Autodesk Q3 Earnings & Revenues Surpass Estimates, Rise Y/Y

Autodesk ADSK reported third-quarter fiscal 2026 non-GAAP earnings of $2.67 per share, which beat the Zacks Consensus Estimate by 7.23% and increased 23% year over year.

The company reported revenues of $1.85 billion, which beat the consensus mark by 2.67% and grew 18% year over year.

Autodesk delivered robust performance this quarter, driven by exceptional AECO performance. The company also saw higher-than-expected upfront revenues, sustained momentum in the Autodesk Store and better-than-anticipated billings linearity, all contributing to results that exceeded expectations.

Q3 Top-Line Details of ADSK

Autodesk’s subscription revenues (93.6% of total revenues) increased 19% year over year to $1.73 billion. Maintenance revenues (0.4% of total revenues) declined 11.1% from the year-ago quarter to $8 million. Other revenues (6% of total revenues) increased 6.7% to $111 million in the reported quarter.

Autodesk, Inc. Price, Consensus and EPS Surprise

Autodesk, Inc. price-consensus-eps-surprise-chart | Autodesk, Inc. Quote

Region-wise, revenues from the Americas (44.3% of revenues) increased 16.3% from the year-ago quarter’s levels to $820 million. Revenues from the EMEA, which accounted for 38.6% of revenues, climbed 23.3% to $715 million. Revenues from the Asia-Pacific (17.2% of revenues) increased 11.6% to $318 million.

Billings of $1.86 billion increased 21% year over year in the reported quarter.

Product Line Details of ADSK

Autodesk offers primarily four product families: Architecture, Engineering, Construction and Operations (AECO), AutoCAD and AutoCAD LT, Manufacturing (MFG) and Media and Entertainment (M&E).

AECO (49.7% of revenues) revenues increased 22.6% year over year to $921 million.

AutoCAD and AutoCAD LT (24.7% of revenues) revenues rose 15.1% to $458 million.
 
MFG (19.2% of revenues) revenues increased 15.6% to $355 million.
 
M&E (4.6% of revenues) revenues increased 3.6% to $86 million.

Operating Results of ADSK

Non-GAAP operating expenses increased 16.2% year over year to $1.03 billion in the reported quarter.

Autodesk reported a non-GAAP operating margin of 37.7%, which expanded 120 basis points year over year.

ADSK’s Balance Sheet & Cash Flow

As of Oct. 31, 2025, Autodesk had cash and cash equivalents (including marketable securities) of $2.29 billion compared with $2.24 billion as of July 31, 2025.

Deferred revenues increased 5% to $3.85 billion. Unbilled deferred revenues were $3.52 billion, indicating an increase of 43% year over year.

Remaining performance obligations (RPO) rose 20% to $7.4 billion. The current RPO increased 20% to $4.83 billion.

Cash flow from operating activities was $439 million, representing a 110% increase year over year. Free cash flow was $430 million, indicating a rise of 116%.

In the reported quarter, ADSK purchased approximately 1.2 million shares for $361 million at an average price of approximately $306 per share.

ADSK Provides Q4 & FY26 Guidance

Autodesk projects fourth-quarter fiscal 2026 revenues between $1.90 billion and $1.92 billion.
 
Non-GAAP earnings per share are expected to be between $2.59 and $2.67.

For fiscal 2026, Autodesk expects revenues between $7.15 billion and $7.17 billion. Billings are now estimated to be in the $7.47-$7.53 billion range.

Non-GAAP earnings are anticipated in the range of $10.18-$10.25 per share. The company also raised its non-GAAP operating margin expectation to approximately 37.5%.

Free cash flow is anticipated in the $2.26-$2.29 billion band.

ADSK’s Zacks Rank & Stocks to Consider

Currently, ADSK carries a Zacks Rank #3 (Hold).

CrowdStrike CRWD, nCino NCNO and Simulations Plus SLP are some better-ranked stocks that investors can consider in the broader Zacks Computer and Technology sector. CRWD, NCNO and SLP sport a Zacks Rank #1 (Strong Buy) each at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

NCNO shares have declined 26.7% in the year-to-date period. It is slated to report third-quarter fiscal 2026 results on Dec. 3.

CRWD shares have appreciated 48.8% in the year-to-date period. It is slated to report third-quarter fiscal 2026 results on Dec. 2.

SLP shares have fallen 38.4% in the year-to-date period. It is slated to report fourth-quarter and fiscal 2025 results on Dec. 1.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research