- IFRS total revenue increased 16%, with software higher by 13% and services and other revenue increasing 46% reflecting the higher service and content revenue mix from 2014 acquisitions. Similarly, non-IFRS total revenue increased 19%, with software revenue growth of 16% and services and other revenue growth of 54%. Excluding acquisitions and divestitures, non-IFRS total revenue increased 7% and software revenue increased 7%. (All growth rates in constant currencies.)
- On a regional basis, non-IFRS revenue in Europe increased 15%, led by the United Kingdom. Non-IFRS revenue in the Americas increased 22%, with an improving performance in North America. In Asia, revenue growth of 24% reflected generally strong results across all major geographies and was sharply higher on an organic basis as well. (All growth rates in constant currencies.)
- New licenses revenue rose 22% (IFRS) and 23% (non-IFRS). On an organic basis, non-IFRS new licenses increased 14%, with 25% growth for CATIA and 35% for ENOVIA. Recurring software revenue increased 15% (IFRS) and 14% (non-IFRS). Sales performance by all three channels was solid. On an organic basis, non-IFRS recurring software revenue increased 5% on growth in maintenance, and mixed rental results. (All growth comparisons are in constant currencies.)
- By product line and on a non-IFRS basis, CATIA increased 7%; ENOVIA grew 8%; SOLIDWORKS increased 14% with new seats licensed up 12% to 12,648; Other software grew 38% reflecting new acquisitions and double-digit software growth for SIMULIA, offset in part by softer results in mining. (All growth comparisons are in constant currencies.)
- IFRS operating income of €102.3 million was lower by 9.6% while non-IFRS operating income increased 9.6% to €172.1 million. The non-IFRS operating margin was 29.7%, compared to 31.6% in the year-ago quarter, reflecting dilution from acquisitions, currency headwinds and the improvement of the organic operating margin.
- During the third quarter, the IFRS effective tax rate was 33.6% compared to 23.0% in the prior year period where the Company benefited principally from a reversal of tax reserves. On a non-IFRS basis, the third quarter effective tax rate increased to 34.3% compared to 29.8% in the year-ago period.
- IFRS diluted net income per share was €0.28 per share, compared to €0.35 per share in the year-ago period on a split-adjusted basis. Non-IFRS diluted net income per share increased 2.3% to €0.45 per share.
2014 Nine Months Financial Summary
|In millions of Euros, except per share data||IFRS||Non-IFRS|
|Change||Change in cc*||Change||Change in cc*|
|2014 YTD Total Revenue||1,621.1||8%||13%||1,652.6||10%||14%|
|2014 YTD Software Revenue||1,442.8||5%||10%||1,469.8||7%||11%|
|2014 YTD Services and other revenue||178.3||36%||39%||182.8||40%||43%|
|2014 YTD Operating Margin||17.4%||28.7%|
|2014 YTD EPS||0.75||(22%)||1.24||0%|
|In millions of Euros||IFRS||Non-IFRS|
|2014 YTD||2013 YTD||Change in cc*||2014 YTD||2013 YTD||Change in cc*|