The risks associated with the following, among others, could cause actual results to differ materially from those described in any forward-looking statements: our ability to complete the proposed transaction with Synopsys on anticipated terms and timing, including completing the associated divestiture of our PowerArtist RTL business and obtaining regulatory approvals, and other conditions related to the completion of the transaction with Synopsys; the realization of the anticipated benefits of the proposed transaction with Synopsys, including potential disruptions to our and Synopsys’ businesses and commercial relationships with others resulting from the announcement, pendency or completion of the proposed transaction and uncertainty as to the long-term value of Synopsys’ common stock; restrictions on our operations during the pendency of the proposed transaction with Synopsys that could impact our ability to pursue certain business opportunities or strategic transactions, including tuck-in M&A; adverse conditions in the macroeconomic environment, including inflation, recessionary conditions and volatility in equity and foreign exchange markets; political, economic and regulatory uncertainties in the countries and regions in which we operate; impacts from tariffs, trade sanctions, export controls or other trade barriers, including export control restrictions and licensing requirements for exports to China; impacts resulting from the conflict between Israel and Hamas and other countries and groups in the Middle East, including impacts from changes to diplomatic relations and trade policy between the United States and other countries resulting from the conflict; impacts from changes to diplomatic relations and trade policy between the United States and Russia or between the United States and other countries that may support Russia or take similar actions due to the conflict between Russia and Ukraine; constrained credit and liquidity due to disruptions in the global economy and financial markets, which may limit or delay availability of credit under our existing or new credit facilities, or which may limit our ability to obtain credit or financing on acceptable terms or at all; our ability to timely recruit and retain key personnel in a highly competitive labor market, including potential financial impacts of wage inflation and potential impacts due to the proposed transaction with Synopsys; our ability to protect our proprietary technology; cybersecurity threats or other security breaches, including in relation to breaches occurring through our products and an increased level of our activity that is occurring from remote global off-site locations; and disclosure or misuse of employee or customer data whether as a result of a cybersecurity incident or otherwise; volatility in our revenue due to the timing, duration and value of multi-year subscription lease contracts; and our reliance on high renewal rates for annual subscription lease and maintenance contracts; declines in our customers’ businesses resulting in adverse changes in procurement patterns; disruptions in accounts receivable and cash flow due to customers’ liquidity challenges and commercial deterioration; uncertainties regarding demand for our products and services in the future and our customers’ acceptance of new products; delays or declines in anticipated sales due to reduced or altered sales and marketing interactions with customers; and potential variations in our sales forecast compared to actual sales; our ability and our channel partners’ ability to comply with laws and regulations in relevant jurisdictions; and the outcome of contingencies, including legal proceedings, government or regulatory investigations and tax audit cases; uncertainty regarding income tax estimates in the jurisdictions in which we operate; and the effect of changes in tax laws and regulations in the jurisdictions in which we operate; the quality of our products, including the strength of features, functionality and integrated multiphysics capabilities; our ability to develop and market new products to address the industry’s rapidly changing technology, including the use of artificial intelligence and machine learning in our products as well as the products of our competitors; failures or errors in our products and services; and increased pricing pressure as a result of the competitive environment in which we operate; investments in complementary companies, products, services and technologies; our ability to complete and successfully integrate our acquisitions and realize the financial and business benefits of such transactions; and the impact indebtedness incurred in connection with any acquisition could have on our operations; investments in global sales and marketing organizations and global business infrastructure, and dependence on our channel partners for the distribution of our products; current and potential future impacts of any global health crisis, natural disaster or catastrophe; the actions taken to address these events by our customers, our suppliers, and regulatory authorities; the resulting effects on our business, the global economy and our consolidated financial statements; and other public health and safety risks and related government actions or mandates; operational disruptions generally or specifically in connection with transitions to and from remote work environments; and the failure of our technological infrastructure or those of the service providers upon whom we rely including for infrastructure and cloud services; our intention to repatriate previously taxed earnings and to reinvest all other earnings of our non-U.S.subsidiaries; plans for future capital spending and the extent of corporate benefits from such spending; and higher than anticipated costs for research and development or a slowdown in our research and development activities; our ability to execute on our strategies related to environmental, social and governance matters, and meet evolving and varied expectations, including as a result of evolving regulatory and other standards, processes and assumptions, the pace of scientific and technological developments, increased costs and the availability of requisite financing, and changes in carbon markets; and other risks and uncertainties described in our reports filed from time to time with the Securities and Exchange Commission (the SEC). Ansys and any and all ANSYS, Inc.brand, product, service and feature names, logos and slogans are registered trademarks or trademarks of ANSYS, Inc.or its subsidiaries in the United States or other countries. All other brand, product, service and feature names or trademarks are the property of their respective owners.Visit more information.
