Details related to our financial guidance, including assumptions and economic impacts of COVID-19, are detailed in our prepared remarks document.
Key Highlights - Q4 2020
- GAAP revenue of $623.7 million and non-GAAP revenue of $627.8 million
- GAAP diluted earnings per share of $2.46 and non-GAAP diluted earnings per share of $2.96
- GAAP operating profit margin of 41.6% and non-GAAP operating profit margin of 51.6%
- Operating cash flows of $173.8 million
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Annual contract value (ACV) of $665.5 million, growth of 23% in reported currency and 20% in constant currency
Key Highlights - FY 2020
- GAAP revenue of $1,681.3 million and non-GAAP revenue of $1,695.5 million
- GAAP diluted earnings per share of $4.97 and non-GAAP diluted earnings per share of $6.70
- GAAP operating profit margin of 29.5% and non-GAAP operating profit margin of 43.0%
- Operating cash flows of $547.3 million
- ACV of $1,616.3 million, growth of 11% in reported currency and 9% in constant currency
- Deferred revenue and backlog of $967.1 million at December 31, 2020
PITTSBURGH, Feb. 24, 2021 (GLOBE NEWSWIRE) -- ANSYS, Inc. (NASDAQ: ANSS), today reported fourth quarter 2020 GAAP and non-GAAP revenue growth of 28% and 27% in reported currency, respectively, or 25% and 24% in constant currency, respectively, when compared to the fourth quarter of 2019. For FY 2020, GAAP and non-GAAP revenue growth was 11% in reported currency, or 10% in constant currency, when compared to FY 2019. For the fourth quarter of 2020, the Company reported diluted earnings per share of $2.46 and $2.96 on a GAAP and non-GAAP basis, respectively, compared to $1.91 and $2.24 on a GAAP and non-GAAP basis, respectively, for the fourth quarter of 2019. For FY 2020, the Company reported diluted earnings per share of $4.97 and $6.70 on a GAAP and non-GAAP basis, respectively, compared to $5.25 and $6.58 on a GAAP and non-GAAP basis, respectively, for FY 2019.
“Q4 was an outstanding quarter, concluding an excellent finish to fiscal year 2020. We delivered double-digit revenue growth, while maintaining industry-leading margins, despite the global disruptions caused by the COVID-19 pandemic,” said Ajei Gopal, Ansys president and CEO. “I am proud of our many accomplishments in 2020, in particular, maintaining our focus on customer success. That focus throughout the year resulted in our closing of the three largest license deals in our company history. We added to our market-leading portfolio with the acquisitions of two industry pioneers, Lumerical Inc. and Analytical Graphics, Inc. (AGI). And we recently released the latest version of our product portfolio, Ansys 2021 R1, making it faster and easier than ever for our customers to innovate.”
Gopal further stated, “The pandemic has reinforced Ansys’ core value proposition of cost savings and improved time to market. It has fast-tracked product roadmaps requiring more simulation, and it has accelerated corporate digital transformations as more engineers work from home for the long term. As we look ahead, these represent tailwinds to our total addressable market. I remain confident in our ability to drive strong and profitable growth.”
Maria Shields, Ansys CFO, stated, “We closed out 2020 with the strongest quarterly and annual financial results in the Company's history, with our fourth quarter results exceeding the high end of guidance across all key metrics. Highlights include record quarterly and annual revenue, with the operating leverage of our business model driving strong margins and earnings. ACV, which grew 20% and 9% in constant currency for the quarter and the year, reached record levels of recurring sources at 83% for the quarter and 82% for the year. Additional notable highlights include both record operating cash flow of $547 million and deferred revenue and backlog of $967 million. These results reflect the resiliency of our business model and the incredible efforts and dedication of the Ansys employees during unprecedented times. Given the prolonged state of the global pandemic, while we remain cautiously optimistic as we look into the first half of 2021, we remain confident in our ability to continue to execute on our strategy and continue to create long-term value for all of our key stakeholders.”
Financial Results
Ansys' fourth quarter and FY 2020 and 2019 financial results are presented below. The 2020 and 2019 non-GAAP results exclude the income statement effects of the acquisition accounting adjustments to deferred revenue, stock-based compensation, amortization of acquired intangible assets, transaction expenses related to business combinations, and adjustments related to the transition tax associated with the Tax Cuts and Jobs Act.
GAAP and non-GAAP results are as follows:
| GAAP | Non-GAAP | ||||||||||||||||||||
| (in millions, except percentages and per share data) | Q4 QTD 2020 | Q4 QTD 2019 | % Change | Q4 QTD 2020 | Q4 QTD 2019 | % Change | |||||||||||||||
| Revenue | $ | 623.7 | $ | 486.2 | 28 | % | $ | 627.8 | $ | 492.5 | 27 | % | |||||||||
| Net income | $ | 215.6 | $ | 165.9 | 30 | % | $ | 259.7 | $ | 194.7 | 33 | % | |||||||||
| Diluted earnings per share | $ | 2.46 | $ | 1.91 | 29 | % | $ | 2.96 | $ | 2.24 | 32 | % | |||||||||
| Operating profit margin | 41.6 | % | 38.2 | % | 51.6 | % | 48.0 | % | |||||||||||||
