[July 25, 2017] |
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Dassault Systèmes Delivers Q2 Software Revenue and EPS at the High-end of its Objectives and Signs with Boeing a New and Expanded Historic Partnership Agreement
Regulatory News:
Dassault
Systèmes (Paris:DSY) (Euronext Paris: #13065, DSY.PA), the
3DEXPERIENCE Company, world leader in 3D design software, 3D Digital
Mock Up and Product Lifecycle Management (PLM) solutions, today
announced IFRS unaudited financial results for the second quarter and
six months ended June 30, 2017. These results were reviewed by the
Company's Board of Directors on July 24, 2017.
Summary Second Quarter and First Half 2017 Highlights (Unaudited;
revenue figures in constant currencies; non-IFRS)
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Q2 results well aligned with Dassault Systèmes guidance: software
revenue up 7%, new licenses revenue up 8%, operating margin of 30.1%
and EPS at €0.62, up 9%
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Q2 SOLIDWORKS software revenue up 14% on multiple global demand drivers
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Strong cash-flow from operations, up 32% at €592 million in H1
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2017 non-IFRS financial objectives updated: Confirming revenue growth
constant currency objective, updating reported revenue range and EPS
in euros for currency weakness
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Boeing will expand its deployment of Dassault Systèmes' products
across its commercial aviation, space and defense programs to include
DS' 3DEXPERIENCE platform
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2017 Second Quarter and First Half Financial Highlights
(Unaudited)
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In millions of Euros, except per share data
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IFRS
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Non-IFRS
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Change
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Change in cc*
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Change
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Change in cc*
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Q2 2017 Total Revenue
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806.4
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7%
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6%
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810.6
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8%
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6%
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Q2 2017 Operating Margin
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21.0%
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30.1%
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Q2 2017 EPS
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0.48
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23%
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0.62
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9%
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In millions of Euros, except per share data
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IFRS
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Non-IFRS
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Change
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Change in cc*
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Change
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Change in cc*
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YTD 2017 Total Revenue
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1,566.2
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8%
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6%
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1,576.3
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9%
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7%
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YTD 2017 Operating Margin
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18.4%
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28.2%
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YTD 2017 EPS
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0.81
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9%
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1.15
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6%
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*In constant currencies
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Bernard Charlès, Dassault Systèmes' Vice Chairman and Chief Executive
Officer commented, "In the second quarter, we entered into a new and
expanded strategic partnership with Boeing. This agreement spans
Boeing's Commercial Aircraft, Space and Defense divisions, with Boeing
adopting the 3DEXPERIENCE Platform for Manufacturing Operations
Management and Product Lifecycle Management and extending our software
usage for design, engineering simulation and digital manufacturing
software.
"This new agreement, with the deployment of our 3DEXPERIENCE
platform to support Boeing's complete value chain, from innovation to
manufacturing and after sales, as well as enhancement of data thus
created, represents a new step, equivalent to or even more important in
potential reach than the previous one, thanks to the ability to
holistically evaluate, with the 3DEXPERIENCE platform, all data
produced from the different value streams, and to convert this data into
assets, thus delivering massive benefits for users and their
corporations.
"Looking back, twenty-five years ago, the importance of the digital
world's role in innovation was truly first revealed thanks to Boeing's
historical decision at that time to rely on Dassault Systèmes' Digital
Mock-Up software to design the new B-777, paving the way for digital
twins of products.
"Finally, while we were pleased with second quarter results having
reached the high-end of our objectives for software revenue and EPS, it
is only a step on a trajectory on which Dassault Systèmes should see an
acceleration of its growth, based upon the multiple strategic clients'
decisions, like Boeing's, demonstrating our ideal positioning to bring
value to all the industries we serve."
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2017 Second Quarter Financial Summary
(Unaudited)
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In millions of Euros, except per share data
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IFRS
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Non-IFRS
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Change
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Change in cc*
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Change
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Change in cc*
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Q2 2017 Total Revenue
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806.4
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7%
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6%
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810.6
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8%
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6%
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Q2 2017 Software Revenue
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718.5
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7%
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6%
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722.7
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8%
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7%
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Q2 2017 Service Revenue
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87.9
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4%
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3%
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87.9
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4%
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3%
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Q2 2017 Operating Margin
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21.0%
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30.1%
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Q2 2017 EPS
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0.48
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23%
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0.62
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9%
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Total Software Revenue in millions of Euros
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IFRS
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Non-IFRS
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Q2 2017
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Q2 2016
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Change in cc*
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Q2 2017
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Q2 2016
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Change in cc*
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Americas
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224.4
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202.0
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8%
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225.7
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202.0
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9%
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Europe
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297.4
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282.2
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6%
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300.1
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282.2
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7%
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Asia
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196.7
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185.2
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4%
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196.9
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185.2
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4%
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*In constant currencies
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IFRS total revenue increased 6%. Non-IFRS total revenue increased 6%
with software revenue growth of 7% and services revenue growth of 3%.
Second quarter financial results include CST, an acquisition completed
on September 30, 2016. (All growth rates in constant currencies.)
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Core Industries represented 67% of non-IFRS software revenue for the
second quarter 2017 while Diversification Industries represented 33%,
growing from 31% in the prior year period. Aerospace & Defense and
Industrial Equipment grew double-digit, while Transportation &
Mobility showed stability. (All growth references are in constant
currencies.)
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In Diversification Industries, total non-IFRS software revenue
increased double-digits and by industry included High Tech, Life
Sciences, Architecture, Engineering & Construction and Consumer
Products Good-Retail. (All growth references are in constant
currencies.)
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Non-IFRS Software revenue increased 9% in the Americas, with
double-digit new licenses revenue growth reflecting strong growth in
North America, and growth in recurring software revenue. In Europe
non-IFRS software revenue increased 7%, with double-digit new licenses
revenue growth reflecting strong performances in Central and Southern
Europe. In Asia, non-IFRS software revenue increased 4%, reflecting
strong growth in South Korea and Asia Pacific South offset in part by
muted results in Japan and China. (All growth figures in constant
currencies.)
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Recurring non-IFRS software revenue increased 6% in constant
currencies on strong maintenance subscription performance on a global
basis and represented 71% of total software revenue in the 2017 second
quarter. New licenses and other software revenue increased 8%. (All
references to growth rates are in constant currencies.)
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By product line, SOLIDWORKS non-IFRS software revenue increased 14%
led by strong growth in new licenses revenue. During the second
quarter, CATIA non-IFRS software revenue increased 1% with
double-digit new license revenue growth in North America and Europe,
offset by a lower contribution most notably from China. ENOVIA
non-IFRS software revenue was up 2% on a high comparison base. Other
Software non-IFRS revenue increased 9% in total, led by QUINTIQ. (All
growth comparisons are in constant currencies.)
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IFRS operating income increased 5%. Non-IFRS operating income
increased 6% to €243.8 million. The non-IFRS operating margin
decreased 30 basis points year over year to 30.1% on higher
investments, particularly in research & development and sales, as well
as acquisition dilution, which was partly offset by net favorable
currency fluctuations.
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The IFRS effective tax rate increased 40 basis points to 33.5% from
33.1% in the year-ago quarter. On a non-IFRS basis, the effective tax
rate decreased 60 basis points to 34.5% from 35.1% in the year-ago
quarter principally due to lower tax on dividends.
