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Sep 30, 2022

Bentley Systems Q3 2022 Earnings Report

Bentley Systems' operating results announced for the third quarter of 2022, demonstrating growth in revenues and ARR.

Key Takeaways

Bentley Systems reported a 6.7% increase in total revenues, reaching $268.3 million. The company's ARR grew to $983.7 million, with a constant currency ARR growth rate of 14%. GAAP net income improved to $37.0 million, a significant turnaround from the previous year's net loss.

Total revenues increased by 6.7% year-over-year, reaching $268.3 million.

ARR reached $983.7 million, representing a 14% constant currency growth rate.

GAAP net income was $37.0 million, a significant improvement from the net loss in the same period last year.

The last twelve-month recurring revenues dollar-based net retention rate was 110%.

Total Revenue
$268M
Previous year: $248M
+8.0%
EPS
$0.19
Previous year: $0.17
+11.8%
ARR
$984M
Previous year: $904M
+8.8%
Constant Currency ARR Growth
14%
Previous year: 26%
-46.2%
Dollar-Based Net Retention Rate
110%
Previous year: 106%
+3.8%
Gross Profit
$209M
Previous year: $194M
+7.7%
Cash and Equivalents
$72.9M
Previous year: $156M
-53.2%
Free Cash Flow
$63.1M
Previous year: $52M
+21.3%
Total Assets
$3.04B
Previous year: $2.45B
+23.9%

Bentley Systems

Bentley Systems

Bentley Systems Revenue by Segment

Forward Guidance

Bentley Systems reaffirmed its full-year 2022 financial outlook in constant currency metrics, including total revenues growth of 16.9% to 20.1% and constant currency ARR growth rate of 14% to 16%.

Positive Outlook

  • Total revenues growth of 16.9% to 20.1% in constant currency is expected.
  • Constant currency ARR growth rate of 14% to 16% is anticipated.
  • New business is accelerating noticeably in the U.S.
  • Civil engineering organizations are growing globally.
  • Enterprise success teams are increasing ARR accretion within the E365 program.

Challenges Ahead

  • Reported revenues are subject to foreign exchange fluctuations.
  • The ongoing impact of volatile exchange rates will negatively impact full year total revenues.
  • Full year outlook for 2022 adjusted EBITDA margin of 33% may be affected by exchange rates.
  • Losses from Russia are affecting the outlook.
  • Circumstantially fewer programmatic acquisitions during 2022 to date.

Revenue & Expenses

Visualization of income flow from segment revenue to net income