Bentley Systems, Incorporated (Nasdaq: BSY) (“Bentley Systems”
or the “Company”), the infrastructure engineering software company,
today announced operating results for its third quarter and nine
months ended September 30, 2022.
Third Quarter 2022 Financial Results
- Total revenues were $268.3 million, up 6.7% or 14.7% on a
constant currency basis, year-over-year;
- Subscriptions revenues were $235.3 million, up 9.4% or 17.6% on
a constant currency basis, year-over-year;
- Last twelve-month recurring revenues were $950.4 million, up
20.3% year-over-year;
- Last twelve-month recurring revenues dollar-based net retention
rate was 110%, compared to 106% for the same period last year;
- Last twelve-month account retention rate was 99%, compared to
98% for the same period last year;
- Annualized Recurring Revenue (“ARR”) was $983.7 million as of
September 30, 2022, representing a constant currency ARR growth
rate of 14% from September 30, 2021;
- GAAP operating income was $55.5 million, compared to GAAP
operating loss of $37.5 million for the same period last year. The
third quarter of 2021 GAAP operating loss was due to a one-time
compensation charge of $90.7 million resulting from a modification
of our deferred compensation plan;
- GAAP net income was $37.0 million, compared to GAAP net loss of
$48.0 million for the same period last year. GAAP net income per
diluted share was $0.12, compared to GAAP net loss per diluted
share of $0.16 for the same period last year. The third quarter of
2021 GAAP net loss was due to a one-time compensation charge of
$83.4 million, net of tax, resulting from a modification of our
deferred compensation plan. GAAP net income margin was 13.8%,
compared to GAAP net loss margin of 19.1% for the same period last
year;
- Adjusted Net Income was $61.8 million, compared to $56.3
million for the same period last year. Adjusted Net Income per
diluted share was $0.19 compared to $0.17 for the same period last
year;
- Adjusted EBITDA was $89.7 million, compared to $84.5 million
for the same period last year. Adjusted EBITDA margin was 33.4%,
compared to 33.6% for the same period last year; and
- Cash flow from operations was $69.5 million, compared to $58.4
million for the same period last year.
Nine Months Ended September 30, 2022 Financial
Results
- Total revenues were $812.1 million, up 16.5% or 22.6% on a
constant currency basis, year-over-year;
- Subscriptions revenues were $708.7 million, up 20.2% or 26.6%
on a constant currency basis, year-over-year;
- GAAP operating income was $167.9 million, compared to $51.3
million for the same period last year. The nine months ended
September 30, 2021 GAAP operating income includes a one-time
compensation charge of $90.7 million resulting from a modification
of our deferred compensation plan;
- GAAP net income was $149.1 million, compared to $54.6 million
for the same period last year. GAAP net income per diluted share
was $0.46, compared to $0.17 for the same period last year. The
nine months ended September 30, 2021 GAAP net income includes a
one-time compensation charge of $83.4 million, net of tax,
resulting from a modification of our deferred compensation plan.
GAAP net income margin was 18.4%, compared to 7.8% for the same
period last year;
- Adjusted Net Income was $215.2 million, compared to $195.0
million for the same period last year. Adjusted Net Income per
diluted share was $0.66 compared to $0.62 for the same period last
year;
- Adjusted EBITDA was $273.9 million, compared to $236.8 million
for the same period last year. Adjusted EBITDA margin was 33.7%,
compared to 34.0% for the same period last year; and
- Cash flow from operations was $238.2 million, compared to
$207.4 million for the same period last year.
Definitions of the non‑GAAP financial measures used in this
press release and reconciliations of such measures to the most
comparable GAAP financial measures are included below under the
heading “Use and Reconciliation of Non‑GAAP Financial
Measures.”
CEO Greg Bentley said, “We are pleased to report that Bentley
Systems’ operating performance continues dependably toward our
established financial outlook range for full‑year 2022, albeit with
reported revenues subject to this year’s foreign exchange
gyrations. In constant currency, our year‑over‑year business
performance ARR growth rate remained 11.5%, which includes the
first‑half write‑down (1%) of our ARR in Russia, but does not
include 2.5% from our 22Q1 acquisition of Power Line Systems. This
reflects new business accelerating noticeably in the U.S., and for
civil engineering organizations globally, consistent with multiple
public infrastructure investment programs.