The revenue from these contracts is recognized ratably over the contract period./ Reconciliations of GAAP to Non-GAAP Measures (Unaudited) Three Months Ended March 31, 2025(in thousands, except percentages and per share data)Gross Profit % of Revenue Operating Income % of Revenue Net Income EPS - Diluted1Total GAAP$ 432,322 85.6 % $ 58,893 11.7 % $ 51,865 $ 0.59 Stock-based compensation expense 3,977 0.8 % 70,243 14.0 % 70,243 0.80 Excess payroll taxes related to stock-based awards 354 0.1 % 6,016 1.2 % 6,016 0.07 Amortization of intangible assets from acquisitions 23,429 4.6 % 29,151 5.7 % 29,151 0.33 Expenses related to business combinations 405 0.1 % 4,787 0.9 % 4,787 0.05 Adjustment for income tax effect — — % — — % (17,913) (0.20)Total non-GAAP$ 460,487 91.2 % $ 169,090 33.5 % $ 144,149 $ 1.64 1 Diluted weighted average shares were 88,127. Three Months Ended March 31, 2024(in thousands, except percentages and per share data)Gross Profit % of Revenue Operating Income % of Revenue Net Income EPS - Diluted1Total GAAP$ 397,938 85.3% $ 43,339 9.3% $ 34,778 $ 0.40 Stock-based compensation expense 3,343 0.7% 58,664 12.7% 58,664 0.66 Excess payroll taxes related to stock-based awards 378 0.1% 5,362 1.1% 5,362 0.06 Amortization of intangible assets from acquisitions 22,484 4.8% 28,629 6.1% 28,629 0.33 Expenses related to business combinations — —% 14,261 3.0% 14,261 0.16 Adjustment for income tax effect — —% — —% (19,698) (0.22)Total non-GAAP$ 424,143 90.9% $ 150,255 32.2% $ 121,996 $ 1.39 1 Diluted weighted average shares were 87,780. Three Months Ended(in thousands)March 31, 2025 March 31, 2024Net cash provided by operating activities$ 398,935 $ 282,817 Cash paid for interest 9,931 11,939 Tax benefit (1,738) (2,089)Unlevered operating cash flows$ 407,128 $ 292,667 / Use of Non-GAAP Measures We provide non-GAAP gross profit, non-GAAP gross profit margin, non-GAAP operating income, non-GAAP operating profit margin, non-GAAP net income, non-GAAP diluted earnings per share and unlevered operating cash flows as supplemental measures to GAAP regarding our operational performance.
Our results are as follows: GAAP(in thousands, except per share data and percentages)Q1 2025 Q1 2024 % ChangeRevenue$ 504,891 $ 466,605 8.2%Net income$ 51,865 $ 34,778 49.1%Diluted earnings per share$ 0.59 $ 0.40 47.5%Gross margin 85.6 % 85.3% Operating profit margin 11.7 % 9.3% Effective tax rate 19.6 % 15.1% Non-GAAP(in thousands, except per share data and percentages)Q1 2025 Q1 2024 % ChangeNet income$ 144,149 $ 121,996 18.2%Diluted earnings per share$ 1.64 $ 1.39 18.0%Gross margin 91.2 % 90.9% Operating profit margin 33.5 % 32.2% Effective tax rate 17.5 % 17.5% Other Metrics(in thousands, except percentages)Q1 2025 Q1 2024 % ChangeACV$ 410,068 $ 407,405 0.7%Operating cash flows$ 398,935 $ 282,817 41.1%Unlevered operating cash flows$ 407,128 $ 292,667 39.1% Supplemental Financial Information / Annual Contract Value (in thousands, except percentages)Q1 2025 Q1 2025 in Constant Currency Q1 2024 % Change % Change in Constant CurrencyACV$ 410,068 $ 416,640 $ 407,405 0.7% 2.3% Recurring ACV includes both subscription lease ACV and all maintenance ACV (including maintenance from perpetual licenses).
The story "Ansys Announces Q1 Financial Results" has 3604 words across 109 sentences, which will take approximately 16 - 31 minutes for the average person to read.
Which news outlet covered this story?
The story "Ansys Announces Q1 Financial Results" was covered 14 hours ago by GlobeNewswire, a news publisher based in China.
How trustworthy is 'GlobeNewswire' news outlet?
GlobeNewswire is a fully independent (privately-owned) news outlet established in 1998 that covers mostly technology news.
The outlet is headquartered in China and publishes an average of 98 news stories per day.
It's most recent story was published 14 hours ago.
What do people currently think of this news story?
The sentiment for this story is currently Negative, indicating that people regard this as "bad news".
How do I report this news for inaccuracy?
You can report an inaccurate news publication to us via our contact page. Please also include the news #ID number and the URL to this story.
