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Sep 30, 2024

Aspen Technology Q1 2025 Earnings Report

Aspen Technology reported solid results for Q1 2025, driven by strong customer demand for products and solutions.

Key Takeaways

Aspen Technology's Q1 2025 revenue was $215.9 million, with a net loss of $60.5 million, or $0.96 per diluted share. The company saw a 9.4% year-over-year increase in ACV, reaching $941.4 million. AspenTech reaffirmed its fiscal year 2025 guidance.

ACV increased 9.4% year-over-year to $941.4 million.

Total revenue was $215.9 million, compared to $249.3 million in the first quarter of fiscal 2024.

Net loss was $60.5 million, or $0.96 per diluted share.

AspenTech announced an agreement to acquire Open Grid Systems to enhance its Digital Grid Management suite.

Total Revenue
$216M
Previous year: $249M
-13.4%
EPS
$0.85
Previous year: $1.16
-26.7%
Annual Spend
$941M
Previous year: $898M
+4.9%
Gross Profit
$120M
Previous year: $151M
-20.4%
Cash and Equivalents
$221M
Previous year: $121M
+83.4%
Free Cash Flow
-$6.4M
Previous year: $16M
-140.0%
Total Assets
$13.9B
Previous year: $14.2B
-2.3%

Aspen Technology

Aspen Technology

Aspen Technology Revenue by Segment

Forward Guidance

AspenTech reaffirmed its fiscal 2025 guidance based on information as of November 4, 2024.

Positive Outlook

  • ACV growth of approximately 9.0% year-over-year
  • GAAP operating cash flow of approximately $357 million
  • Free cash flow of approximately $340 million
  • Total bookings of approximately $1.17 billion
  • Total revenue of approximately $1.19 billion

Challenges Ahead

  • GAAP total expense of approximately $1.21 billion
  • Non-GAAP total expense of approximately $675 million
  • GAAP operating loss of approximately $24 million
  • Non-GAAP operating income of approximately $514 million
  • GAAP net income of approximately $52 million
  • Non-GAAP net income of approximately $478 million

Revenue & Expenses

Visualization of income flow from segment revenue to net income