Dassault Systèmes Reports Q416 Total Revenue and EPS Up Double-Digit

  • First quarter 2017 non-IFRS total revenue objective of about €740 to €750 million based upon the exchange rates assumptions below, growing 6 to 7% in constant currencies; non-IFRS operating margin of about 25% to 26%; and non-IFRS EPS of about €0.48 to €0.50;
  • 2017 non-IFRS revenue growth objective of about 6% to 7% in constant currencies at €3.275 to €3.300 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;
  • 2017 non-IFRS operating margin of about 31.5% compared to 2016 where the non-IFRS operating margin was 31.2%;
  • 2017 non-IFRS EPS of about €2.65 to €2.70, representing a growth objective of about 6% to 8%;
  • Objectives are based upon exchange rate assumptions of US$1.10 per €1.00 for the 2017 first quarter and US$1.10 per €1.00 for the full year; and JPY117 per €1.00 for the 2017 first quarter and JPY117 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 €78 million and amortization of acquired intangibles estimated at approximately €160 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 February 2, 2017.

Today’s Webcast and Conference Call Information

Today, Thursday, February 2, 2017, Dassault Systèmes will first host a meeting in Paris, which will be simultaneously webcasted at 9:00 AM London time/ 10:00 AM Paris time and will then also 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 1 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

First Quarter 2017 Earnings, April 26, 2017
Second Quarter 2017 Earnings, July 25, 2017
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. Furthermore, due to factors affecting sales of the Company’s products and services as described above and in the Risk Factors section of the Company’s most recent Document de Référence, 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.

In preparing such forward-looking statements, the Company has in particular assumed an average US dollar to euro exchange rate of US$1.10 per €1.00 for the 2017 first quarter and US$1.10 per €1.00 for the full year 2017 as well as an average Japanese yen to euro exchange rate of JPY117 to €1.00 for the first quarter and JPY117 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.

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 2015 Document de Référence , filed with the AMF on March 23, 2016, and also available on the Company’s website www.3ds.com .

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