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IFRS diluted net income per share increased 23% to €0.48. Non-IFRS
diluted net income per share of €0.62 increased 9% on revenue and
operating income growth. Currency had a net neutral impact on diluted
net income per share growth.
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2017 First Half Financial Summary
(Unaudited)
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In millions of Euros, except per share data
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IFRS
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Non-IFRS
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Change
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Change in cc*
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Change
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Change in cc*
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YTD 2017 Total Revenue
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1,566.2
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8%
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6%
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1,576.3
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9%
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7%
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YTD 2017 Software Revenue
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1,388.7
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8%
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6%
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1,398.8
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9%
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7%
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YTD 2017 Services Revenue
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177.5
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8%
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7%
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177.5
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8%
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7%
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YTD 2017 Operating Margin
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18.4%
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28.2%
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YTD 2017 EPS
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0.81
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9%
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1.15
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6%
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Total Software Revenue in millions of Euros
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IFRS
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Non-IFRS
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YTD 2017
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YTD 2016
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Change in cc*
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YTD 2017
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YTD 2016
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Change in cc*
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Americas
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425.7
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387.4
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6%
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428.9
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388.4
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7%
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Europe
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578.1
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540.5
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7%
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584.4
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540.9
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9%
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Asia
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384.9
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353.7
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5%
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385.5
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354.0
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5%
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*In constant currencies
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IFRS total revenue increased 6% in the 2017 First Half. On a non-IFRS
basis, total revenue increased 7%, with both software and services
revenue growing 7%. First Half 2017 financial results included
acquisitions completed during the 2016 Second Half, the most material
of which was CST - Computer Simulation Technology AG, a technology
leader in electromagnetic and electronics simulation which was
acquired on September 30, 2016. Excluding acquisitions, non-IFRS total
revenue and software revenue growth was 5%. (All growth rates in
constant currencies.)
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Core Industries represented 68% of non-IFRS software revenue for the
first half of 2017 while Diversification Industries represented 32%,
growing from 31% in the prior year period. In Core industries,
Transportation & Mobility and Aerospace & Defense grew slightly below
the 7% software growth rate of the Company, with Industrial Equipment
and Business Services achieving double-digits software revenue growth.
(All growth references are in constant currencies.)
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In Diversification Industries, total non-IFRS software revenue
increased double-digits and included High Tech, Consumer Products
Good-Retail and Architecture, Engineering and Construction. The
Company noted an improvement in Natural Resources. (All growth
references are in constant currencies.)
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On a regional basis, non-IFRS software revenue was up 9% in Europe on
both solid new licenses and recurring revenue performance and was led
by Southern Europe and France. In the Americas, non-IFRS software
revenue increased 7%, with strong new licenses revenue growth in North
America and Latin America. In Asia, non-IFRS software revenue
increased 5% with solid new licenses growth in South Korea and good
non-IFRS software revenue growth across most geos, offset in part by
weakness in Japan. (All growth rates in constant currencies.)
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Non-IFRS new licenses revenue and other software increased 7% and
represented 28% of total non-IFRS software revenue. (All growth rates
in constant currencies.)
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For the 2017 First Half non-IFRS recurring software revenue,
representing 72% of total software revenue, increased 7% in constant
currencies on strong maintenance subscription performance in all sales
channels.
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Service non-IFRS revenue increased 7% in constant currencies during
the 2017 First Half, led by 3DEXPERIENCE and manufacturing service
engagements. The Company is continuing to pursue its objective of
expanding its relationship with system integrators for 3DEXPERIENCE
deployments.
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By product line and on a non-IFRS basis, SOLIDWORKS software revenue
increased 13% led by strong new licenses activity across the globe.
CATIA software increased 3% on solid growth in the Americas and Europe
offset in part by a lower activity level in Asia. ENOVIA software
revenue was up 2% on a high comparison base. Other Software increased
9% in total reflecting the addition of CST where revenue results were
well in line with the Company's expectation and, on an organic basis,
growth was led by QUINTIQ. (All growth comparisons are in constant
currencies.)
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IFRS operating income increased 2%. Non-IFRS operating income
increased 8% to €444.5 million. The non-IFRS operating margin was
28.2%, representing a decrease of 20 basis points and reflecting
higher investments, particularly in research & development and sales,
as well as acquisition dilution, partly offset by net favorable
currency fluctuations.
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For the 2017 First Half, the IFRS effective tax rate was 32.8%
compared to 27.5% in the prior year period. The non-IFRS effective tax
rate increased to 33.3% from 31.1% in the 2016 First Half. The
year-ago period IFRS and non-IFRS effective tax rates benefited from a
tax reserve reversal.
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IFRS net income per diluted share increased 9% to €0.81. Non-IFRS net
income per diluted share of €1.15 increased 6% or 12% excluding a 5
cents impact from a reversal of tax reserves in the 2016 First Half.
Currency had an estimated net positive impact of 3 points.
Cash Flow and Other Financial Highlights
Net operating cash flow increased 32% to €592.5 million for the six
months ended June 30, 2017, compared to €449.1 million for the 2016
First Half, reflecting higher net income and working capital
improvements.
In the 2017 First Half, the Company uses of cash were principally for
cash dividends of €51.3 million (based on the shareholders electing
payment of the dividend in cash); share repurchases of €44.8 million;
capital expenditures of €45.8 million and payments for acquisitions, net
of cash acquired of €8.0 million and for acquisition of non-controlling
interests of €14.1 million. The Company received cash for stock options
exercised of €21.8 million.
Dassault Systèmes' net financial position totaled €1.82 billion at June
30, 2017, compared to €1.49 billion at December 31, 2016, reflecting an
increase in cash, cash equivalents and short-term investments from €2.49
billion to €2.82 billion, with long-term debt unchanged at €1.00 billion.
Summary of Recent Business, Technology and Customer Announcements
Customers
In a separate press release issued today, Dassault Systèmes announced
that it has entered into a new, extended strategic partnership agreement
with The Boeing Corporation. Pursuant to the agreement, Boeing will
expand its deployment of Dassault Systèmes' software across Boeing's
commercial aviation, space and defense programs to include Dassault
Systèmes' 3DEXPERIENCE platform. This decision follows a
competitive process that included the rigorous analysis of technical and
functional capabilities, cost and business benefits across the value
chain. The 3DEXPERIENCE platform can reduce integration and
support costs, improve productivity, foster new innovation, and aid in
the introduction of best practice processes to deliver standard work
across the value chain. The 3DEXPERIENCE platform cannot only
simulate products and processes, but also find and eliminate potential
risks and quality issues before production. The platform's single source
of data across all applications will provide reliable and actionable
real-time information and seamless communication throughout the entire
enterprise and supply chain as well as across product generations. This
digital continuity will improve data and analytics capabilities.
On June 22, 2017 Dassault Systèmes and the Aviation Industry
Corporation of China (AVIC) jointly announced the signing of a contract
to establish a Sino-French Industry Joint Innovation Center that will
operate across the complex system lifecycle specific to the aviation
industry and its entire industrial chain. Dassault Systèmes and AVIC
will strive to make the center an important contributor of the "Made in
China 2025" and "Industrie du Futur" cooperation framework through
sustained investment by both companies. The Sino-French Industry Joint
Innovation Center will be located in the China Aviation Industry Science
and Technology Park of Zhongguancun, Beijing.