Significantly, each of our primary growth initiatives is bearing
fruit as intended in terms of business performance ARR growth,
serving to make up for circumstantially fewer programmatic
acquisitions during 2022 to date. Our enterprise success teams are
increasing ARR accretion within our consumption‑based E365 program.
Our Virtuoso subscriptions are growing exponentially in SMB
accounts and new‑name prospects. Our Seequent and Power Line
Systems platform acquisitions continue their pace‑setting growth.
Finally, our Year in Infrastructure 2022 conference next week in
London will showcase, through the Finalists’ Going Digital Awards
presentations, notable digital twin advancements within our
accounts.”
CFO Werner Andre said, “As the net favorable directions of
business performance that Greg enumerated are serving to offset
losses from Russia, we continue to reaffirm the range of our 2022
full year annual financial outlook in constant currency metrics.
This includes total revenues growth of 16.9% to 20.1% in constant
currency, as well as constant currency ARR growth rate of 14% to
16%.
To quantify the ongoing impact of the year’s volatile exchange
rates on our annual outlook metrics, which are denominated in
reported currency:
- our 22Q3 GAAP total revenues of $268.3 million would have been
$283.3 million, if the exchange rates used in our annual financial
outlook had remained in effect; and
- if recent exchange rates would prevail for the remainder of the
year, our 2022 full year total revenues as reported would be
negatively impacted on the order of $40 million, relative to the
revenues based on the exchange rates in effect when we determined
our full year 2022 outlook.
By virtue of our operating expense natural hedge, we continue to
expect that exchange rates will have minimal effect on our full
year outlook for 2022 adjusted EBITDA margin of 33%.”
Operating Results Call Details
Bentley Systems will host a live Zoom video webinar on November
8, 2022 at 8:15 a.m. EST to discuss operating results for its third
quarter and nine months ended September 30, 2022.
Those wishing to participate should access the live Zoom video
webinar of the event through a direct registration link at
https://us06web.zoom.us/webinar/register/WN_xfiQCdeSRZishWDpJPAwfA.
Alternatively, the event can be accessed from the Events &
Presentations page on Bentley Systems’ Investor Relations website
at https://investors.bentley.com. In addition, a replay and
transcript will be available after the conclusion of the live event
on Bentley Systems’ Investor Relations website for one year.
Definitions of Certain Key Business Metrics
Definitions of the non‑GAAP financial measures used in this
operating results press release and reconciliations of such
measures to their nearest GAAP equivalents are included below under
“Use and Reconciliation of Non‑GAAP Financial Measures.”
- Last twelve-month recurring revenues are calculated as
recurring revenues recognized over the preceding twelve‑month
period. We define recurring revenues as subscription revenues that
recur monthly, quarterly, or annually with specific or automatic
renewal clauses and professional services revenues in which the
underlying contract is based on a fixed fee and contains automatic
annual renewal provisions;
- ARR is defined as the sum of the annualized value of our
portfolio of contracts that produce recurring revenues as of the
last day of the reporting period, and the annualized value of the
last three months of recognized revenues for our contractually
recurring consumption‑based software subscriptions with consumption
measurement durations of less than one year, calculated using the
spot foreign exchange rates;
- Business performance is defined as organic growth results
inclusive of the impact from the ARR onboarding of certain
programmatic acquisitions, which generally are immaterial,
individually and in the aggregate, and is exclusive of the ARR
onboarding of our Seequent and Power Line Systems platform
acquisitions;
- GAAP net income (loss) margin is determined by dividing GAAP
net income (loss) by total revenues;
- Adjusted EBITDA margin is determined by dividing Adjusted
EBITDA by total revenues; and
- Adjusted Net Income per diluted share is determined by dividing
Adjusted Net Income by the weighted average diluted shares.
Constant Currency Metrics
In reporting period‑over‑period results, we calculate the
effects of foreign currency fluctuations and constant currency
information by translating current period results using prior
period average foreign currency exchange rates. Our definition of
constant currency may differ from other companies reporting
similarly named measures, and these constant currency performance
measures should be viewed in addition to, and not as a substitute
for, our operating performance measures calculated in accordance
with GAAP.
