NASDAQ$PTC

PTC Inc. · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

PTC's Q3 2024 results demonstrated solid ARR and cash flow, with ARR growth guidance updated to 11-12% in constant currency and free cash flow guidance maintained for FY'24.

PTC reported solid ARR and cash flow for Q3 2024, with year-over-year ARR growth in the low double-digits and cash flow growth above 20%. The company is guiding to 11-12% constant currency ARR growth and maintaining free cash flow guidance for FY'24.

  • ARR as reported grew by 10% to $2,126 million.
  • Constant currency ARR grew by 12% to $2,125 million.
  • Free cash flow increased by 29% to $212 million.
  • Revenue decreased by 4% to $519 million.

Headline financials

Total Revenue

$519M

Previous: $542M-4.4%
EPS

$0.57

Previous: $0.99-42.4%
ARR as reported

$2.13B

Previous: $1.93B+10.2%
Constant currency ARR

$2.17B

No prior period
Operating margin

18.0%

No prior period
Non-GAAP operating margin

32.0%

No prior period
Capital Expenditures

-$9.84M

Previous: -$18M+45.4%
Free Cash Flow

$59.1M

Previous: $43.4M+36.4%
Net Income

$69M

Previous: $61.4M+12.3%
Operating Income

$95.8M

Previous: $110M-12.8%
Gross Profit

$407M

Previous: $426M-4.6%
Cash & Equivalents

$248M

Previous: $282M-12.0%
Total Assets

$6.13B

Previous: $6.21B-1.3%
R&D Expense

$110M

No prior period
Stock-Based Comp

$48M

Previous: $53.8M-10.7%

Revenue & EPS history

PTC · Revenue · Quarterly

$519M

Q3 2024-4.4%vs Q3 2023
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

PTC · $46.4M total across 2 segments · Q4 2023

  • Professional services
    $38.1M+3.3%
  • Perpetual license
    $8.22M+4.7%

Forward guidance

PTC updated its FY'24 constant currency ARR guidance range to 11 to 12 percent growth and maintained its FY'24 free cash flow guidance.

Tailwinds

  • Constant currency ARR expected to be between $2,200 million and $2,220 million, representing 11% - 12% growth.
  • Operating cash flow expected to be approximately $740 million, representing approximately 21% growth.
  • Free cash flow expected to be approximately $725 million, representing approximately 23% growth.
  • Earnings per share expected to be between $2.78 and $3.35, representing 35% - 63% growth.
  • Non-GAAP earnings per share expected to be between $4.85 and $5.21, representing 12% - 20% growth.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q3 2024

Historical avgQ3 2024

+0.5%

Avg return

Earnings day

+0.4%

Avg return

5 days after

+2.6%

Avg return

30 days after

56%

38 / 68 earnings

Positive

+16.9%

Q2 2022

Best reaction

-19.5%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026+0.0%+5.6%+0.2%
Q1 2026+1.7%+7.5%+7.5%
Q4 2025-8.4%-6.3%-8.7%
Q2 2025+0.9%+2.4%+8.6%
Q1 2025-9.6%-11.5%-14.3%
Q4 2024+0.0%+2.2%+5.8%
Q3 2024-0.3%-4.7%+1.5%
Q2 2024-3.9%+0.4%-0.7%
Q1 2024-2.5%-3.7%+2.0%
Q4 2023+4.2%+5.9%+13.5%
Q3 2023+0.7%+1.1%+0.4%
Q2 2023-0.7%+1.1%+5.5%
Q1 2023-1.9%-2.6%-7.4%
Q4 2022+4.4%+6.1%+7.2%
Q3 2022+13.1%+9.8%+3.0%
Q2 2022+16.9%+17.4%+21.2%
Q1 2022-4.2%+1.4%-2.7%
Q4 2021-4.3%+0.0%-10.7%
Q3 2021-7.4%-8.7%-8.1%
Q2 2021-9.7%-11.9%-9.2%
Q1 2021+6.8%+5.8%+5.7%
Q4 2020+1.9%+3.1%+28.9%
Q3 2020+4.0%+5.0%+10.8%
Q2 2020+4.3%+1.2%+15.1%
Q1 2020+7.9%+6.8%+12.4%
Q4 2019+6.1%+2.2%+14.0%
Q3 2019-19.5%-22.2%-28.1%
Q2 2019-9.9%-9.8%-15.3%
Q1 2019-7.1%-5.1%+8.4%
Q4 2018-8.5%-12.9%-7.5%
Q3 2018-1.9%-1.8%-6.7%
Q2 2018+2.2%+2.2%+1.2%
Q1 2018+7.1%+11.6%+12.2%
Q4 2017+5.9%+8.3%+7.7%
Q3 2017-6.8%-4.0%-7.8%
Q2 2017-0.5%+0.2%+3.3%
Q1 2017+6.0%+6.6%+14.6%
Q4 2016+0.2%+4.2%+9.4%
Q3 2016+2.9%+2.7%+8.3%
Q2 2016+11.5%
Q1 2016+3.5%
Q4 2015+0.1%
Q3 2015-6.4%
Q2 2015+4.4%
Q1 2015-0.9%
Q4 2014-3.1%
Q3 2014-1.7%
Q2 2014+0.6%
Q1 2014+0.7%
Q4 2013+9.0%
Q3 2013+0.7%
Q2 2013+1.4%
Q1 2013-1.1%
Q4 2012+5.1%
Q3 2012+13.5%
Q2 2012+15.1%
Q1 2012-0.1%
Q4 2011-4.9%
Q3 2011-0.9%
Q2 2011+0.0%
Q1 2010+1.2%
Q1 2011+2.0%
Q2 2010+0.2%
Q4 2010+0.2%
Q4 2008+0.2%
Q3 2009-1.4%
Q3 2010-1.4%
Q4 2009-1.4%

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