Investments
On June 20, 2017, Dassault Systèmes announced that it had acquired a
majority stake in Outscale, a leader in enterprise-class cloud services,
thereby strengthening the Company's position to provide an extensive
cloud software offer in its market. Founded in France in 2010,
Outscale is an ISO/IEC 27001:2013 security certified company that
provides enterprise-class cloud computing infrastructure services (IaaS)
to customers through its ten data centers in Europe, North America and
Asia. With this investment, Dassault Systèmes is now able to adjust and
control its cloud resources and services to manage peaks in activity,
further diversify its industry segments, deploy new features, and
provide advanced on premise, private and hybrid cloud solutions for its
customers. The acquisition does not have an impact on the Company's
revenues as it was the principal customer of Outscale prior to this
acquisition.
On June 12, 2017 Dassault Systèmes announced the signing of a
definitive agreement to acquire AITAC BV, a Dutch company specialized in
marine and offshore engineering software. With this acquisition,
Dassault Systèmes will further strengthen its solutions designed to
bring digital transformation to the marine and offshore industry by
providing cutting-edge, industry-specific technologies for its 3DEXPERIENCE
platform customers. AITAC's Smart Drawings software application is used
by shipyards and offshore companies to automate the creation of drawings
from a master 3D model of a ship, platform or other structure designed
using Dassault Systèmes' CATIA applications.
Products and Industry Solution Experiences
On June 27, 2017, Dassault Systèmes announced that it is working with
PSA Retail, the leading automotive distributor in France and
second-leading in Europe, and the automotive distribution arm of PSA, to
help it transform the customer car buying journey with a compelling
digital in-store automotive dealership experience. PSA Retail is
using Dassault Systèmes' "Virtual Garage" industry solution experience
to create a digital in-store retail format that infuses high-end digital
visualization into the physical showroom sales process.
On June 8, 2017 the Company announced a renewed agreement with
Rockwell Collins to extend their PLM journey using the 3DEXPERIENCE
platform. Rockwell Collins is a pioneer in the development and
deployment of innovative aviation and high-integrity solutions for both
commercial and government applications. Rockwell Collins is currently
deploying ENOVIA and EXALEAD applications from Dassault Systèmes'
"Co-Design to Target" industry solution experience to build a PLM
environment for its engineering and technology sectors around the world.
Rockwell Collins invested in Dassault Systèmes' technologies to improve
collaboration across its research, development and manufacturing
processes, streamline workflows and change management, and help to
reduce management costs for increasingly complex systems. Dassault
Systèmes' solution operates seamlessly on a secure government cloud
environment, a vital requirement for Rockwell Collins.
Business Outlook
Thibault de Tersant, Senior Executive Vice President, CFO, commented, "During
the second quarter, we delivered our key financial metrics - software,
new licenses revenue, earnings per share - at the high end of our
guidance and reported a strong operational cash flow increase. The
signing of the extended strategic partnership with Boeing was a
remarkable milestone. Its ramp-up, starting in 2018, should drive
revenue growth for several years and represents a key inflection point
in 3DEXPERIENCE adoption by the market.
"Looking forward, we are reconfirming for 2017 our constant
currencies objectives for total revenue growth of 6% to 7%, new licenses
revenue growth of 8% to 10%, which implies a two-digit new licenses
revenue growth in the second half of 2017, and recurring revenue growth
of about 6%, with the year as a whole reflecting further strengthening
of our competitive positioning.
"While maintaining the revenue and new license growth rate of our
objectives, excluding currency impact, we are reflecting the recent
strengthening of the euro against all our major currencies, leading to a
reduction of our reported revenue range of €50 million. While preserving
our investments, we managed to keep our margin target unchanged at
around 31.5% and reflected the reduction of reported revenue on EPS."
(All figures on a non-IFRS basis.)
The Company's third quarter and full year 2017 financial objectives are
as follows:
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Third quarter 2017 non-IFRS total revenue objective of about €760 to
€775 million based upon the exchange rates assumptions below, growing
about 6% to 8% in constant currencies; non-IFRS operating margin of
about 31.0% to 32.0%; and non-IFRS EPS of about €0.62 to €0.65;
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2017 non-IFRS revenue growth objective of about 6% to 7% in constant
currencies at €3.240 to €3.265 billion (reflecting the principal 2017
currency exchange rate assumptions below for the US dollar and
Japanese yen as well as the potential impact from additional
currencies representing about 10% of the Company's total revenue in
2016);
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2017 non-IFRS operating margin of about 31.5% compared to 2016 where
the non-IFRS operating margin was 31.2%;
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2017 non-IFRS EPS of about €2.62 to €2.66, representing a growth
objective of about 5% to 7%;
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Objectives are based upon exchange rate assumptions of US$1.15 per
€1.00 for the 2017 third quarter and US$1.12 per €1.00 for the full
year; and JPY130 per €1.00 for the 2017 third quarter and JPY125.9 per
€1.00 for the full year before hedging.
The Company's objectives are prepared and communicated only on a
non-IFRS basis and are subject to the cautionary statement set forth
below.
The 2017 non-IFRS objectives set forth above do not take into account
the following accounting elements and are estimated based upon the 2017
principal currency exchange rates above: deferred revenue write-downs
estimated at approximately €12 million, share-based compensation
expense, including related social charges, estimated at approximately
€99 million and amortization of acquired intangibles estimated at
approximately €161 million. The above objectives also do not include any
impact from other operating income and expense, net principally
comprised of acquisition, integration and restructuring expenses, from
one-time items included in financial revenue and from one-time tax
restructuring gains and losses. Finally, these estimates do not include
any new stock option or share grants, or any new acquisitions or
restructurings completed after July 25, 2017.
Today's Webcast and Conference Call Information
Today, Tuesday, July 25, 2017, Dassault Systèmes will first host from
Paris a webcasted meeting at 9:00 AM London time/ 10:00 AM Paris time
and will then host a conference call at 9:00 AM New York time/ 2:00 PM
London time/ 3:00 PM Paris time. The webcasted meeting and conference
call will be available via the Internet by accessing http://www.3ds.com/investors/.
Please go to the website at least 15 minutes prior to the webcast or
conference call to register, download and install any necessary audio
software. The webcast and conference call will be archived for one year.
Additional investor information can be accessed at http://www.3ds.com/investors/
or by calling Dassault Systèmes' Investor Relations at 33.1.61.62.69.24.
Key Investor Relations Events
Third Quarter 2017 Earnings, October 25, 2017
Forward-looking Information
Statements herein that are not historical facts but express expectations
or objectives for the future, including but not limited to statements
regarding the Company's non-IFRS financial performance objectives, are
forward-looking statements.