- Our last twelve‑month recurring revenues dollar‑based net
retention rate is calculated, using the average exchange rates for
the prior period, as follows: the recurring revenues for the
current period, including any growth or reductions from accounts
with recurring revenues in the prior period (“existing accounts”),
but excluding recurring revenues from any new accounts added during
the current period, divided by the total recurring revenues from
all accounts during the prior period. A period is defined as any
trailing twelve months. Related to our platform acquisitions,
recurring revenues into new accounts will be captured as existing
accounts starting with the second anniversary of the acquisition
when such data conforms to the calculation methodology. This may
cause variability in the comparison;
- Our last twelve-month account retention rate for any given
twelve‑month period is calculated using the average currency
exchange rates for the prior period, as follows: the prior period
recurring revenues from all accounts with recurring revenues in the
current and prior period, divided by total recurring revenues from
all accounts during the prior period; and
- Our constant currency ARR growth rate is the growth rate of our
ARR, measured on a constant currency basis.
Use and Reconciliation of Non-GAAP Financial Measures
In addition to our results determined in accordance with GAAP,
we have calculated Adjusted cost of subscriptions and licenses,
Adjusted cost of services, Adjusted research and development,
Adjusted selling and marketing, Adjusted general and
administrative, Adjusted income from operations, Adjusted Net
Income, and Adjusted EBITDA, each of which are non‑GAAP financial
measures. We have provided tabular reconciliations of each of these
non‑GAAP financial measures to such measure’s most directly
comparable GAAP financial measure.
Management uses these non‑GAAP financial measures to understand
and compare operating results across accounting periods, for
internal budgeting and forecasting purposes, and to evaluate
financial performance. Our non‑GAAP financial measures are
presented as supplemental disclosure as we believe they provide
useful information to investors and others in understanding and
evaluating our results and prospects period‑over‑period without the
impact of certain items that do not directly correlate to our
operating performance and that may vary significantly from period
to period for reasons unrelated to our operating performance, as
well as to compare our financial results to those of other
companies. Our definitions of these non‑GAAP financial measures may
differ from similarly titled measures presented by other companies
and therefore comparability may be limited. In addition, other
companies may not publish these or similar metrics. Thus, our
non‑GAAP financial measures should be considered in addition to,
not as a substitute for, or in isolation from, the financial
information prepared in accordance with GAAP, and should be read in
conjunction with the financial statements included in our Quarterly
Report on Form 10‑Q to be filed with the United States Securities
and Exchange Commission.
We calculate these non‑GAAP financial measures as follows:
- Adjusted cost of subscriptions and licenses is determined by
adding back to GAAP cost of subscriptions and licenses,
amortization of purchased intangibles and developed technologies,
stock‑based compensation, acquisition expenses, and realignment
expenses (income), for the respective periods;
- Adjusted cost of services is determined by adding back to GAAP
cost of services, stock‑based compensation, acquisition expenses,
and realignment expenses (income), for the respective periods;
- Adjusted research and development is determined by adding back
to GAAP research and development, stock‑based compensation and
acquisition expenses, for the respective periods;
- Adjusted selling and marketing is determined by adding back to
GAAP selling and marketing, stock‑based compensation, acquisition
expenses, and realignment expenses (income), for the respective
periods;
- Adjusted general and administrative is determined by adding
back to GAAP general and administrative, stock‑based compensation,
acquisition expenses, and realignment expenses (income), for the
respective periods;
- Adjusted income from operations is determined by adding back to
GAAP operating income (loss), amortization of purchased intangibles
and developed technologies, stock‑based compensation, expense
(income) relating to deferred compensation plan liabilities,
acquisition expenses, and realignment expenses (income), for the
respective periods;
- Adjusted Net Income is defined as net income (loss) adjusted
for the following: amortization of purchased intangibles and
developed technologies, stock‑based compensation, expense (income)
relating to deferred compensation plan liabilities, acquisition
expenses, realignment expenses (income), other non‑operating
(income) expense, net, the tax effect of the above adjustments to
net income (loss), and (income) loss from investment accounted for
using the equity method, net of tax. The income tax effect of
non‑GAAP adjustments was determined using the applicable rates in
the taxing jurisdictions in which income or expense occurred, and
represent both current and deferred income tax expense or benefit
based on the nature of the non‑GAAP adjustments, including the tax
effects of non‑cash stock‑based compensation expense; and
- Adjusted EBITDA is defined as net income (loss) adjusted for
interest expense, net, provision (benefit) for income taxes,
depreciation and amortization, stock‑based compensation, expense
(income) relating to deferred compensation plan liabilities,
acquisition expenses, realignment expenses (income), other
non‑operating (income) expense, net, and (income) loss from
investment accounted for using the equity method, net of tax.
