Autodesk Reports Record Fourth Quarter Revenue
(1) Effective in the second quarter of fiscal 2013, Autodesk began excluding gains and losses on strategic investments for purposes of its non-GAAP financial measures. Prior period non-GAAP interest and other income (expense), net, net income and earnings per share amounts have been revised to conform to the current period presentation.
Autodesk, Inc.
|
|
Other Supplemental Financial Information (a) |
|
Fiscal Year 2013
|
|
QTR 1 |
|
QTR 2 |
|
QTR 3 |
|
QTR 4 |
|
YTD 2013 |
Financial Statistics ($ in millions, except per share data): |
|
|
|
|
|
|
|
|
|
|
Total Net Revenue: |
|
$ |
589 |
|
|
$ |
569 |
|
|
$ |
548 |
|
|
$ |
607 |
|
|
$ |
2,312 |
|
License and Other Revenue |
|
$ |
361 |
|
|
$ |
341 |
|
|
$ |
317 |
|
|
$ |
372 |
|
|
$ |
1,391 |
|
Maintenance Revenue |
|
$ |
228 |
|
|
$ |
228 |
|
|
$ |
231 |
|
|
$ |
235 |
|
|
$ |
922 |
|
|
|
|
|
|
|
|
|
|
|
|
GAAP Gross Margin |
|
90 |
% |
|
89 |
% |
|
89 |
% |
|
90 |
% |
|
90 |
% |
Non-GAAP Gross Margin (1)(2) |
|
92 |
% |
|
91 |
% |
|
91 |
% |
|
92 |
% |
|
92 |
% |
|
|
|
|
|
|
|
|
|
|
|
GAAP Operating Expenses |
|
$ |
436 |
|
|
$ |
416 |
|
|
$ |
456 |
|
|
$ |
460 |
|
|
$ |
1,768 |
|
GAAP Operating Margin |
|
16 |
% |
|
16 |
% |
|
6 |
% |
|
14 |
% |
|
13 |
% |
GAAP Net Income |
|
$ |
79 |
|
|
$ |
65 |
|
|
$ |
29 |
|
|
$ |
75 |
|
|
$ |
248 |
|
GAAP Diluted Net Income Per Share (b) |
|
$ |
0.34 |
|
|
$ |
0.28 |
|
|
$ |
0.13 |
|
|
$ |
0.32 |
|
|
$ |
1.07 |
|
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP Operating Expenses (1)(3) |
|
$ |
396 |
|
|
$ |
376 |
|
|
$ |
355 |
|
|
$ |
404 |
|
|
$ |
1,531 |
|
Non-GAAP Operating Margin (1)(4) |
|
25 |
% |
|
25 |
% |
|
27 |
% |
|
25 |
% |
|
25 |
% |
Non-GAAP Net Income (1)(5)(c) |
|
$ |
109 |
|
|
$ |
111 |
|
|
$ |
109 |
|
|
$ |
121 |
|
|
$ |
450 |
|
Non-GAAP Diluted Net Income Per Share (1)(6)(b)(c) |
|
$ |
0.47 |
|
|
$ |
0.48 |
|
|
$ |
0.47 |
|
|
$ |
0.53 |
|
|
$ |
1.94 |
|
|
|
|
|
|
|
|
|
|
|
|
Total Cash and Marketable Securities |
|
$ |
1,796 |
|
|
$ |
1,717 |
|
|
$ |
1,737 |
|
|
$ |
2,365 |
|
|
$ |
2,365 |
|
Days Sales Outstanding |
|
46 |
|
|
58 |
|
|
49 |
|
|
74 |
|
|
74 |
|
Capital Expenditures |
|
$ |
12 |
|
|
$ |
17 |
|
|
$ |
17 |
|
|
$ |
12 |
|
|
$ |
56 |
|
Cash Flow from Operating Activities |
|
$ |
139 |
|
|
$ |
107 |
|
|
$ |
157 |
|
|
$ |
156 |
|
|
$ |
559 |
|
GAAP Depreciation, Amortization and Accretion |
|
$ |
29 |
|
|
$ |
29 |
|
|
$ |
35 |
|
|
$ |
35 |
|
|
$ |
128 |
|
|
|
|
|
|
|
|
|
|
|
|
Deferred Maintenance Revenue Balance |
|
648 |
|
|
672 |
|
|
634 |
|
|
734 |
|
|
734 |
|
|
|
|
|
|
|
|
|
|
|
|
Revenue by Geography: |
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
208 |
|
|
$ |
199 |
|
|
$ |
209 |
|
|
$ |
221 |
|
|
$ |
836 |
|
Europe, Middle East and Africa |
|
$ |
224 |
|
|
$ |
210 |
|
|
$ |
196 |
|
|
$ |
238 |
|
|
$ |
869 |
|
Asia Pacific |
|
$ |
157 |
|
|
$ |
161 |
|
|
$ |
142 |
|
|
$ |
148 |
|
|
$ |
608 |
|
% of Total Rev from Emerging Economies |
|
14 |
% |
|
15 |
% |
|
15 |
% |
|
14 |
% |
|
14 |
% |
|
|
|
|
|
|
|
|
|
|
|
Revenue by Segment: |
|
|
|
|
|
|
|
|
|
|