Such forward-looking statements are based on Dassault Systèmes
management's current views and assumptions and involve known and unknown
risks and uncertainties. Actual results or performances may differ
materially from those in such statements due to a range of factors. The
Company's current outlook for 2017 takes into consideration, among other
things, an uncertain global economic environment. In light of the
continuing uncertainties regarding economic, business, social and
geopolitical conditions at the global level, the Company's revenue, net
earnings and cash flows may grow more slowly, whether on an annual or
quarterly basis. While the Company makes every effort to take into
consideration this uncertain macroeconomic outlook, the Company's
business results, however, may not develop as anticipated. Further,
there may be a substantial time lag between an improvement in global
economic and business conditions and an upswing in the Company's
business results. The Company's actual results or performance may also
be materially negatively affected by numerous risks and uncertainties,
as described in the "Risk Factors" section of the 2016 Document de
Référence (Annual Report) filed with the AMF (French Financial
Markets Authority) on March 22, 2017, and also available on the
Company's website www.3ds.com.
In preparing such forward-looking statements, the Company has in
particular assumed an average US dollar to euro exchange rate of US$1.15
per €1.00 for the 2017 third quarter and US$1.12 per €1.00 for the full
year 2017 as well as an average Japanese yen to euro exchange rate of
JPY130 to €1.00 for the third quarter and JPY125.9 to €1.00 for the full
year 2017 before hedging; however, currency values fluctuate, and the
Company's results of operations may be significantly affected by changes
in exchange rates.
Non-IFRS Financial Information
Readers are cautioned that the supplemental non-IFRS information
presented in this press release is subject to inherent limitations. It
is not based on any comprehensive set of accounting rules or principles
and should not be considered as a substitute for IFRS measurements.
Also, the Company's supplemental non-IFRS financial information may not
be comparable to similarly titled non-IFRS measures used by other
companies. Further specific limitations for individual non-IFRS
measures, and the reasons for presenting non-IFRS financial information,
are set forth in the Company's 2016 Document de Référence filed
with the AMF on March 22, 2017.
In the tables accompanying this press release the Company sets forth its
supplemental non-IFRS figures for revenue, operating income, operating
margin, net income and diluted earnings per share, which exclude the
effect of adjusting the carrying value of acquired companies' deferred
revenue, share-based compensation expense and related social charges,
the amortization of acquired intangible assets, other operating income
and expense, net, certain one-time items included in financial revenue
and other, net, and the income tax effect of the non-IFRS adjustments
and certain one-time tax effects. The tables also set forth the most
comparable IFRS financial measure and reconciliations of this
information with non-IFRS information.
Information in Constant Currencies
When the Company believes it would be helpful for understanding trends
in its business, the Company provides percentage increases or decreases
in its revenue (in both IFRS as well as non-IFRS) to eliminate the
effect of changes in currency values, particularly the U.S. dollar and
the Japanese yen, relative to the euro. When trend information is
expressed herein "in constant currencies", the results of the "prior"
period have first been recalculated using the average exchange rates of
the comparable period in the current year, and then compared with the
results of the comparable period in the current year.
This press release constitutes the quarterly financial information
required by article L.451-1-2 IV of the French Monetary and Financial
Code (Code Monétaire et Financier).
About Dassault Systèmes
Dassault Systèmes, the 3DEXPERIENCE Company, provides business and
people with virtual universes to imagine sustainable innovations. Its
world-leading solutions transform the way products are designed,
produced, and supported. Dassault Systèmes' collaborative solutions
foster social innovation, expanding possibilities for the virtual world
to improve the real world. The group brings value to over 220,000
customers of all sizes, in all industries, in more than 140 countries.
For more information, visit www.3ds.com.
3DEXPERIENCE, the Compass logo and the 3DS logo, CATIA, SOLIDWORKS,
ENOVIA, DELMIA, SIMULIA, GEOVIA, EXALEAD, 3D VIA, BIOVIA, NETVIBES and
3DEXCITE are registered trademarks of Dassault Systèmes or its
subsidiaries in the US and/or other countries.
(Tables to Follow)
TABLE OF CONTENTS
Non-IFRS key figures
Condensed consolidated statements of income
Condensed consolidated balance sheets
Condensed consolidated cash flow statements
IFRS - non-IFRS reconciliation
DASSAULT SYSTEMES NON-IFRS KEY FIGURES (unaudited;
in millions of Euros, except per share data, headcount and exchange
rates)
Non-IFRS key figures exclude the effects of adjusting the carrying value
of acquired companies' deferred revenue, share-based compensation
expense and related social charges, amortization of acquired intangible
assets, other operating income and expense, net, certain one-time
financial revenue items and the income tax effects of these non-IFRS
adjustments.
Comparable IFRS financial information and a reconciliation of the IFRS