We encourage investors and others to review our financial
information in its entirety, not to rely on any single financial
measure, and to view these non‑GAAP financial measures in
conjunction with the related GAAP financial measures. During the
second quarter of 2022, we modified our definitions of Adjusted
EBITDA and Adjusted Net Income to adjust for realignment expenses
(income) relating to our wind down of business in, and exit from,
the Russian market, which were subsequently adjusted during the
third quarter of 2022 for our change in estimates. These
realignment expenses (income) are comprised of termination benefits
for colleagues whose positions were eliminated and corresponding
asset impairments. Amounts for all periods herein reflect
application of the aforementioned definitions modification.
During the fourth quarter of 2021, we early adopted Accounting
Standards Update No. 2021‑08, Business Combinations (Topic 805):
Accounting for Contract Assets and Contract Liabilities from
Contracts with Customers, effective January 1, 2021 and
retrospectively recasted interim prior period amounts presented in
this press release.
Forward-Looking Statements
This press release includes forward-looking statements regarding
the future results of operations and financial position, business
strategy, and plans and objectives for future operations of Bentley
Systems, Incorporated (the “Company,” “we,” “us,” and words of
similar import). All such statements contained in this press
release, other than statements of historical facts, are
forward-looking statements. The words “believe,” “may,” “will,”
“estimate,” “continue,” “anticipate,” “intend,” “expect,” and
similar expressions are intended to identify forward-looking
statements. We have based these forward-looking statements largely
on our current expectations, projections, and assumptions about
future events and financial trends that we believe may affect our
financial condition, results of operations, business strategy,
short-term and long-term business operations and objectives, and
financial needs. These forward-looking statements are subject to a
number of risks, uncertainties and assumptions, and there are a
significant number of factors that could cause actual results to
differ materially from statements made in this press release
including: current and potential future impacts of the COVID‑19
pandemic on the global economy and our business, and consolidated
financial statements; adverse changes in global economic and/or
political conditions; the impact of current and future sanctions,
embargoes and other similar laws at the state and/or federal level
that impose restrictions on our counterparties or upon our ability
to operate our business within the subject jurisdictions;
political, economic, regulatory and public health and safety risks
and uncertainties in the countries and regions in which we operate;
failure to retain personnel necessary for the operation of our
business or those that we acquire; changes in the industries in
which our accounts operate; the competitive environment in which we
operate; the quality of our products; our ability to develop and
market new products to address our accounts’ rapidly changing
technological needs; changes in capital markets and our ability to
access financing on terms satisfactory to us or at all; and our
ability to integrate acquired businesses successfully.
Further information on potential factors that could affect the
financial results of the Company are included in the Company’s Form
10‑K and subsequent Forms 10‑Q, which are on file with the United
States Securities and Exchange Commission. The Company disclaims
any obligation to update the forward-looking statements provided to
reflect events that occur or circumstances that exist after the
date on which they were made.
About Bentley Systems
Bentley Systems (Nasdaq: BSY) is the infrastructure engineering
software company. We provide innovative software to advance the
world’s infrastructure – sustaining both the global economy and
environment. Our industry-leading software solutions are used by
professionals, and organizations of every size, for the design,
construction, and operations of roads and bridges, rail and
transit, water and wastewater, public works and utilities,
buildings and campuses, mining, and industrial facilities. Our
offerings include MicroStation-based applications for modeling and
simulation, ProjectWise for project delivery, AssetWise for asset
and network performance, Seequent’s leading geoprofessional
software portfolio, and the iTwin platform for infrastructure
digital twins. Bentley Systems employs more than 4,500 colleagues
and generates annual revenues of approximately $1 billion in 186
countries. www.bentley.com
© 2022 Bentley Systems, Incorporated. Bentley, the Bentley logo,
AssetWise, iTwin, MicroStation, Power Line Systems, ProjectWise,
and Seequent are either registered or unregistered trademarks or
service marks of Bentley Systems, Incorporated or one of its direct
or indirect wholly owned subsidiaries. All other brands and product
names are trademarks of their respective owners.
