Autodesk Reports 12% Revenue Growth, Net Income Increase in Q2 2024

Autodesk, Inc. reported significant financial results for the three and six months ended July 31, 2024, reflecting a robust performance compared to the same periods in 2023. The company achieved net revenue of $1,505 million for the three months, marking a 12% increase from $1,345 million in the prior year. For the six-month period, net revenue reached $2,922 million, also up 12% from $2,614 million in 2023. Subscription revenue played a crucial role in this growth, totaling $1,408 million for the three months and $2,738 million for the six months, both representing an 11% increase year-over-year.

Gross profit for the three months ended July 31, 2024, was $1,365 million, up from $1,218 million in the same quarter of 2023. For the six months, gross profit increased to $2,645 million from $2,360 million. However, total operating expenses rose to $1,022 million for the three months and $2,003 million for the six months, compared to $956 million and $1,881 million, respectively, in the prior year. This led to net income of $282 million for the three months, up from $222 million, and $534 million for the six months, compared to $383 million in 2023.

Autodesk's strategic developments included several acquisitions aimed at enhancing its product offerings. Notably, the company acquired Payapps Limited for $387 million, the PIX business of X2X, LLC for $266 million, and Aether Media, Inc. for $131 million. These acquisitions are expected to bolster Autodesk's capabilities in construction management and artificial intelligence for visual effects.

The company also reported a decrease in deferred revenue, which fell 13% to $3.69 billion compared to the previous quarter. Remaining performance obligations (RPO) decreased by 4% to $5.86 billion. Despite these declines, Autodesk maintained a net revenue retention rate between 100% and 110% on a constant currency basis.

In terms of cash flow, Autodesk generated $706 million from operating activities in the first half of 2024, down from $858 million in the same period of 2023. The company utilized $864 million in investing activities, significantly higher than the $418 million used in the prior year. Additionally, Autodesk repurchased 504 thousand shares for $124 million during the six months ended July 31, 2024, compared to 3.1 million shares for $621 million in the same period of 2023.

As of July 31, 2024, Autodesk's total stockholders' equity stood at $2,474 million, a substantial increase from $1,206 million a year earlier. The company continues to focus on digital transformation and sustainability, aligning its initiatives with the UN Sustainable Development Goals.