and non-IFRS measures are set forth in the separate tables within this
Attachment.
In millions of Euros, except per share data and percentages
|
|
|
|
Three months ended
|
|
Six months ended
|
|
|
|
|
June 30, 2017
|
|
June 30, 2016
|
|
Change
|
|
Change in cc*
|
|
June 30, 2017
|
|
June 30, 2016
|
|
Change
|
|
Change in cc*
|
|
Non-IFRS Revenue
|
|
|
|
€ 810.6
|
|
€ 754.0
|
|
8%
|
|
6%
|
|
€ 1,576.3
|
|
€ 1,447.5
|
|
9%
|
|
7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-IFRS Revenue breakdown by activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Software revenue
|
|
|
|
722.7
|
|
669.4
|
|
8%
|
|
7%
|
|
1,398.8
|
|
1,283.3
|
|
9%
|
|
7%
|
|
of which new licenses and other software-related revenue
|
|
|
|
211.8
|
|
194.5
|
|
9%
|
|
8%
|
|
384.8
|
|
354.7
|
|
8%
|
|
7%
|
|
of which periodic licenses, maintenance
|
|
|
|
510.9
|
|
474.9
|
|
8%
|
|
6%
|
|
1,014.0
|
|
928.6
|
|
9%
|
|
7%
|
|
Services revenue
|
|
|
|
87.9
|
|
84.6
|
|
4%
|
|
3%
|
|
177.5
|
|
164.2
|
|
8%
|
|
7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-IFRS software revenue breakdown by product line
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATIA software revenue
|
|
|
|
249.7
|
|
244.0
|
|
2%
|
|
1%
|
|
486.2
|
|
465.5
|
|
4%
|
|
3%
|
|
ENOVIA software revenue
|
|
|
|
84.4
|
|
81.7
|
|
3%
|
|
2%
|
|
158.0
|
|
152.6
|
|
4%
|
|
2%
|
|
SOLIDWORKS software revenue
|
|
|
|
176.7
|
|
152.2
|
|
16%
|
|
14%
|
|
350.9
|
|
303.7
|
|
16%
|
|
13%
|
|
Other software revenue
|
|
|
|
211.9
|
|
191.5
|
|
11%
|
|
9%
|
|
403.7
|
|
361.5
|
|
12%
|
|
9%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-IFRS Revenue breakdown by geography
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas
|
|
|
|
258.1
|
|
232.9
|
|
11%
|
|
8%
|
|
493.9
|
|
449.3
|
|
10%
|
|
6%
|
|
Europe
|
|
|
|
337.1
|
|
320.2
|
|
5%
|
|
6%
|
|
660.1
|
|
613.2
|
|
8%
|
|
8%
|
|
Asia
|
|
|
|
215.4
|
|
200.9
|
|
7%
|
|
5%
|
|
422.3
|
|
385.0
|
|
10%
|
|
6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-IFRS operating income
|
|
|
|
€ 243.8
|
|
€ 229.2
|
|
6%
|
|
|
|
€ 444.5
|
|
€ 410.9
|
|
8%
|
|
|
|
Non-IFRS operating margin
|
|
|
|
30.1%
|
|
30.4%
|
|
|
|
|
|
28.2%
|
|
28.4%
|
|
|
|
|
|
Non-IFRS net income attributable to shareholders
|
|
|
|
€ 159.4
|
|
€ 146.3
|
|
9%
|
|
|
|
€ 295.1
|
|
€ 277.4
|
|
6%
|
|
|
|
Non-IFRS diluted net income per share
|
|
|
|
€ 0.62
|
|
€ 0.57
|
|
9%
|
|
|
|
€ 1.15
|
|
€ 1.08
|
|
6%
|
|
|
|
Closing headcount
|
|
|
|
15,456
|
|
14,310
|
|
8%
|
|
|
|
15,456
|
|
14,310
|
|
8%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average Rate USD per Euro
|
|
|
|
1.10
|
|
1.13
|
|
-3%
|
|
|
|
1.08
|
|
1.12
|
|
-4%
|
|
|
|
Average Rate JPY per Euro
|
|
|
|
122.6
|
|
121.9
|
|
1%
|
|
|
|
121.8
|
|
124.4
|
|
-2%
|
|
|
|
* In constant currencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DASSAULT SYSTEMES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME (IFRS)
(unaudited; in millions of Euros, except per share data)
|
|
In millions of Euros, except per share data and percentages
|
|
Three months ended
|
|
Six months ended
|
|
|
June 30, 2017
|
|
June 30 2016
|
|
June 30, 2017
|
|
June 30, 2016
|
|
|
|
|
|
|
New licenses and Other software revenue
|
|
211.8
|
|
194.5
|
|
384.8
|
|
354.1
|
|
Periodic and Maintenance revenue
|
|
506.7
|
|
474.9
|
|
1,003.9
|
|
927.5
|
|
Software revenue
|
|
718.5
|
|
669.4
|
|
1,388.7
|
|
1,281.6
|
|
Services revenue
|
|
87.9
|
|
84.6
|
|
177.5
|
|
163.8
|
|
Total Revenue
|
|
€ 806.4
|
|
€ 754.0
|
|
€ 1,566.2
|
|
€ 1,445.4
|
|
Cost of software revenue (excluding amortization of acquired
intangibles)
|
|
(38.0)
|
|
(37.7)
|
|
(78.4)
|
|
(75.2)
|
|
Cost of services and other revenue
|
|
(79.0)
|
|
(78.7)
|
|
(161.8)
|
|
(155.8)
|
|
Research and development
|
|
(156.2)
|
|
(138.7)
|
|
(305.9)
|
|
(269.2)
|
|
Marketing and sales
|
|
(258.5)
|
|
(232.2)
|
|
(518.3)
|
|
(460.0)
|
|
General and administrative
|
|
(61.5)
|
|
(56.0)
|
|
(121.8)
|
|
(110.4)
|
|
Amortization of acquired intangibles
|
|
(39.3)
|
|
(38.2)
|
|
(80.5)
|
|
(77.4)
|
|
Other operating income and expense, net
|
|
(4.5)
|
|
(11.1)
|
|
(10.6)
|
|
(13.5)
|
|
Total Operating Expenses
|
|
(637.0)
|
|
(592.6)
|
|
(1,277.3)
|
|
(1,161.5)
|
|
Operating Income
|
|
€ 169.4
|
|
€ 161.4
|
|
€ 288.9
|
|
€ 283.9
|
|
Financial revenue and other, net
|
|
15.3
|
|
(7.6)
|
|
22.5
|
|
(16.8)
|
|
Income before income taxes
|
|
184.7
|
|
153.8
|
|
311.4
|
|
267.1
|
|
Income tax expense
|
|
(61.8)
|
|
(50.9)
|
|
(102.1)
|
|
(73.5)
|
|
Net Income
|
|
€ 122.9
|
|
€ 102.9
|
|
€ 209.3
|
|
€ 193.6
|
|
Non-controlling interest
|
|
0.1
|
|
(1.6)
|
|
(1.3)
|
|
(2.4)
|
|
Net Income attributable to equity holders of the
parent
|
|
€ 123.0
|
|
€ 101.3
|
|
€ 208.0
|
|
€ 191.2
|
|
Basic net income per share
|
|
0.48
|
|
0.40
|
|
0.82
|
|
0.75
|
|
Diluted net income per share
|
|
€ 0.48
|
|
€ 0.39
|
|
€ 0.81
|
|
€ 0.74
|
|
Basic weighted average shares outstanding (in millions)
|
|
254.5
|
|
253.8
|
|
254.2
|
|
253.8
|
|
Diluted weighted average shares outstanding (in millions)
|
|
257.9
|
|
257.3
|
|
257.1
|
|
257.3
|
|
|
|
|
|
|
|
|
|
|
|
IFRS revenue variation as reported and in constant currencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended June 30, 2017
|
|
Six months ended June 30, 2017
|
|
|
|
Change*
|
|
Change in cc**
|
|
Change*
|
|
Change in cc**
|
|
IFRS Revenue
|
|
7%
|
|
6%
|
|
8%
|
|
6%
|
|
IFRS Revenue by activity
|
|
|
|
|
|
|
|
|
|
Software revenue
|
|
7%
|
|
6%
|
|
8%
|
|
6%
|
|
Services Revenue
|
|
4%
|
|
3%
|
|
8%
|
|
7%
|
|
IFRS Software Revenue by product line
|
|
|
|
|
|
|
|
CATIA software revenue