BENTLEY SYSTEMS, INCORPORATED
AND SUBSIDIARIES
Consolidated Balance
Sheets
(in thousands)
(unaudited)
September 30, 2022
December 31, 2021
Assets
Current assets:
Cash and cash equivalents
$
72,856
$
329,337
Accounts receivable
214,459
241,807
Allowance for doubtful accounts
(10,802
)
(6,541
)
Prepaid income taxes
17,414
16,880
Prepaid and other current assets
32,224
34,348
Total current assets
326,151
615,831
Property and equipment, net
30,753
31,823
Operating lease right-of-use assets
41,499
50,818
Intangible assets, net
301,173
245,834
Goodwill
2,193,053
1,588,477
Investments
21,690
6,438
Deferred income taxes
52,751
71,376
Other assets
74,367
48,646
Total assets
$
3,041,437
$
2,659,243
Liabilities and Stockholders’
Equity
Current liabilities:
Accounts payable
$
16,860
$
16,483
Accruals and other current liabilities
337,442
323,603
Deferred revenues
186,358
224,610
Operating lease liabilities
15,078
17,482
Income taxes payable
8,405
6,696
Current portion of long-term debt
5,000
5,000
Total current liabilities
569,143
593,874
Long-term debt
1,776,610
1,430,992
Deferred compensation plan liabilities
71,013
94,890
Long-term operating lease liabilities
28,776
35,274
Deferred revenues
15,252
7,983
Deferred income taxes
43,817
65,014
Income taxes payable
8,893
7,725
Other liabilities
7,734
14,269
Total liabilities
2,521,238
2,250,021
Stockholders’ equity:
Common stock
2,884
2,825
Additional paid-in capital
1,005,075
937,805
Accumulated other comprehensive loss
(101,929
)
(91,774
)
Accumulated deficit
(385,831
)
(439,634
)
Total stockholders’ equity
520,199
409,222
Total liabilities and stockholders’
equity
$
3,041,437
$
2,659,243
BENTLEY SYSTEMS, INCORPORATED
AND SUBSIDIARIES
Consolidated Statements of
Operations
(in thousands, except share
and per share data)
(unaudited)
Three Months Ended
Nine Months Ended
September 30,
September 30,
2022
2021
2022
2021
Revenues:
Subscriptions
$
235,307
$
215,135
$
708,731
$
589,702
Perpetual licenses
9,460
11,866
31,213
33,373
Subscriptions and licenses
244,767
227,001
739,944
623,075
Services
23,565
24,387
72,190
74,239
Total revenues
268,332
251,388
812,134
697,314
Cost of revenues:
Cost of subscriptions and licenses
37,371
31,056
107,904
89,882
Cost of services
21,812
23,176
66,758
67,090
Total cost of revenues
59,183
54,232
174,662
156,972
Gross profit
209,149
197,156
637,472
540,342
Operating expense (income):
Research and development
63,827
57,334
189,966
157,913
Selling and marketing
46,114
44,392
141,676
114,846
General and administrative
37,794
35,329
128,981
110,233
Deferred compensation plan
(4,576
)
88,965
(21,873
)
89,327
Amortization of purchased intangibles
10,446
8,676
30,869
16,703
Total operating expenses
153,605
234,696
469,619
489,022
Income (loss) from operations
55,544
(37,540
)
167,853
51,320
Interest expense, net
(8,382
)
(3,836
)
(23,046
)
(8,608
)
Other income (expense), net
180
(957
)
14,318
9,748
Income (loss) before income taxes
47,342
(42,333
)
159,125
52,460
(Provision) benefit for income taxes
(9,664
)
(5,025
)
(8,221
)
5,090
Loss from investment accounted for using
the equity method, net of tax
(681
)
(664
)
(1,846
)
(2,939
)
Net income (loss)
36,997
(48,022
)
149,058
54,611
Less: Net income (loss) attributable to
participating securities
(11
)
(3
)
(31
)
(6
)
Net income (loss) attributable to Class A
and Class B common stockholders
$
36,986
$
(48,025
)
$
149,027
$
54,605
Per share information:
Net income (loss) per share, basic
$
0.12
$
(0.16
)
$
0.48
$
0.18
Net income (loss) per share, diluted
$
0.12
$
(0.16
)
$
0.46
$
0.17
