Autodesk Shares Rise Despite Weaker Second Quarter Earnings

Strategic Insights -

Despite reporting weaker second quarter earnings, Autodesk Inc's shares rose after hours on Thursday due to the company's raised year-end revenue target and unchanged overall business momentum. The San Francisco-based software provider's shares traded up 2.5% after hours in New York, despite earlier closing up 0.7% at $295.00. The company's revenue edged up 15% to $1.63 billion from $1.42 billion, with Design revenue up 14%, Make revenue up 23%, and Other revenue up 22%.

Key Takeaways:

  • Autodesk's second quarter earnings were weaker, with net income down 40% to $152 million, or $0.70 per diluted share, compared to $252 million, or $1.16 per share, a year prior.
  • Revenue edged up 15% to $1.63 billion from $1.42 billion, with Design revenue up 14% to $1.36 billion, Make revenue up 23% to $179 million, and Other revenue up 22% to $93 million.
  • Regionally, revenue in both Americas and Europe, Middle East, and Africa improved by 17%, while Asia Pacific revenue rose 6%.
  • The company raised its year-end revenue target, with CEO Andrew Anagnost stating that the strong performance in the first quarter set it up well for the year.
  • First quarter billings rose 29% on-year to $1.43 billion, and the company forecasts GAAP earnings per share of $1.37 to $1.46 and non-GAAP EPS between $2.44 and $2.48 for the second quarter.
  • For 2026, Autodesk projects billings of $7.16 billion to $7.31 billion, up from initial guidance of $7.06 billion to $7.21 billion. GAAP EPS of $4.63 to $5.14 is now projected, compared to $4.74 to $5.37 initially.

Statistics:

  • Net income: $152 million, down 40% from $252 million a year prior
  • Revenue: $1.63 billion, up 15% from $1.42 billion
  • Design revenue: $1.36 billion, up 14%
  • Make revenue: $179 million, up 23%
  • Other revenue: $93 million, up 22%
  • Regionally, revenue in both Americas and Europe, Middle East, and Africa improved by 17%
  • Asia Pacific revenue: up 6%
  • First quarter billings: $1.43 billion, up 29% on-year
  • Second quarter revenue forecast: $1.72 billion to $1.73 billion
  • Second quarter GAAP EPS forecast: $1.37 to $1.46
  • Second quarter non-GAAP EPS forecast: $2.44 to $2.48
  • 2026 billings forecast: $7.16 billion to $7.31 billion
  • 2026 GAAP EPS forecast: $4.63 to $5.14

Sources:

  • Autodesk Inc, "Autodesk Announces First Quarter Fiscal 2026 Results"
  • Autodesk Inc, "Q1 2026 Earnings Call Transcript"
  • Alliance News, "Autodesk shares rise after Q2 earnings, despite net income down 40%"
  • Alliance News, "Autodesk raises year-end revenue target, sees no change in overall business momentum"