|
|
2%
|
|
1%
|
|
4%
|
|
3%
|
|
ENOVIA software revenue
|
|
3%
|
|
2%
|
|
4%
|
|
2%
|
|
SOLIDWORKS software revenue
|
|
16%
|
|
14%
|
|
16%
|
|
13%
|
|
Other software revenue
|
|
8%
|
|
7%
|
|
9%
|
|
7%
|
|
IFRS Revenue by geography
|
|
|
|
|
|
|
|
|
|
Americas
|
|
10%
|
|
7%
|
|
9%
|
|
6%
|
|
Europe
|
|
4%
|
|
5%
|
|
7%
|
|
7%
|
|
Asia
|
|
7%
|
|
5%
|
|
10%
|
|
6%
|
|
*Variation compared to the same period in the prior year. **In
constant currencies
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DASSAULT SYSTEMES
CONDENSED CONSOLIDATED BALANCE SHEETS (IFRS)
(unaudited; in millions of Euros)
|
|
In millions of Euros
|
|
June 30, 2017
|
|
December 31, 2016
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
Cash and cash equivalents
|
|
2,769.2
|
|
2,436.7
|
|
Short-term investments
|
|
48.2
|
|
56.1
|
|
Accounts receivable, net
|
|
610.3
|
|
820.4
|
|
Other current assets
|
|
264.2
|
|
257.2
|
|
Total current assets
|
|
3,691.9
|
|
3,570.4
|
|
Property and equipment, net
|
|
156.7
|
|
135.4
|
|
Goodwill and Intangible assets, net
|
|
2,770.6
|
|
2,926.5
|
|
Other non-current assets
|
|
286.5
|
|
310.7
|
|
Total Assets
|
|
€ 6,905.7
|
|
€ 6,943.0
|
|
LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
|
|
|
Accounts payable
|
|
137.3
|
|
144.9
|
|
Unearned revenues
|
|
928.7
|
|
853.1
|
|
Other current liabilities
|
|
501.0
|
|
467.6
|
|
Total current liabilities
|
|
1,567.0
|
|
1,465.6
|
|
Long-term debt
|
|
1,000.0
|
|
1,000.0
|
|
Other non-current obligations
|
|
545.5
|
|
594.6
|
|
Total long-term liabilities
|
|
1,545.5
|
|
1,594.6
|
|
Non-controlling interests
|
|
2.5
|
|
22.6
|
|
Parent shareholders' equity
|
|
3,790.7
|
|
3,860.2
|
|
Total Liabilities and Shareholders' equity
|
|
€ 6,905.7
|
|
€ 6,943.0
|
|
|
|
|
|
|
|
DASSAULT SYSTEMES
CONDENSED CONSOLIDATED CASH FLOW STATEMENTS (IFRS)
(unaudited; in millions of Euros)
|
|
In millions of Euros
|
|
Three months ended
|
|
Six months ended
|
|
|
June 30, 2017
|
|
June 30, 2016
|
|
Change
|
|
June 30, 2017
|
|
June 30, 2016
|
|
Change
|
|
Net Income attributable to equity holders of the parent
|
|
123.0
|
|
101.3
|
|
21.7
|
|
208.0
|
|
191.2
|
|
16.8
|
|
Non-controlling interest
|
|
(0.1)
|
|
1.6
|
|
(1.7)
|
|
1.3
|
|
2.4
|
|
(1.1)
|
|
Net Income
|
|
122.9
|
|
102.9
|
|
20.0
|
|
209.3
|
|
193.6
|
|
15.7
|
|
Depreciation of property & equipment
|
|
11.1
|
|
10.9
|
|
0.2
|
|
22.9
|
|
21.4
|
|
1.5
|
|
Amortization of intangible assets
|
|
41.3
|
|
40.5
|
|
0.8
|
|
84.6
|
|
81.7
|
|
2.9
|
|
Other non cash P&L Items
|
|
2.6
|
|
0.5
|
|
2.1
|
|
10.4
|
|
(8.8)
|
|
19.2
|
|
Changes in working capital
|
|
66.7
|
|
(15.0)
|
|
81.7
|
|
265.2
|
|
161.2
|
|
104.0
|
|
Net Cash provided by operating activities
|
|
€ 244.6
|
|
€ 139.8
|
|
€ 104.8
|
|
€ 592.4
|
|
€ 449.1
|
|
€ 143.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to property, equipment and intangibles
|
|
(27.4)
|
|
(9.6)
|
|
(17.8)
|
|
(45.8)
|
|
(18.4)
|
|
(27.4)
|
|
Payments for acquisition of businesses, net of cash acquired
|
|
(7.6)
|
|
(11.2)
|
|
3.6
|
|
(8.0)
|
|
(11.2)
|
|
3.2
|
|
Sale (purchase) of short term investments, net
|
|
12.5
|
|
(1.0)
|
|
13.5
|
|
3.7
|
|
19.8
|
|
(16.1)
|
|
Investments, loans and others
|
|
-
|
|
(0.5)
|
|
0.5
|
|
6.4
|
|
0.6
|
|
5.8
|
|
Net Cash provided by (used in) investing activities
|
|
(€ 22.5)
|
|
(€ 22.3)
|
|
(€ 0.2)
|
|
(€ 43.7)
|
|
(€ 9.2)
|
|
(€ 34.5)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquisition of non-controlling interests
|
|
(14.1)
|
|
-
|
|
(14.1)
|
|
(14.1)
|
|
-
|
|
(14.1)
|
|
(Purchase) Sale of treasury stock
|
|
(47.9)
|
|
(9.0)
|
|
(38.9)
|
|
(44.8)
|
|
(43.3)
|
|
(1.5)
|
|
Proceeds from exercise of stock-options
|
|
16.5
|
|
7.3
|
|
9.2
|
|
21.8
|
|
10.5
|
|
11.3
|
|
Cash dividend paid
|
|
(51.3)
|
|
(100.1)
|
|
48.8
|
|
(51.3)
|
|
(101.9)
|
|
50.6
|
|
Net Cash provided by (used in) financing activities
|
|
(€ 96.8)
|
|
(€ 101.8)
|
|
€ 5.0
|
|
(€ 88.4)
|
|
(€ 134.7)
|
|
€ 46.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash
equivalents
|
|
(121.5)
|
|
28.1
|
|
(149.6)
|
|
(127.8)
|
|
0.1
|
|
(127.9)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (decrease) in cash and cash equivalents
|
|
€ 3.8
|
|
€ 43.8
|
|
(€ 40.0)
|
|
€ 332.5
|
|
€ 305.3
|
|
€ 27.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents at beginning of period
|
|
€ 2,765.4
|
|
€ 2,542.0
|
|
|
|
€ 2,436.7
|
|
€ 2,280.5
|
|
|
|
Cash and cash equivalents at end of period
|
|
€ 2,769.2
|
|
€ 2,585.8
|
|
|
|
€ 2,769.2
|
|
€ 2,585.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
DASSAULT SYSTEMES SUPPLEMENTAL NON-IFRS FINANCIAL
INFORMATION IFRS - NON-IFRS RECONCILIATION (unaudited;
in millions of Euros, except per share data)
Readers are cautioned that the supplemental non-IFRS information
presented in this press release is subject to inherent limitations. It
is not based on any comprehensive set of accounting rules or principles
and should not be considered as a substitute for IFRS measurements.
Also, the Company's supplemental non-IFRS financial information may not
be comparable to similarly titled non-IFRS measures used by other
companies. Further specific limitations for individual non-IFRS
measures, and the reasons for presenting non-IFRS financial information,
are set forth in the Company's Document de référence for the year
ended December 31, 2016 filed with the AMF on March 22, 2017. To
compensate for these limitations, the supplemental non-IFRS financial
information should be read not in isolation, but only in conjunction
with the Company's consolidated financial statements prepared in
accordance with IFRS.