Platform Solutions and Emerging Business (c) |
|
$ |
229 |
|
|
$ |
218 |
|
|
$ |
205 |
|
|
$ |
198 |
|
|
$ |
850 |
|
Architecture, Engineering and Construction |
|
$ |
163 |
|
|
$ |
161 |
|
|
$ |
163 |
|
|
$ |
207 |
|
|
$ |
694 |
|
Manufacturing |
|
$ |
146 |
|
|
$ |
141 |
|
|
$ |
132 |
|
|
$ |
155 |
|
|
$ |
574 |
|
Media and Entertainment |
|
$ |
51 |
|
|
$ |
49 |
|
|
$ |
48 |
|
|
$ |
47 |
|
|
$ |
194 |
|
|
|
|
|
|
|
|
|
|
|
|
Other Revenue Statistics (c): |
|
|
|
|
|
|
|
|
|
|
% of Total Rev from Flagship (d) |
|
58 |
% |
|
57 |
% |
|
55 |
% |
|
54 |
% |
|
56 |
% |
% of Total Rev from Suites |
|
28 |
% |
|
29 |
% |
|
30 |
% |
|
31 |
% |
|
30 |
% |
% of Total Rev from New and Adjacent (d) |
|
14 |
% |
|
14 |
% |
|
15 |
% |
|
15 |
% |
|
15 |
% |
% of Total Rev from AutoCAD and AutoCAD LT |
|
35 |
% |
|
34 |
% |
|
33 |
% |
|
29 |
% |
|
33 |
% |
Upgrade and Crossgrade Revenue (e) |
|
$ |
50 |
|
|
$ |
34 |
|
|
$ |
32 |
|
|
$ |
62 |
|
|
$ |
178 |
|
|
|
|
|
|
|
|
|
|
|
|
Favorable (Unfavorable) Impact of U.S. Dollar Translation Relative to Foreign |
|
|
|
|
|
|
|
|
|
|
Currencies Compared to Comparable Prior Year Period: |
|
|
|
|
|
|
|
|
|
|
FX Impact on Total Net Revenue |
|
$ |
14 |
|
|
$ |
(1 |
) |
|
$ |
(10 |
) |
|
$ |
(15 |
) |
|
$ |
(12 |
) |
FX Impact on Cost of Revenue and Total Operating Expenses |
|
$ |
(2 |
) |
|
$ |
6 |
|
|
$ |
7 |
|
|
$ |
1 |
|
|
$ |
12 |
|
FX Impact on Operating Income |
|
$ |
12 |
|
|
$ |
5 |
|
|
$ |
(3 |
) |
|
$ |
(14 |
) |
|
$ |
— |
|
|
|
|
|
|
|
|
|
|
|
|
Gross Margin by Segment (c): |
|
|
|
|
|
|
|
|
|
|
Platform Solutions and Emerging Business |
|
$ |
216 |
|
|
$ |
204 |
|
|
$ |
191 |
|
|
$ |
184 |
|
|
$ |
795 |
|
Architecture, Engineering and Construction |
|
$ |
149 |
|
|
$ |
146 |
|
|
$ |
150 |
|
|
$ |
190 |
|
|
$ |
635 |
|
Manufacturing |
|
$ |
134 |
|
|
$ |
130 |
|
|
$ |
122 |
|
|
$ |
145 |
|
|
$ |
531 |
|
Media and Entertainment |
|
$ |
42 |
|
|
$ |
39 |
|
|
$ |
38 |
|
|
$ |
38 |
|
|
$ |
157 |
|
Unallocated amounts |
|
$ |
(11 |
) |
|
$ |
(11 |
) |
|
$ |
(11 |
) |
|
$ |
(12 |
) |
|
$ |
(45 |
) |
|
|
|
|
|
|
|
|
|
|
|
Common Stock Statistics: |
|
|
|
|
|
|
|
|
|
|
Common Shares Outstanding |
|
229.7 |
|
|
226.7 |
|
|
224.5 |
|
|
223.6 |
|
|
223.6 |
|
Fully Diluted Weighted Average Shares Outstanding |
|
234.1 |
|
|
232.1 |
|
|
229.9 |
|
|
229.6 |
|
|
231.7 |
|
Shares Repurchased |
|
2.5 |
|
|
3.4 |
|
|
4.0 |
|
|
2.6 |
|
|
12.5 |
|
|
(a) Totals may not agree with the sum of the components due to rounding. |
(b) Earnings per share were computed independently for each of the periods presented; therefore the sum of the earnings per share amounts for the quarters may not equal the total for the year. |
(c) Prior amounts have been conformed to align with the current period presentation. |
(d) The first three quarters of 2013 percentages have been updated to reflect an adjustment implemented after we reported our results of operations for the third quarter of fiscal 2013. |
(e) Starting in 1Q fiscal 2014, Autodesk will discontinue reporting revenue from upgrades and crossgrades and will report only total license revenue and total maintenance revenue.
