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• Total Revenue Growth: 12% in the fourth quarter, both as reported and in constant currency.

• AutoCAD and AutoCAD LT Revenue Growth: 9% in constant currency.

• AECO Revenue Growth: 15% in constant currency.

• Manufacturing Revenue Growth: 10% in constant currency, and in the low teens excluding upfront revenue.

• M&E Revenue Growth: 10% in constant currency.

• Regional Revenue Growth: 11% in the Americas, 13% in EMEA, and 11% in APAC, all in constant currency.

• Direct Revenue Increase: 35% in constant currency, representing 47% of total revenue.

• Billings Increase: 24% in the quarter at constant currency.

• RPO and Current RPO Growth: RPO at $6.9 billion grew 14%, and current RPO at $4.5 billion grew 12%.

• GAAP Operating Margin: 22% in the fourth quarter.

• Non-GAAP Operating Margin: 37% in the fourth quarter.

• Free Cash Flow: $1.57 billion for fiscal '25.

• Share Repurchase: Approximately 1.4 million shares for $414 million in the fourth quarter; 3.1 million shares for $858 million for the full year.

• Fiscal '26 Free Cash Flow Guidance: Between $2.075 billion and $2.175 billion.

• Fiscal '26 Share Buyback Guidance: Between $1.1 billion and $1.2 billion.

• Warning! GuruFocus has detected 4 Warning Signs with QVCGA.

Release Date: February 27, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• Autodesk Inc (NASDAQ:ADSK) delivered strong fourth-quarter and full-year results, with revenue and billings exceeding expectations despite foreign exchange headwinds.

• The company is reallocating resources to focus on strategic priorities such as cloud, platform, and AI, which are expected to drive future growth.

• Autodesk Inc (NASDAQ:ADSK) reported a 12% revenue growth in the fourth quarter, with broad-based growth across products and regions.

• The company achieved a 24% increase in billings at constant currency, reflecting a shift to annual billing for multi-year contracts.

• Autodesk Inc (NASDAQ:ADSK) plans to buy back $1.1 billion to $1.2 billion of shares in fiscal '26, a 30% to 40% increase compared to fiscal '25.

Negative Points

• The company is undergoing restructuring, which may cause some disruption despite mitigation plans.

• Autodesk Inc (NASDAQ:ADSK) acknowledged that the 10% to 15% growth framework is no longer appropriate given current business momentum.

• There are potential headwinds from macroeconomic uncertainties and geopolitical factors affecting customer sentiment.

• The transition to a new transaction model and annual billing for multi-year contracts may impact short-term revenue growth.

• The company is facing challenges in new business growth, which has been slow due to economic uncertainty and internal changes.