In millions of Euros, except per share data and percentages
|
|
Three months ended June 30,
|
|
Change
|
|
|
2017 IFRS
|
|
Adjustment (1)
|
|
2017 non-IFRS
|
|
2016 IFRS
|
|
Adjustment (1)
|
|
2016 non-IFRS
|
|
IFRS
|
|
Non-IFRS (2)
|
|
|
|
|
|
|
|
|
|
|
Total Revenue
|
|
€ 806.4
|
|
€ 4.2
|
|
€ 810.6
|
|
€ 754.0
|
|
|
|
€ 754.0
|
|
7%
|
|
8%
|
|
Total Revenue breakdown by activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Software revenue
|
|
718.5
|
|
4.2
|
|
722.7
|
|
669.4
|
|
|
|
669.4
|
|
7%
|
|
8%
|
|
New licenses and Other software revenue
|
|
211.8
|
|
|
|
211.8
|
|
194.5
|
|
|
|
194.5
|
|
9%
|
|
|
|
Periodic and Maintenance revenue
|
|
506.7
|
|
4.2
|
|
510.9
|
|
474.9
|
|
|
|
474.9
|
|
7%
|
|
8%
|
|
Recurring portion of Software revenue
|
|
71%
|
|
|
|
71%
|
|
71%
|
|
|
|
71%
|
|
|
|
|
|
Services revenue
|
|
87.9
|
|
|
|
87.9
|
|
84.6
|
|
|
|
84.6
|
|
4%
|
|
|
|
Total Software Revenue breakdown by product line
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATIA software revenue
|
|
249.7
|
|
|
|
249.7
|
|
244.0
|
|
|
|
244.0
|
|
2%
|
|
2%
|
|
ENOVIA software revenue
|
|
84.4
|
|
|
|
84.4
|
|
81.7
|
|
|
|
81.7
|
|
3%
|
|
3%
|
|
SOLIDWORKS software revenue
|
|
176.7
|
|
|
|
176.7
|
|
152.2
|
|
|
|
152.2
|
|
16%
|
|
16%
|
|
Other software revenue
|
|
207.7
|
|
4.2
|
|
211.9
|
|
191.5
|
|
|
|
191.5
|
|
8%
|
|
11%
|
|
Total Revenue breakdown by geography
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas
|
|
256.8
|
|
1.3
|
|
258.1
|
|
232.9
|
|
|
|
232.9
|
|
10%
|
|
11%
|
|
Europe
|
|
334.4
|
|
2.7
|
|
337.1
|
|
320.2
|
|
|
|
320.2
|
|
4%
|
|
5%
|
|
Asia
|
|
215.2
|
|
0.2
|
|
215.4
|
|
200.9
|
|
|
|
200.9
|
|
7%
|
|
7%
|
|
Total Operating Expenses
|
|
(€ 637.0)
|
|
€ 70.2
|
|
(€ 566.8)
|
|
(€ 592.6)
|
|
€ 67.8
|
|
(€ 524.8)
|
|
7%
|
|
8%
|
|
Share-based compensation expense
|
|
(26.4)
|
|
26.4
|
|
-
|
|
(18.5)
|
|
18.5
|
|
-
|
|
|
|
|
|
Amortization of acquired intangibles
|
|
(39.3)
|
|
39.3
|
|
-
|
|
(38.2)
|
|
38.2
|
|
-
|
|
|
|
|
|
Other operating income and expense, net
|
|
(4.5)
|
|
4.5
|
|
-
|
|
(11.1)
|
|
11.1
|
|
-
|
|
|
|
|
|
Operating Income
|
|
€ 169.4
|
|
€ 74.4
|
|
€ 243.8
|
|
€ 161.4
|
|
€ 67.8
|
|
€ 229.2
|
|
5%
|
|
6%
|
|
Operating Margin
|
|
21.0%
|
|
|
|
30.1%
|
|
21.4%
|
|
|
|
30.4%
|
|
|
|
|
|
Financial revenue & other, net
|
|
15.3
|
|
(16.0)
|
|
(0.7)
|
|
(7.6)
|
|
6.4
|
|
(1.2)
|
|
-301%
|
|
-42%
|
|
Income tax expense
|
|
(61.8)
|
|
(22.0)
|
|
(83.8)
|
|
(50.9)
|
|
(29.2)
|
|
(80.1)
|
|
21%
|
|
5%
|
|
Non-controlling interest
|
|
0.1
|
|
|
|
0.1
|
|
(1.6)
|
|
|
|
(1.6)
|
|
-106%
|
|
-106%
|
|
Net Income attributable to shareholders
|
|
€ 123.0
|
|
€ 36.4
|
|
€ 159.4
|
|
€ 101.3
|
|
€ 45.0
|
|
€ 146.3
|
|
21%
|
|
9%
|
|
Diluted Net Income Per Share (3)
|
|
€ 0.48
|
|
€ 0.14
|
|
€ 0.62
|
|
€ 0.39
|
|
€ 0.18
|
|
€ 0.57
|
|
23%
|
|
9%
|
|
(1)In the reconciliation schedule above, (i) all adjustments to
IFRS revenue data reflect the exclusion of the deferred revenue
adjustment of acquired companies; (ii) adjustments to IFRS
operating expense data reflect the exclusion of the amortization
of acquired intangibles, share-based compensation expense and
related social charges, and other operating income and expense,
(iii) adjustments to IFRS financial revenue and other, net reflect
the exclusion of certain one-time items included in financial
revenue and other, net, and (iv) all adjustments to IFRS income
data reflect the combined effect of these adjustments, plus with
respect to net income and diluted net income per share, the income
tax effect of the non-IFRS adjustments.
|
|
|
|
Three months ended June 30,
|
|
In millions of Euros
|
|
2017 IFRS
|
|
Adjustment
|
|
2017 non-IFRS
|
|
2016 IFRS
|
|
Adjustment
|
|
2016 non-IFRS
|
|
Cost of revenue
|
|
(117.0)
|
|
1.3
|
|
(115.7)
|
|
(116.4)
|
|
0.8
|
|
(115.6)
|
|
Research and development
|
|
(156.2)
|
|
11.1
|
|
(145.1)
|
|
(138.7)
|
|
7.4
|
|
(131.3)
|
|
Marketing and sales
|
|
(258.5)
|
|
8.8
|
|
(249.7)
|
|
(232.2)
|
|
6.6
|
|
(225.6)
|
|
General and administrative
|
|
(61.5)
|
|
5.2
|
|
(56.3)
|
|
(56.0)
|
|
3.7
|
|
(52.3)
|
|
Total share-based compensation expense
|
|
|
|
€ 26.4
|
|
|
|
|
|
€ 18.5
|
|
|
|
(2) The non-IFRS percentage increase (decrease) compares non-IFRS
measures for the two different periods. In the event there is
non-IFRS adjustment to the relevant measure for only one of
the periods under comparison, the non-IFRS increase (decrease)
compares the non-IFRS measure to the relevant IFRS measure.
(3) Based on a weighted average 257.9 million diluted shares for
Q2 2017 and 257.3 million diluted shares for Q2 2016.
|
|
DASSAULT SYSTEMES SUPPLEMENTAL NON-IFRS FINANCIAL
INFORMATION IFRS - NON-IFRS RECONCILIATION (unaudited;
in millions of Euros, except per share data)
Readers are cautioned that the supplemental non-IFRS information
presented in this press release is subject to inherent limitations. It
is not based on any comprehensive set of accounting rules or principles
and should not be considered as a substitute for IFRS measurements.
Also, the Company's supplemental non-IFRS financial information may not
be comparable to similarly titled non-IFRS measures used by other
companies. Further specific limitations for individual non-IFRS
measures, and the reasons for presenting non-IFRS financial information,
are set forth in the Company's Document de référence for the year
ended December 31, 2016 filed with the AMF on March 22, 2017. To
compensate for these limitations, the supplemental non-IFRS financial
information should be read not in isolation, but only in conjunction
with the Company's consolidated financial statements prepared in
accordance with IFRS.
