Delivers Double-digit Billings Growth

Raises Billings and Revenue Outlook for Fiscal Year 2015

SAN RAFAEL, Calif. — (BUSINESS WIRE) — May 15, 2014 — Autodesk, Inc. (NASDAQ: ADSK) today reported financial results for the first quarter of fiscal 2015.

First Quarter Fiscal 2015

• Total billings increased 10 percent, compared to the first quarter of fiscal 2014.
• Total subscriptions increased by over 89,000, compared to the fourth quarter of fiscal 2014.
• Revenue was $593 million, an increase of 4 percent, compared to the first quarter of fiscal 2014 as reported, and increased 5 percent on a constant currency basis. Revenue contribution from the recent acquisition of Delcam was immaterial to first quarter results.
• GAAP operating margin was 7 percent, compared to 14 percent in the first quarter of fiscal 2014.
• Non-GAAP operating margin was 17 percent, compared with 24 percent in the first quarter of fiscal 2014. A reconciliation of GAAP to non-GAAP results is provided in the accompanying tables.
• GAAP diluted earnings per share were $0.12, compared to $0.24 in the first quarter of fiscal 2014.
• Non-GAAP diluted earnings per share were $0.32, compared to $0.42 in the first quarter of fiscal 2014.
• Deferred revenue increased 13 percent to a record $964 million, compared to the first quarter of fiscal 2014.
• Cash flow from operating activities was $219 million, compared to $224 million in the first quarter of fiscal 2014.

"Our year is off to an encouraging start. We had solid first quarter results and made meaningful progress on our business model transition with the addition of over 89,000 subscriptions,” said  Carl Bass, Autodesk president and CEO. "Continued strength in our suites and Architecture, Engineering and Construction (AEC) business segment, strong demand in Asia Pacific (APAC), and solid performance in our Manufacturing business drove financial results above our expectations.

“While we experienced strong growth in our cloud and desktop subscriptions (rental)," Bass continued, "strong growth in maintenance subscriptions was the primary driver behind the increase in total subscriptions, as expected. Late in the first quarter we launched AutoCAD LT as a desktop subscription on a global basis and were pleased with the initial response. We look forward to building on these early successes and transitioning Autodesk to an even more profitable and recurring, subscription-based model over the next four years.”

First Quarter Operational Overview

Revenue in the Americas increased 2 percent to $206 million compared to the first quarter last year as reported. EMEA revenue increased 4 percent to $226 million compared to the first quarter last year as reported, and 2 percent on a constant currency basis. Revenue in APAC increased 6 percent to $161 million compared to the first quarter last year as reported, and increased 15 percent on a constant currency basis. Revenue from emerging economies increased 5 percent to $79 million compared to the first quarter last year as reported and 4 percent on a constant currency basis. Revenue from emerging economies represented 13 percent of total revenue in the first quarter.

Revenue from the Platform Solutions and Emerging Business (PSEB) segment was flat at $212 million compared to the first quarter last year. Revenue from the AEC business segment increased 14 percent to $196 million compared to the first quarter last year. Revenue from the Manufacturing business segment increased 6 percent to $147 million compared to the first quarter last year. Revenue from the Media and Entertainment business (M&E) segment decreased 19 percent to $38 million compared to the first quarter last year.

Revenue from Flagship products decreased 4 percent to $299 million compared to the first quarter last year. Revenue from Suites increased 19 percent to $210 million compared to the first quarter last year. Revenue from New and Adjacent products was $83 million, and increased 2 percent compared to the first quarter last year.

"We are pleased with the first quarter results," said Mark Hawkins, Autodesk executive vice president and CFO. "Our better than expected results, coupled with our optimistic view of the current macroeconomic environment, led us to raise our business outlook for billings and revenue for fiscal year 2015."

Business Outlook

The following are forward-looking statements based on current expectations and assumptions, and involve risks and uncertainties some of which are set forth below. Autodesk's business outlook for the second quarter and full year fiscal 2015 assumes, among other things, a continuation of the current economic environment and foreign exchange currency rate environment, and interest expense related to Autodesk's $750 million debt offering in December 2012. A reconciliation between the GAAP and non-GAAP estimates for fiscal 2015 is provided in the tables following this press release.