAP revenue in Q4 was $367 million, up 6% year/year
- In Q4, the non-GAAP revenue contribution from acquired businesses Enigma, NetIDEAS, ThingWorx, Atego and Axeda was $16 million. Since GAAP and non-GAAP were within $1 million, this means organic revenue grew about 2%
- Back to a composite view: license revenue in Q4 was $113 million, up 7%
- Services revenue was essentially flat at $72 million
- Support revenue was up 9% to $182 million
- Details on license vs maintenance, geos, etc. to come.
- For the year, GAAP revenue was $1,357 million, up 5% as reported. Acquisitions accounted for $24 million in non-GAAP revenue; excluding those, revenue was up 3% over fiscal 2013.
In the earnings press release, CEO Jim Heppelmann is quoted as saying, “[In Q4] PTC non-GAAP revenue and EPS exceeded the high end of our guidance range, driven by solid performance across multiple businesses and geographic regions. Non-GAAP license revenue of $113 million increased 7% year over year on a constant currency basis. From a geographic perspective, on a constant currency basis, non-GAAP license revenue in Europe was up 28%, in the Americas was up 14%, in Japan was up 7%, and in the Pacific Rim was down 29% … For the second straight quarter we saw strong growth in our core CAD and Extended PLM (EPLM) businesses. EPLM license revenue grew 11% year over year on a constant currency basis driven by growth in our ALM business versus a soft compare in Q4’13. CAD license revenue was up 9% year over year on a constant currency basis, helped by strong growth in sales of Creo modules, eLearning, and a multi-million dollar license purchase of one of our heritage products.” [Might that be my old friend, CADDS?]
PTC also gave guidance for fiscal 2015, saying it sees “indications of a slowdown in manufacturing activity in Europe, Japan, and China, which may result in fewer large deals and mega deals in FY’15 relative to FY’14. These challenges notwithstanding, we are encouraged by an expanding pipeline of opportunities, particularly in our SLM & IoT businesses, which are less tied to macroeconomic trends in the manufacturing space.” Cutting to the numbers, Q1 non-GAAP revenue is projected to be between $310 million and $325 million, while full-year fiscal 2015 revenue is targeted at $1,365 million to $1,385 million, slightly better than flat-ish.
Topic switch. It’s Guy Fawkes night here, when Brits light bonfires and fireworks to commemorate the day in 1605 when (yup) Guy Fawkes and his friends tried to blow up the House of Lords here in London to kill the king and put a Catholic on the throne. The plot failed, and the fireworks are a celebration of the fact that King James I survived (and presumably, the Lords did too). My phone’s weather app has a fog warning for London, as the bonfires and fireworks will create dangerous driving conditions. Who knew??
More to come when there’s time.