10-K · November 21, 2025
PTC presents a strategy focused on the "Intelligent Product Lifecycle" and accelerating SaaS adoption (Windchill+, Creo+, Onshape, Arena, ServiceMax) with a high recurring revenue base. The company delivered a…
Earnings analysis · 10-Q
PTC earnings analysis
Filed May 7, 2026 · Our reading of the company's report
The latest report
PTC reported strong Q2 2026 results with revenue of $774 million and diluted EPS of $4.98, significantly exceeding expectations and marking a 22% increase in revenue year-over-year. The company's operating margin…
Read full summary
PTC reported strong Q2 2026 results with revenue of $774 million and diluted EPS of $4.98, significantly exceeding expectations and marking a 22% increase in revenue year-over-year. The company's operating margin improved to 38.2% due to higher recurring revenue and effective operational management despite incurring divestiture-related charges. Full-year revenue guidance was raised slightly, reflecting confidence in continued growth from its subscription model.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $4.98
- Segment
- PLM
- Segment
- CAD
- Segment
- Support and Cloud Services
What stood out
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Strong Revenue Growth
Revenue grew 22% year-over-year to $774 million, surpassing estimates of $712.8 million.
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Robust EPS Increase
Diluted EPS surged 270%, reaching $4.98 compared to $1.35 in Q2 2025.
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Improved Operating Margin
Operating margin increased to 38.2%, up from 35.1% in the prior year.
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Significant Cash Flow Growth
Operating cash flow rose 14% to $321 million compared to Q2 2025.
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Increased Full-Year Guidance
Management anticipates full-year revenue between $2.580 billion and $2.820 billion.
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Strong ARR Growth
Annual Recurring Revenue (ARR) grew 3% to $2.36 billion, or 11% excluding divested businesses.
What to watch
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Ongoing Macroeconomic Risks
Management notes potential headwinds from inflation and geopolitical tensions affecting customer spending.
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Divestiture Impacts
The divestiture of Kepware and ThingWorx could affect future ARR growth given they accounted for part of past revenues.
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Transition Services Agreement Uncertainty
Performance under the Transition Services Agreement associated with divestiture could bring variability in expected funds.
Management's outlook
Management raised full-year revenue guidance reflecting strong market demand and performance.
Earlier filings 4
10-Q · February 6, 2025
PTC reported revenue of $565.128 million for the quarter ended December 31, 2024, up $14.914 million (+2.7%) versus the prior-year quarter. Gross margin edged higher to 80.2% and diluted EPS increased to $0.68 (from…
10-Q · August 2, 2024
PTC reported Q3 revenue of $518.639M and diluted EPS of $0.57. Revenue declined versus the prior-year quarter (Q3 FY2023 revenue $542.342M) while EPS and net income improved (net income $68.978M vs $61.398M). Operating…
10-Q · May 3, 2023
PTC reported Q2 revenue of $542,181 (in thousands), up from $505,227 a year ago, driven by recurring revenue and the January acquisition of ServiceMax. Gross margin compressed to 79.1% and operating income fell to…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.