Dassault Systèmes Reports Strong Revenue and EPS Growth

  • Second quarter 2015 non-IFRS total revenue objective of about €665-675 million based upon the exchange rates assumptions below, representing an increase of about 8% to 10% excluding currency effects; non-IFRS operating margin of about 27%; and non-IFRS EPS of about €0.45 to €0.47, representing growth of about 6% to 11%;
  • 2015 non-IFRS revenue growth objective range of about 11% to 12% in constant currencies at €2.76 to €2.78 billion (based upon the 2015 currency exchange rate assumptions below);
  • 2015 non-IFRS operating margin of about 30%, compared to 2014 where the non-IFRS operating margin was 29.8%;
  • 2015 non-IFRS EPS range of about €2.10-2.13, representing a growth objective range of 15% to 17%;
  • Objectives are based upon exchange rate assumptions of US$1.15 per €1.00 and JPY135 per €1.00 for the 2015 second quarter and US$1.14 per €1.00 and JPY134.8 per €1.00 for the full year.

The Company’s objectives are prepared and communicated only on a non-IFRS basis and are subject to the cautionary statement set forth below.

The 2015 non-IFRS objectives set forth above do not take into account the following accounting elements and are estimated based upon the 2015 currency exchange rates above: deferred revenue write-downs estimated at approximately €38 million, share-based compensation expense, estimated at approximately €19 million and amortization of acquired intangibles estimated at approximately €160 million. The above objectives do not include any impact from other operating income and expense, net principally comprised of acquisition, integration and restructuring expenses. Finally, these estimates do not include any new stock option or share grants, or any new acquisitions or restructurings completed after April 23, 2015.

Today’s Webcast and Conference Call Information

Today, Thursday, April 23, 2015, Dassault Systèmes will first host a meeting in London, which will be simultaneously webcasted at 8:30 AM London time/9:30 AM Paris time and will then also host a conference call at 9:00 AM New York time/ 2:00 PM London time/3:00 PM Paris time. The webcasted meeting and conference call will be available via the Internet by accessing http://www.3ds.com/investors/. Please go to the website at least 15 minutes prior to the webcast or conference call to register, download and install any necessary audio software. The webcast and conference call will be archived for 1 year.

Additional investor information can be accessed at http://www.3ds.com/investors/ or by calling Dassault Systèmes’ Investor Relations at 33.1.61.62.69.24.

2015 Key Investor Relations Events

2014 Annual Shareholders’ Meeting, May 28, 2015
Second Quarter 2015 Earnings, July 23, 2015
Third Quarter 2015 Earnings, October 22, 2015

Forward-looking Information

Statements herein that are not historical facts but express expectations or objectives for the future, including but not limited to statements regarding the Company’s non-IFRS financial performance objectives, are forward-looking statements.

Such forward-looking statements are based on Dassault Systèmes management's current views and assumptions and involve known and unknown risks and uncertainties. Actual results or performances may differ materially from those in such statements due to a range of factors. The Company’s current outlook for 2015 takes into consideration, among other things, an uncertain global economic environment. In light of the continuing uncertainties regarding economic, business, social and geopolitical conditions at the global level, the Company’s revenue, net earnings and cash flows may grow more slowly, whether on an annual or quarterly basis. While the Company makes every effort to take into consideration this uncertain macroeconomic outlook, the Company’s business results, however, may not develop as anticipated. Furthermore, due to factors affecting sales of the Company’s products and services as described above, there may be a substantial time lag between an improvement in global economic and business conditions and an upswing in the Company’s business results.

In preparing such forward-looking statements, the Company has in particular assumed an average US dollar to euro exchange rate of US$1.15 per €1.00 for the 2015 second quarter and US$1.14 per €1.00 for the full year as well as an average Japanese yen to euro exchange rate of JPY135.0 to €1.00 for the second quarter and JPY134.8 to €1.00 for the full year; however, currency values fluctuate, and the Company’s results of operations may be significantly affected by changes in exchange rates.

The Company’s actual results or performance may also be materially negatively affected by numerous risks and uncertainties, as described in the “Risk Factors” section of the 2014 Document de Référence, filed with the AMF on March 24, 2015, and also available on the Company’s website www.3ds.com.

Non-IFRS Financial Information

Readers are cautioned that the supplemental non-IFRS information presented in this press release is subject to inherent limitations. It is not based on any comprehensive set of accounting rules or principles and should not be considered as a substitute for IFRS measurements. Also, the Company’s supplemental non-IFRS financial information may not be comparable to similarly titled non-IFRS measures used by other companies. Further specific limitations for individual non-IFRS measures, and the reasons for presenting non-IFRS financial information, are set forth in the Company’s annual report for the year ended December 31, 2014 included in the Company’s 2014 Document de Référence filed with the AMF on March 24, 2015.

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