SAN RAFAEL (dpa-AFX) - Design software maker Autodesk, Inc. (ADSK) said Thursday after the markets closed that its second quarter profit fell 49% from last year, as higher costs and expenses more than offset a 13% increase in revenue.
However, the company's quarterly earnings per share, excluding items, came in above analysts' expectations as did its quarterly revenue.
At the same time, the company forecasts third quarter revenue above analysts' current consensus estimates and raised its full year revenue forecast.
'Strong demand on a global basis and expanding adoption of our suites solutions drove strong billings and record revenue results,' said Carl Bass, Autodesk president and CEO. 'We also made meaningful progress in the transition to a more recurring, subscription-based business, adding approximately 74,000 maintenance, desktop (rental), and cloud subscriptions.'
Autodesk shares are currently gaining 4.82% in after hours trading after closing the day's regular trading session at $56.28, up 49 cents. The shares trade in a 52-week range of $35.05 to $58.68.
For the second quarter ended July 31, 2014, the San Rafael, California-based company reported net income of $31.3 million or $0.13 per share, compared to $61.7 million or $0.27 per share for the year-ago quarter.
Excluding items, adjusted net income for the second quarter was $82.0 million or $0.35 per share, compared to $101.8 million or $0.45 per share in the prior year quarter.
On average, 16 analysts polled by Thomson Reuters expected the company to earn $0.29 per share for the second quarter. Analysts' estimates typically exclude special items.
Operating margin for the quarter narrowed to 8% from 15% a year earlier, while adjusted operating margin shrank to 18% from 24% last year.
Revenue for the second quarter rose 13% to a record $637.1 million from $561.7 million in the same quarter last year. Fourteen analysts had a consensus revenue estimate of $603.39 million for the second quarter.
Revenue from Flagship products grew 6% from last year to $307 million, while revenue from Suites increased 20% to $232 million in the second quarter. Total billings for the quarter increased 27% year-over-year.
The company's deferred revenue at the end of the second quarter was $981 million, an increase of 22% from a year earlier.
Looking forward to the third quarter, the company forecasts revenue of $590 million to $605 million, earnings between a loss of $0.05 per share and profit of $0.01 per share and adjusted earnings of $0.17 to $0.23 per share. Analysts currently expect the company to earn $0.28 per share on revenue of $588.19 million for the third quarter.
For the full year fiscal 2015, the company now forecasts revenue growth of 7% to 9%, up from its prior forecast of 4% to 6% and better than analysts' current forecast of 5.70% growth.
Copyright RTT News/dpa-AFX
© 2014 AFX News