Weighted average shares, basic
310,116,104
308,195,379
308,959,801
305,119,985
Weighted average shares, diluted
325,170,383
308,195,379
332,077,834
314,658,136
BENTLEY SYSTEMS, INCORPORATED
AND SUBSIDIARIES
Consolidated Statements of
Cash Flows
(in thousands)
(unaudited)
Nine Months Ended
September 30,
2022
2021
Cash flows from operating activities:
Net income
$
149,058
$
54,611
Adjustments to reconcile net income to net
cash provided by operating activities:
Depreciation and amortization
53,644
35,946
Bad debt allowance
5,199
466
Deferred income taxes
(13,670
)
(17,788
)
Stock-based compensation expense
51,359
32,853
Deferred compensation plan
(21,873
)
89,327
Amortization and write-off of deferred
debt issuance costs
5,468
4,160
Change in fair value of derivative
(29,318
)
(9,198
)
Foreign currency remeasurement loss
14,445
103
Other non-cash items, net
(1,006
)
2,939
Changes in assets and liabilities, net of
effect from acquisitions:
Accounts receivable
12,550
26,305
Prepaid and other assets
7,779
11,310
Accounts payable, accruals, and other
liabilities
28,765
29,047
Deferred revenues
(26,725
)
(40,496
)
Income taxes payable, net of prepaid
income taxes
2,523
(12,168
)
Net cash provided by operating
activities
238,198
207,417
Cash flows from investing activities:
Purchases of property and equipment and
investment in capitalized software
(12,982
)
(11,152
)
Proceeds from sale of aircraft
2,380
—
Acquisitions, net of cash acquired
(719,539
)
(1,033,695
)
Other investing activities
(10,304
)
(3,000
)
Net cash used in investing activities
(740,445
)
(1,047,847
)
Cash flows from financing activities:
Proceeds from credit facilities
753,376
682,083
Payments of credit facilities
(408,714
)
(860,228
)
Proceeds from convertible senior notes,
net of discounts and commissions
—
1,233,377
Payments of debt issuance costs
—
(5,643
)
Purchase of capped call options
—
(51,555
)
Repayment of term loan
(3,750
)
—
Payments of financing leases
(123
)
(147
)
Payments of acquisition debt and other
consideration
(6,996
)
(741
)
Payments of dividends
(25,828
)
(25,076
)
Proceeds from stock purchases under
employee stock purchase plan
10,335
3,846
Proceeds from exercise of stock
options
6,855
5,039
Payments for shares acquired including
shares withheld for taxes
(42,213
)
(111,306
)
Repurchase of Class B Common Stock under
approved program
(28,250
)
—
Net cash provided by financing
activities
254,692
869,649
Effect of exchange rate changes on cash
and cash equivalents
(8,926
)
4,530
(Decrease) increase in cash and cash
equivalents
(256,481
)
33,749
Cash and cash equivalents, beginning of
year
329,337
122,006
Cash and cash equivalents, end of
period
$
72,856
$
155,755
BENTLEY SYSTEMS, INCORPORATED
AND SUBSIDIARIES
Reconciliation of GAAP to
Non-GAAP Measures
For the Three and Nine Months
Ended September 30, 2022 and 2021
(in thousands)
(unaudited)
Reconciliation of net income (loss) to
Adjusted EBITDA:
Three Months Ended
Nine Months Ended
September 30,
September 30,
2022
2021
2022
2021
Net income (loss)
$
36,997
$
(48,022
)
$
149,058
$
54,611
Interest expense, net
8,382
3,836
23,046
8,608
Provision (benefit) for income taxes
9,664
5,025
8,221
(5,090
)
Depreciation and amortization
17,914
16,666
53,644
35,946
Stock-based compensation
18,626
11,588
50,974
32,186
Deferred compensation plan
(4,576
)
88,965
(21,873
)
89,327
Acquisition expenses
3,203
4,789
21,056
27,999
Realignment (income) expenses
(971
)
—
2,223
—
Other (income) expense, net
(180
)
957
(14,318
)
(9,748
)
Loss from investment accounted for using
