10-KPeriod: FY2024

Autodesk, Inc. Annual Report, Year Ended Jan 31, 2024

Filed June 10, 2024For Securities:ADSK

Summary

Autodesk, Inc. (ADSK) has filed its Annual Report on Form 10-K for the fiscal year ending January 31, 2024. The company, a global leader in 3D design, engineering, and entertainment technology, reported total net revenue of $5.50 billion, an increase of 10% year-over-year, with recurring revenue comprising 98% of the total. This growth was primarily driven by an increase in subscription revenue. The company continues its strategic transition to a subscription-based business model, including the modernization of its go-to-market strategy and the introduction of new transaction models. Key product families like Architecture, Engineering, and Construction (AEC) and Manufacturing (MFG) showed strong revenue growth. Autodesk also highlighted its commitment to Environmental, Social, and Governance (ESG) initiatives, including progress on greenhouse gas reduction targets. The report also details significant legal proceedings, including an ongoing internal investigation regarding free cash flow and non-GAAP operating margin practices, which has led to SEC and USAO inquiries and a securities class action lawsuit. While the company is cooperating with these investigations, the potential financial impact remains uncertain. Autodesk repurchased approximately $795 million of its common stock in fiscal year 2024, continuing its practice of returning capital to stockholders.

Financial Highlights

55 data points
Beta

Revenue

$5.50B

90.7% Gross Margin

Net Income

$906.00M

16.5% Net Margin

EPS (Diluted)

$4.19

Total Assets

$9.91B

Cash & Equivalents

$1.89B

Free Cash Flow

$1.28B

Financial Statements
Beta
Revenue$5.50B
Cost of Revenue$511.00M
Gross Profit$4.99B
R&D Expenses$1.37B
Operating Expenses$3.86B
Operating Income$1.13B
Interest Expense$71.00M
Net Income$906.00M
EPS (Basic)$4.23
EPS (Diluted)$4.19
Shares Outstanding (Basic)214.00M
Shares Outstanding (Diluted)216.00M

Key Highlights

  • 1Total net revenue reached $5.50 billion, a 10% increase year-over-year, driven by subscription growth.
  • 2Recurring revenue represented 98% of total net revenue, underscoring the strength of the subscription model.
  • 3The company is actively modernizing its go-to-market strategy, transitioning to new transaction models and reinforcing direct customer relationships.
  • 4Key product families, including AEC and Manufacturing, demonstrated robust revenue growth.
  • 5Autodesk remains committed to ESG initiatives, making progress on greenhouse gas reduction targets and investing in renewable energy.
  • 6Significant legal proceedings are underway, including an internal investigation into financial practices, with SEC and USAO inquiries and ongoing litigation, the financial impact of which is currently indeterminate.
  • 7The company repurchased $795 million of its common stock during fiscal year 2024, demonstrating a commitment to returning capital to shareholders.

Frequently Asked Questions

Autodesk reported total net revenue of $5.50 billion, a 10% increase compared to the prior fiscal year. Recurring revenue, a key indicator of the subscription model's strength, accounted for 98% of total net revenue. The company experienced growth across its major product families, particularly in AEC and Manufacturing.

Autodesk is focused on building a trusted design and make platform, accelerating the adoption of its newer offerings like Fusion and Forma, and transforming the customer experience. This includes further developing its industry clouds, integrating AI capabilities, and modernizing its go-to-market motion through new transaction models and enhanced customer relationships.

Yes, Autodesk disclosed an ongoing internal investigation concerning its free cash flow and non-GAAP operating margin practices. This investigation has led to inquiries from the SEC and the U.S. Attorney's Office for the Northern District of California, and the company is cooperating with these entities. A securities class action lawsuit has also been filed against the company. While Autodesk is cooperating, the potential financial impact of these matters remains uncertain.

Autodesk has a strong balance sheet with $2.48 billion in cash, cash equivalents, and marketable securities as of January 31, 2024. The company repurchased approximately $795 million of its common stock in fiscal year 2024, continuing its program to offset dilution from employee stock plans and return excess cash to stockholders. The company does not currently pay cash dividends.