|
|
|
(1) To supplement our consolidated financial statements presented on a GAAP basis, Autodesk provides investors with certain non-GAAP measures including non-GAAP gross margin, non-GAAP operating expenses, non-GAAP operating margin, non-GAAP net income, and non-GAAP net income per share. These non-GAAP financial measures are adjusted to exclude certain costs, expenses, gains and losses, including stock-based compensation expense, restructuring charges, amortization of purchased intangibles, gain and loss on strategic investments, and related income tax expenses. See our reconciliation of GAAP financial measures to non-GAAP financial measures herein. We believe these exclusions are appropriate to enhance an overall understanding of our past financial performance and also our prospects for the future, as well as to facilitate comparisons with our historical operating results. These adjustments to our GAAP results are made with the intent of providing both management and investors a more complete understanding of Autodesk's underlying operational results and trends and our marketplace performance. For example, the non-GAAP results are an indication of our baseline performance before gains, losses or other charges that are considered by management to be outside our core operating results. In addition, these non-GAAP financial measures are among the primary indicators management uses as a basis for our planning and forecasting of future periods. There are limitations in using non-GAAP financial measures because the non-GAAP financial measures are not prepared in accordance with generally accepted accounting principles and may be different from non-GAAP financial measures used by other companies. The non-GAAP financial measures are limited in value because they exclude certain items that may have a material impact upon our reported financial results. The presentation of this additional information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with generally accepted accounting principles in the United States. Investors should review the reconciliation of the non-GAAP financial measures to their most directly comparable GAAP financial measures as provided in the tables accompanying Autodesk's press release.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
QTR 1 |
|
QTR 2 |
|
QTR 3 |
|
QTR 4 |
|
YTD 2013 |
(2) GAAP Gross Margin |
|
90 |
% |
|
89 |
% |
|
89 |
% |
|
90 |
% |
|
90 |
% |
Stock-based compensation expense |
|
— |
|
|
— |
|
|
— |
|
|
— |
|
|
— |
|
Amortization of developed technology |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
Non-GAAP Gross Margin |
|
92 |
% |
|
91 |
% |
|
91 |
% |
|
92 |
% |
|
92 |
% |
|
|
|
|
|
|
|
|
|
|
|
(3) GAAP Operating Expenses |
|
$ |
436 |
|
|
$ |
416 |
|
|
$ |
456 |
|
|
$ |
460 |
|
|
$ |
1,768 |
|
Stock-based compensation expense |
|
(32 |
) |
|
(32 |
) |
|
(51 |
) |
|
(36 |
) |
|
(151 |
) |
Amortization of customer relationships and trade names |
|
(8 |
) |
|
(8 |
) |
|
(14 |
) |
|
(13 |
) |
|
(42 |
) |
Restructuring (charges) benefits, net |
|
— |
|
|
— |
|
|
(37 |
) |
|
(7 |
) |
|
(44 |
) |
Non-GAAP Operating Expenses |
|
$ |
396 |
|
|
$ |
376 |
|
|
$ |
355 |
|
|
$ |
404 |
|
|
$ |
1,531 |
|
|
|
|
|
|
|
|
|
|
|
|
(4) GAAP Operating Margin |
