Dassault Systemes Clocks 8% Revenue Growth In Q1, Expands Margins

Dassault Systemes SA DASTY reported first-quarter FY22 revenue growth of 8% year-on-year to €1.32 billion.
Software revenue grew 8% Y/Y to €1.21 billion. Licenses and other software revenue increased 10% Y/Y to €234.7 million.
Services revenue increased 9% Y/Y. 3DEXPERIENCE revenue increased 21% Y/Y, and Cloud software revenue grew 21% Y/Y.
The non-IFRS operating margin expanded by 117 bps to 35%.
The non-IFRS EPS grew 20% Y/Y to €0.27.
Dassault generated €630 million in operating cash flow and held €3.009 billion in cash and equivalents.
COO Pascal Daloz commented: "Revenue growth was broad-based across geographies, product lines, and sectors, demonstrating the diversification we have achieved in our addressable markets as well as the quality of our execution."
Outlook: Dassault reaffirmed revenue growth of 9%-10% to €5.355 billion - €5.405 billion.
Dassault raised its EPS growth outlook to 9%-11% to €1.04 - €1.06.
Price Action: DASTY shares traded higher by 2.99% at $42.56 on the last check Wednesday.