10-QPeriod: Q2 FY2026

Autodesk, Inc. Quarterly Report for Q2 Ended Jul 31, 2025

Filed September 2, 2025For Securities:ADSK

Summary

Autodesk, Inc. reported strong financial results for the three and six months ended July 31, 2025. Total net revenue increased by 17% and 16% respectively, driven primarily by subscription revenue growth. The company continues its successful transition to a subscription-based model, with recurring revenue making up 98% and 97% of total net revenue for the respective periods. Profitability also saw improvement, with income from operations increasing significantly year-over-year, reflecting effective cost management and increased revenue. Key financial highlights include robust revenue growth across product families, particularly in Architecture, Engineering, Construction and Operations (AECO). The company also reported a healthy net revenue retention rate above 110% on a constant currency basis. Autodesk strengthened its financial position with a substantial increase in cash provided by operating activities and maintained a strong liquidity position. The company also announced the successful closure of SEC and USAO investigations, providing regulatory clarity. Shareholder returns were supported by ongoing stock repurchase programs.

Financial Highlights

51 data points
Beta

Revenue

$1.76B

91.0% Gross Margin

Net Income

$313.00M

17.8% Net Margin

EPS (Diluted)

$1.46

Total Assets

$10.86B

Cash & Equivalents

$2.00B

Free Cash Flow

$451.00M

Financial Statements
Beta
Revenue$1.76B
Cost of Revenue$159.00M
Gross Profit$1.60B
R&D Expenses$413.00M
Operating Expenses$1.16B
Operating Income$444.00M
Interest Expense$19.00M
Net Income$313.00M
EPS (Basic)$1.47
EPS (Diluted)$1.46
Shares Outstanding (Basic)213.00M
Shares Outstanding (Diluted)215.00M

Key Highlights

  • 1Total net revenue increased by 17% to $1.76 billion for the three months ended July 31, 2025, and by 16% to $3.40 billion for the six months ended July 31, 2025, compared to the prior year periods.
  • 2Subscription revenue was the primary driver of growth, increasing 18% and 17% for the three and six months ended July 31, 2025, respectively.
  • 3Recurring revenue represented 98% and 97% of total net revenue for the three and six months ended July 31, 2025, respectively, indicating a strong subscription-based business model.
  • 4Income from operations increased significantly by 29% to $444 million for the three months and 20% to $677 million for the six months ended July 31, 2025, compared to the prior year periods.
  • 5Net cash provided by operating activities was strong at $1.02 billion for the six months ended July 31, 2025, up from $706 million in the prior year.
  • 6Net revenue retention rate (NR3) was above 110% on a constant currency basis as of July 31, 2025, indicating strong customer retention and expansion.
  • 7Autodesk announced the closure of SEC and USAO investigations regarding free cash flow and non-GAAP operating margin practices, providing positive regulatory clarity.

Frequently Asked Questions

Autodesk's revenue growth was primarily driven by an increase in subscription revenue, which rose 18% and 17% for the three and six months ended July 31, 2025, respectively. This reflects the company's successful transition to a subscription-based business model and strong customer retention and expansion within its recurring revenue streams.

Profitability showed significant improvement. Income from operations increased by 29% year-over-year to $444 million for the three-month period and by 20% to $677 million for the six-month period. This was supported by revenue growth and effective management of operating expenses.

Autodesk demonstrated strong cash flow generation, with net cash provided by operating activities reaching $1.02 billion for the first six months of fiscal 2025, a substantial increase from the prior year. The company is actively returning capital to shareholders through stock repurchases, spending $709 million on share repurchases in the first six months of fiscal 2025.

Autodesk announced that the SEC and the USAO have closed their investigations into the company's free cash flow and non-GAAP operating margin practices. While a securities class action lawsuit remains ongoing, the company stated it cannot reasonably estimate potential financial loss at this stage. The company previously indicated that the resolution of pending legal matters was not expected to have a material adverse impact.