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Mar 31

Bentley Systems Q1 2025 Earnings Report

reported strong first quarter results with robust revenue growth and profitability.

Key Takeaways

Bentley Systems delivered a strong Q1 2025, achieving solid revenue growth and profitability driven by increased subscription revenues and sustained ARR expansion.

Total revenue reached $370,542,000, driven by 11.5% YoY growth in subscriptions revenue.

Net income rose to $91,368,000, translating to $0.28 per diluted share.

ARR increased to $1,319,300,000, reflecting a 12% constant currency growth rate.

Free cash flow improved to $216,371,000, supporting continued investments and shareholder returns.

Total Revenue
$371M
Previous year: $338M
+9.7%
EPS
$0.35
Previous year: $0.31
+12.9%
Annualized Recurring Revenue
$1.32B
Previous year: $1.19B
+11.2%
ARR Growth Rate (CC)
12%
Net Retention Rate
110%
Previous year: 108%
+1.9%
Gross Profit
$305M
Previous year: $261M
+16.7%
Cash and Equivalents
$83.6M
Previous year: $142M
-40.9%
Free Cash Flow
$216M
Previous year: $201M
+7.4%
Total Assets
$3.4B
Previous year: $3.35B
+1.5%

Bentley Systems

Bentley Systems

Bentley Systems Revenue by Segment

Forward Guidance

Management reaffirmed confidence in the FY2025 outlook despite macroeconomic uncertainties, supported by robust ARR and cash flow.

Positive Outlook

  • Strong ARR performance at 12% constant currency growth.
  • Free cash flow sufficient to fund dividends, buybacks, and growth.
  • Subscription revenue growth sustained in Q1.
  • Improved operating income margin to 31.1%.
  • Management notes solid positioning for remainder of FY25.

Challenges Ahead

  • Uncertainty due to global economic conditions.
  • Tariff-related caution among customers.
  • Slight YoY decline in services revenue.
  • Stock-based compensation remains significant.
  • Limited revenue growth from perpetual licenses.

Revenue & Expenses

Visualization of income flow from segment revenue to net income