Dassault Systemes Raises EPS Outlook on 3Q Rise in Sales, Operating Margin

By David Sachs

Dassault Systemes on Wednesday confirmed its full-year guidance and raised its earnings-per-share outlook following a rise in revenue and an operating margin that was slightly higher than expected.

Reporting on a non-IFRS basis, the French software maker said overall revenue rose 11% from the third quarter of last year to 1.42 billion euros ($1.50 billion). Dassault Systemes had expected third-quarter revenue of between EUR1.40 billion and EUR1.42 billion.

The company's non-IFRS operating margin hit 31%. It had expected a margin of between 30.2% and 30.5%.

Software revenue increased 12% to EUR1.29 billion, Dassault said.

Dassault backed its full-year guidance and raised its diluted earnings per share expectations by 1 European cent to a range of between EUR1.19 and EUR1.21.

Dassault Systemes, like other European software companies, presents its figures as two sets of numbers. One set is based on the International Financial Reporting Standards--an international accounting method that seeks to provide a global reporting standard--though analysts and investors tend to follow non-IFRS numbers. Those figures exclude share-based compensation, restructuring expenses and acquisition-related charges.

Write to David Sachs at [e-mail]

(END) Dow Jones Newswires

October 25, 2023 01:50 ET (05:50 GMT)

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