the equity method, net of tax
681
664
1,846
2,939
Adjusted EBITDA
$
89,740
$
84,468
$
273,877
$
236,778
Reconciliation of net income (loss) to
Adjusted Net Income:
Three Months Ended
Nine Months Ended
September 30,
September 30,
2022
2021
2022
2021
Net income (loss)
$
36,997
$
(48,022
)
$
149,058
$
54,611
Non-GAAP adjustments, prior to income
taxes:
Amortization of purchased intangibles and
developed technologies
13,575
11,539
40,174
22,003
Stock-based compensation
18,626
11,588
50,974
32,186
Deferred compensation plan
(4,576
)
88,965
(21,873
)
89,327
Acquisition expenses
3,203
4,789
21,056
27,999
Realignment (income) expenses
(971
)
—
2,223
—
Other (income) expense, net
(180
)
957
(14,318
)
(9,748
)
Total non-GAAP adjustments, prior to
income taxes
29,677
117,838
78,236
161,767
Income tax effect of non-GAAP
adjustments
(5,530
)
(14,191
)
(13,951
)
(24,346
)
Loss from investment accounted for using
the equity method, net of tax
681
664
1,846
2,939
Adjusted Net Income
$
61,825
$
56,289
$
215,189
$
194,971
Reconciliation of GAAP Financial Statement
Line Items to Non-GAAP Adjusted Financial Statement Line Items:
Three Months Ended
Nine Months Ended
September 30,
September 30,
2022
2021
2022
2021
Cost of subscriptions and licenses
$
37,371
$
31,056
$
107,904
$
89,882
Amortization of purchased intangibles and
developed technologies
(3,129
)
(2,863
)
(9,305
)
(5,300
)
Stock-based compensation
(752
)
(320
)
(1,913
)
(809
)
Acquisition expenses
(63
)
(7
)
(63
)
(7
)
Realignment expenses
—
—
(39
)
—
Adjusted cost of subscriptions and
licenses
$
33,427
$
27,866
$
96,584
$
83,766
Cost of services
$
21,812
$
23,176
$
66,758
$
67,090
Stock-based compensation
(428
)
(227
)
(1,347
)
(615
)
Acquisition expenses
(1,370
)
(1,835
)
(3,987
)
(4,380
)
Realignment expenses
(19
)
—
(52
)
—
Adjusted cost of services
$
19,995
$
21,114
$
61,372
$
62,095
Research and development
$
63,827
$
57,334
$
189,966
$
157,913
Stock-based compensation
(6,703
)
(5,178
)
(17,572
)
(13,893
)
Acquisition expenses
(1,898
)
(1,537
)
(5,094
)
(4,882
)
Adjusted research and development
$
55,226
$
50,619
$
167,300
$
139,138
Selling and marketing
$
46,114
$
44,392
$
141,676
$
114,846
Stock-based compensation
(1,939
)
(1,481
)
(5,470
)
(3,484
)
Acquisition expenses
(276
)
(421
)
(1,021
)
(603
)
Realignment income (expenses)
753
—
(1,196
)
—
Adjusted selling and marketing
$
44,652
$
42,490
$
133,989
$
110,759
General and administrative
$
37,794
$
35,329
$
128,981
$
110,233
Stock-based compensation
(8,804
)
(4,382
)
(24,672
)
(13,385
)
Acquisition expenses
404
(983
)
(10,891
)
(18,101
)
Realignment income (expenses)
237
—
(936
)
—
Adjusted general and administrative
$
29,631
$
29,964
$
92,482
$
78,747
Income (loss) from operations
$
55,544
$
(37,540
)
$
167,853
$
51,320
Amortization of purchased intangibles and
developed technologies
13,575
11,539
40,174
22,003
Stock-based compensation
18,626
11,588
50,974
32,186
Deferred compensation plan
(4,576
)
88,965
(21,873
)
89,327
Acquisition expenses
3,203
4,789
21,056
27,999
Realignment (income) expenses
(971
)
—
2,223
—
Adjusted income from operations
$
85,401
$
79,341
$
260,407
$
222,835
View source
version on businesswire.com: https://www.businesswire.com/news/home/20221108005046/en/
Investors: Ankit Hira Solebury Strategic Communications for
Bentley Systems ir@bentley.com
1-610-458-2777 Media: Chris Bradshaw chris.bradshaw@bentley.com 1-610-321-6307
Bentley Systems (NASDAQ:BSY)
Historical Stock Chart
From Jun 2024 to Jul 2024
Bentley Systems (NASDAQ:BSY)
Historical Stock Chart
From Jul 2023 to Jul 2024