Reports Double-Digit Growth in Revenue and Operating Cash Flow
Announces Acquisition of DfR Solutions
Key Highlights - Q1 2019
- GAAP revenue of $317.1 million and non-GAAP revenue of $319.9 million
- GAAP diluted earnings per share of $1.01 and non-GAAP diluted earnings per share of $1.29
- GAAP operating profit margin of 30.2% and non-GAAP operating profit margin of 42.9%
- Operating cash flows of $151.6 million, an increase of 14% over Q1 2018
- Deferred revenue and backlog of $672.6 million at March 31, 2019, an increase of 13% over Q1 2018
- Repurchased 0.3 million shares in the first quarter at an average price of $179.42
PITTSBURGH, May 01, 2019 (GLOBE NEWSWIRE) -- ANSYS, Inc. (NASDAQ: ANSS), today reported first quarter 2019 GAAP and non-GAAP revenue growth of 12% and 13%, respectively, or 15% and 16%, respectively, in constant currency. For the first quarter, the Company reported growth in diluted earnings per share of 3% and 8% on a GAAP and non-GAAP basis, respectively.
“We’re off to an excellent start to 2019, delivering double-digit growth in both software license and total revenue. The ANSYS strategy is working. Driven by our vision of Pervasive SimulationTM, the strength of our portfolio and our excellent relationships with customers, we continue to see tremendous demand for our products and solutions,” said Ajei Gopal, ANSYS President and CEO.
“Q1 also saw the introduction of new capabilities across our entire line of products, including a new ANSYS Cloud offering, which allows customers to easily and instantaneously access on-demand, cloud-based high-performance computing directly from ANSYS’ flagship products. In addition, as previously announced, we continued to invest in expanding our multi-physics product portfolio capabilities and employee talent, acquiring Granta Design and Helic. Both Granta and Helic have been successfully integrated and are operating efficiently within the ANSYS platform. And, I am excited that we announced today the addition of DfR Solutions, a market leader in designer-level electronics reliability assessment software. With the proliferation of electronic components across products, it is critical for companies in nearly every industry to ensure the reliability of their electronics. DfR’s Sherlock solution, coupled with the robust reliability, accuracy and speed of our flagship solutions, will allow our customers to reduce their design cycle times and boost their products’ reliability and performance,” Gopal added.
Maria Shields, ANSYS CFO, stated, “The underlying fundamentals of our business performed at or above the high end of our expectations, as evidenced by our first quarter revenue, deferred revenue and backlog, and cash flows. Earnings were also very strong for the quarter, and our operating margin was above the high end of our guidance, driven by the over-performance in revenues. As a result of our solid performance in Q1, combined with our growing business momentum, we are raising our full-year 2019 guidance.”
ANSYS' first quarter 2019 and 2018 financial results are presented below. The 2019 and 2018 non-GAAP results exclude the income statement effects of acquisition adjustments to deferred revenue, stock-based compensation, amortization of acquired intangible assets, acquisition-related transaction costs and adjustments related to the transition tax associated with the Tax Cuts and Jobs Act.
GAAP and non-GAAP results:
|(in millions, except percentages and per share data)||Q1 2019||Q1 2018||% Change||Q1 2019||Q1 2018||% Change|
|Diluted earnings per share||$||1.01||$||0.98||3||%||$||1.29||$||1.20||8||%|
|Operating profit margin||30.2||%||33.6||%||42.9||%||45.0||%|
The non-GAAP financial results highlighted above, and the non-GAAP financial outlook for 2019 discussed below, represent non-GAAP financial measures. Reconciliations of these measures to the appropriate GAAP measures, for the three months ended March 31, 2019 and 2018, and for the 2019 financial outlook, can be found in the condensed financial information included in this release.
Other Financial Metrics
|(in millions, except percentages)||Q1 2019||Q1 2018||% Change||
|Annual contract value (ACV)||$||303.5||$||293.9||3||%||7||%|
|Operating cash flows||$||151.6||$||132.4||14||%|