In millions of Euros, except per share data and percentages
|
|
Six months ended June 30,
|
|
Change
|
|
|
2017 IFRS
|
|
Adjustment (1)
|
|
2017 non-IFRS
|
|
2016 IFRS
|
|
Adjustment (1)
|
|
2016 non-IFRS
|
|
IFRS
|
|
Non-IFRS (2)
|
|
Total Revenue
|
|
€ 1,566.2
|
|
€ 10.1
|
|
€ 1,576.3
|
|
€ 1,445.4
|
|
€ 2.1
|
|
€ 1,447.5
|
|
8%
|
|
9%
|
|
Total Revenue breakdown by activity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Software revenue
|
|
1,388.7
|
|
10.1
|
|
1,398.8
|
|
1,281.6
|
|
1.7
|
|
1,283.3
|
|
8%
|
|
9%
|
|
New licenses and Other software revenue
|
|
384.8
|
|
|
|
384.8
|
|
354.1
|
|
0.6
|
|
354.7
|
|
9%
|
|
8%
|
|
Periodic and Maintenance revenue
|
|
1,003.9
|
|
10.1
|
|
1,014.0
|
|
927.5
|
|
1.1
|
|
928.6
|
|
8%
|
|
9%
|
|
Recurring portion of Software revenue
|
|
72%
|
|
|
|
72%
|
|
72%
|
|
|
|
72%
|
|
|
|
|
|
Services revenue
|
|
177.5
|
|
|
|
177.5
|
|
163.8
|
|
0.4
|
|
164.2
|
|
8%
|
|
8%
|
|
Total Software Revenue breakdown by product line
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CATIA software revenue
|
|
486.2
|
|
|
|
486.2
|
|
465.5
|
|
|
|
465.5
|
|
4%
|
|
4%
|
|
ENOVIA software revenue
|
|
158.0
|
|
|
|
158.0
|
|
152.6
|
|
|
|
152.6
|
|
4%
|
|
4%
|
|
SOLIDWORKS software revenue
|
|
350.9
|
|
|
|
350.9
|
|
303.7
|
|
|
|
303.7
|
|
16%
|
|
16%
|
|
Other software revenue
|
|
393.6
|
|
10.1
|
|
403.7
|
|
359.8
|
|
1.7
|
|
361.5
|
|
9%
|
|
12%
|
|
Total Revenue breakdown by geography
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas
|
|
490.7
|
|
3.2
|
|
493.9
|
|
448.2
|
|
1.1
|
|
449.3
|
|
9%
|
|
10%
|
|
Europe
|
|
653.8
|
|
6.3
|
|
660.1
|
|
612.6
|
|
0.6
|
|
613.2
|
|
7%
|
|
8%
|
|
Asia
|
|
421.7
|
|
0.6
|
|
422.3
|
|
384.6
|
|
0.4
|
|
385.0
|
|
10%
|
|
10%
|
|
Total Operating Expenses
|
|
(€ 1,277.3)
|
|
€ 145.5
|
|
(€ 1,131.8)
|
|
(€ 1,161.5)
|
|
€ 124.9
|
|
(€ 1,036.6)
|
|
10%
|
|
9%
|
|
Share-based compensation expense
|
|
(54.4)
|
|
54.4
|
|
-
|
|
(34.0)
|
|
34.0
|
|
-
|
|
|
|
|
|
Amortization of acquired intangibles
|
|
(80.5)
|
|
80.5
|
|
-
|
|
(77.4)
|
|
77.4
|
|
-
|
|
|
|
|
|
Other operating income and expense, net
|
|
(10.6)
|
|
10.6
|
|
-
|
|
(13.5)
|
|
13.5
|
|
-
|
|
|
|
|
|
Operating Income
|
|
€ 288.9
|
|
€ 155.6
|
|
€ 444.5
|
|
€ 283.9
|
|
€ 127.0
|
|
€ 410.9
|
|
2%
|
|
8%
|
|
Operating Margin
|
|
18.4%
|
|
|
|
28.2%
|
|
19.6%
|
|
|
|
28.4%
|
|
|
|
|
|
Financial revenue & other, net
|
|
22.5
|
|
(22.7)
|
|
(0.2)
|
|
(16.8)
|
|
11.8
|
|
(5.0)
|
|
-234%
|
|
-96%
|
|
Income tax expense
|
|
(102.1)
|
|
(45.8)
|
|
(147.9)
|
|
(73.5)
|
|
(52.6)
|
|
(126.1)
|
|
39%
|
|
17%
|
|
Non-controlling interest
|
|
(1.3)
|
|
|
|
(1.3)
|
|
(2.4)
|
|
|
|
(2.4)
|
|
-46%
|
|
-46%
|
|
Net Income attributable to shareholders
|
|
€ 208.0
|
|
€ 87.1
|
|
€ 295.1
|
|
€ 191.2
|
|
€ 86.2
|
|
€ 277.4
|
|
9%
|
|
6%
|
|
Diluted Net Income Per Share (3)
|
|
€ 0.81
|
|
€ 0.34
|
|
€ 1.15
|
|
€ 0.74
|
|
€ 0.34
|
|
€ 1.08
|
|
9%
|
|
6%
|
|
(1)In the reconciliation schedule above, (i) all adjustments to
IFRS revenue data reflect the exclusion of the deferred revenue
adjustment of acquired companies; (ii) adjustments to IFRS
operating expense data reflect the exclusion of the amortization
of acquired intangibles, share-based compensation expense and
related social charges, and other operating income and expense,
(iii) adjustments to IFRS financial revenue and other, net reflect
the exclusion of certain one-time items included in financial
revenue and other, net, and (iv) all adjustments to IFRS income
data reflect the combined effect of these adjustments, plus with
respect to net income and diluted net income per share, the income
tax effect of the non-IFRS adjustments.
|
|
|
|
Six months ended June 30,
|
|
In millions of Euros
|
|
2017 IFRS
|
|
Adjustment
|
|
2017 non-IFRS
|
|
2016 IFRS
|
|
Adjustment
|
|
2016 non-IFRS
|
|
Cost of revenue
|
|
(240.2)
|
|
2.3
|
|
(237.9)
|
|
(231.0)
|
|
1.4
|
|
(229.6)
|
|
Research and development
|
|
(305.9)
|
|
22.9
|
|
(283.0)
|
|
(269.2)
|
|
13.9
|
|
(255.3)
|
|
Marketing and sales
|
|
(518.3)
|
|
18.1
|
|
(500.2)
|
|
(460.0)
|
|
11.8
|
|
(448.2)
|
|
General and administrative
|
|
(121.8)
|
|
11.1
|
|
(110.7)
|
|
(110.4)
|
|
6.9
|
|
(103.5)
|
|
Total share-based compensation expense
|
|
|
|
€ 54.4
|
|
|
|
|
|
€ 34.0
|
|
|
|
(2) The non-IFRS percentage increase (decrease) compares non-IFRS
measures for the two different periods. In the event there is
non-IFRS adjustment to the relevant measure for only one of
the periods under comparison, the non-IFRS increase (decrease)
compares the non-IFRS measure to the relevant IFRS measure.
(3) Based on a weighted average 257.1 million diluted shares for
H1 2017 and 257.3 million diluted shares for H1 2016.
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View source version on businesswire.com: http://www.businesswire.com/news/home/20170724006297/en/
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