Bentley Systems Q1 2025: Key Contradictions on Demand, AI Impact, and Infrastructure Funding

Demand environment and infrastructure investment, impact of AI on operations and productivity, Cesium acquisition impact on ARR growth, infrastructure funding and federal priorities, AI and internal process efficiency are the key contradictions discussed in Bentley Systems' latest 2025Q1 earnings call.



Strong Financial Performance and Resilience:
- Bentley Systems reported total revenues of $371 million for the first quarter of 2025, up 10% year-over-year.
- The growth was driven by strong subscription and licenses revenues, and the company maintained a high net revenue retention rate of 110%.

Resilience through Business Model and Portfolio Diversification:
- The company's focus on digital twins and AI-driven asset analytics initiatives has led to increased visibility and predictability in revenues.
- This resilience is also attributed to their intentional business mix, including a reduction in exposure to sectors sensitive to demand and interest rate cyclicality.

Infrastructure Investment Trends:
- Public works and utilities sectors remained the main growth drivers, supported by strong government funding.
- Investment in power grids and mining sectors is expected to increase due to permitting reforms and demand for critical minerals.

Product and Strategic Partnerships:
- The integration of Cesium and Google data has enhanced product offerings, with a focus on asset analytics and road network solutions.
- Partnerships and product offerings like the Seequent Evo platform and Google Street View imagery are expected to drive market growth and increased adoption.