Autodesk Raises Forecasts on Growing Demand, Shares Rise

Autodesk has raised its annual forecasts due to growing software demand. The company's net sales primarily come from design software programs (92.9%), visualization and animation software programs (5.2%), and other services (1.9%). Subscription sales account for 93.2% of net sales, while maintenance services contribute 0.7%. Geographically, net sales are distributed across the United States (36.3%), Americas (8%), Europe/Middle East/Africa (37.6%), and Asia/Pacific (18.1%).

Autodesk Inc. (NASDAQ: ADSK) has raised its annual forecasts for the fiscal year 2026, driven by surging demand for its software products. The company's robust second-quarter (Q2) results, reported on August 28, 2025, showcased significant growth across key metrics, including revenue, earnings per share (EPS), and free cash flow.

Second Quarter Performance

Autodesk's Q2 revenue reached $1.76 billion, marking a 17% year-over-year (YoY) growth, while billings surged 36% to $1.68 billion [3]. The company's GAAP operating margin increased by 2 percentage points to 25%, and non-GAAP operating margin rose 1 percentage point to 39%. EPS increased by $0.16 to $1.46, while non-GAAP EPS climbed $0.47 to $2.62 [3].

Subscription-Driven Growth

Autodesk's net sales primarily come from design software programs (92.9%), visualization and animation software programs (5.2%), and other services (1.9%) [4]. Subscription sales account for 93.2% of net sales, while maintenance services contribute 0.7%. This subscription-based model has driven the majority of the company's growth, providing greater revenue predictability and customer retention [3].

Geographic Distribution

Net sales are distributed geographically across the United States (36.3%), Americas (8%), Europe/Middle East/Africa (37.6%), and Asia/Pacific (18.1%) [4]. The company's strong performance in the Architecture, Engineering, Construction, and Operations (AECO) segment, along with investments in data centers and infrastructure, has offset softness in commercial segments [2].

Full-Year Guidance

Autodesk has raised its full-year guidance to reflect the strong business performance in the first half of the year and additional foreign exchange tailwinds. The EPS guidance for the third quarter is $2.48-$2.51, with revenue guidance at $1.8-$1.81 billion. For the full year, EPS guidance is $9.80-$9.98, with revenue guidance at $7.025-$7.075 billion [2].

Investor Sentiment

Following the announcements, Autodesk shares increased by 6.1% in post-market trading, reaching $306.00 [1]. Recent analyst ratings include 22 buys, 9 holds, and no sells, indicating a positive outlook for the company's future performance [1].

References:
[1] https://www.smartkarma.com/home/newswire/earnings-alerts/autodesk-inc-adsk-earnings-q3-adjusted-eps-forecast-surpasses-estimates-second-quarter-revenue-jumps-17/
[2] https://www.ainvest.com/news/autodesk-q2-revenue-17-1-eps-advances-1-46-2508/
[3] https://www.investing.com/news/company-news/autodesk-q2-fy26-slides-revenue-growth-accelerates-to-17-billings-surge-36-93CH-4215387
[4] https://www.ainvest.com/news/autodesk-reports-q2-fy26-results-92-9-design-software-programs-5-2-visualization-software-1-9-sales-2508/