Autodesk Inc.

Q1 fiscal ’27 performance beats guidance (strong momentum) - Revenue +18% YoY (reported) / +16% constant currency, and earnings per share above the high end of guidance. - Billings +18% reported / +15% constant currency. - Renewal rates remained strong; sales reorganization impact on new subscription growth stayed within expectations. - Tailwinds included the new transaction model: about +3.5 pp to revenue growth in Q1 and +1.5 pp to billings growth.

Margins, cash flow, and capital returns (good news) - Operating margins: GAAP ~28% and non-GAAP ~39% in Q1. - GAAP operating margin up ~14 pp, driven mainly by no one-time charges and underlying improvement; non-GAAP up ~2 pp from operating leverage and sales optimization benefits. - Free cash flow: $876M (seasonal strength, partly offset by cash restructuring costs). - Share repurchases: ~1.9M shares for $448M in the quarter; buyback expected to be similar total dollars to FY’26. Company targets applying ~50% of free cash flow to buybacks over time. - No dividends mentioned.

FY’27 outlook: guidance raised (but tempered by sales-restructuring “noise”) - Billings guidance raised: $8.505B–$8.58B (bottom end raised). - Revenue guidance raised: $8.155B–$8.215B. - GAAP operating margin guidance: 26%–28%. - Non-GAAP operating margin guidance: ~39% (raised to reflect higher revenue). - Free cash flow guidance (bottom raised): $2.725B–$2.8B. - Management expects continued slight H2 weighting for billings (due to restructuring disruption + seasonal/quarter mix). - Transaction-model “noise” fades: tailwind declines from ~3.5 pp in Q1 to about ~2 pp in Q2, averaging ~1.5 pp for the full year.