|
16 |
% |
|
16 |
% |
|
6 |
% |
|
14 |
% |
|
13 |
% |
Stock-based compensation expense |
|
6 |
% |
|
6 |
% |
|
10 |
% |
|
6 |
% |
|
7 |
% |
Amortization of developed technology |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
|
1 |
% |
Amortization of customer relationships and trade names |
|
1 |
% |
|
1 |
% |
|
2 |
% |
|
2 |
% |
|
2 |
% |
Restructuring charges (benefits), net |
|
— |
|
|
— |
|
|
7 |
% |
|
1 |
% |
|
2 |
% |
Non-GAAP Operating Margin |
|
25 |
% |
|
25 |
% |
|
27 |
% |
|
25 |
% |
|
25 |
% |
|
|
|
|
|
|
|
|
|
|
|
(5) GAAP Net Income |
|
$ |
79 |
|
|
$ |
65 |
|
|
$ |
29 |
|
|
$ |
75 |
|
|
$ |
248 |
|
Stock-based compensation expense |
|
33 |
|
|
34 |
|
|
52 |
|
|
38 |
|
|
156 |
|
Amortization of developed technology |
|
10 |
|
|
10 |
|
|
10 |
|
|
10 |
|
|
40 |
|
Amortization of customer relationships and trade names |
|
8 |
|
|
8 |
|
|
14 |
|
|
13 |
|
|
42 |
|
Restructuring charges (benefits), net |
|
— |
|
|
— |
|
|
37 |
|
|
7 |
|
|
44 |
|
(Gain) loss on strategic investments (7) |
|
(1 |
) |
|
5 |
|
|
— |
|
|
— |
|
|
4 |
|
Discrete GAAP tax provision items |
|
(6 |
) |
|
3 |
|
|
(16 |
) |
|
(8 |
) |
|
(27 |
) |
Income tax effect of non-GAAP adjustments |
|
(14 |
) |
|
(12 |
) |
|
(17 |
) |
|
(14 |
) |
|
(57 |
) |
Non-GAAP Net Income |
|
$ |
109 |
|
|
$ |
111 |
|
|
$ |
109 |
|
|
$ |
121 |
|
|
$ |
450 |
|
|
|
|
|
|
|
|
|
|
|
|
(6) GAAP Diluted Net Income Per Share |
|
$ |
0.34 |
|
|
$ |
0.28 |
|
|
$ |
0.13 |
|
|
$ |
0.32 |
|
|
$ |
1.07 |
|
Stock-based compensation expense |
|
0.14 |
|
|
0.15 |
|
|
0.23 |
|
|
0.16 |
|
|
0.67 |
|
Amortization of developed technology |
|
0.04 |
|
|
0.04 |
|
|
0.04 |
|
|
0.05 |
|
|
0.18 |
|
Amortization of customer relationships and trade names |
|
0.03 |
|
|
0.03 |
|
|
0.06 |
|
|
0.05 |
|
|
0.18 |
|
Restructuring charges (benefits), net |
|
— |
|
|
— |
|
|
0.15 |
|
|
0.03 |
|
|
0.18 |
|
(Gain) loss on strategic investments (7) |
|
— |
|
|
0.02 |
|
|
— |
|
|
— |
|
|
0.02 |
|
Discrete GAAP tax provision items |
|
(0.03 |
) |
|
0.01 |
|
|
(0.07 |
) |
|
(0.02 |
) |
|
(0.12 |
) |
Income tax effect of non-GAAP adjustments |
|
(0.05 |
) |
|
(0.05 |
) |
|
(0.07 |
) |
|
(0.06 |
) |
|
(0.24 |
) |
Non-GAAP Diluted Net Income Per Share |
|
$ |
0.47 |
|
|
$ |
0.48 |
|
|
$ |
0.47 |
|
|
$ |
0.53 |
|
|
$ |
1.94 |
|
|
(7) |
|
Effective in the second quarter of fiscal 2013, Autodesk began excluding gains and losses on strategic investments for purposes of its non-GAAP financial measures. Prior period non-GAAP interest and other income (expense), net, net income and earnings per share amounts have been revised to conform to the current period presentation. |
|
Reconciliation for Fiscal 2014: |
The following is a reconciliation of anticipated fiscal 2014 GAAP and non-GAAP operating margins: |
|
|
|
Fiscal 2014 |
Projected non-GAAP operating margin basis-point (bpt) improvement range |
|
125 bpt |
|
150 bpt |
GAAP operating margin basis point improvement over prior year |
|
455 |
|
|
480 |
|
Stock-based compensation expense |
|
(180 |
) |
|
(180 |
) |
Amortization of purchased intangibles |
|
(40 |
) |
|
(40 |
) |
Restructuring charges |
|
(110 |
) |
|
(110 |
) |
Non-GAAP operating margin basis point improvement over prior year |
|
125 |
|
|
150 |
|
|