Bentley Systems saw revenues climb 9.3% year-on-year to top $335.2m in Q3, boosted by increases in subscriptions for its AEC software
Subscription revenues from its AEC software solutions were $303.2m, up 12% compared with Q3 2023.
Annualized Recurring Revenues (ARR) was $1,270.7m as of 30 September, compared with $1,124.8m as of 30 September 2023, representing a constant currency ARR growth rate of 12%.
For the nine months ended 30 September 2024, Bentley’s total revenues were $1,003.3m, up 9.3% year-on-year.
Subscriptions revenues were $907.8m, up 12.4% year-over-year.
Operating income margin was 24%, compared with 21% for the same period last year.
Acquisitions and partnerships
The results come after Bentley announced in September that it had acquired 3D geospatial company Cesium, an open platform for creating immersive 3D geospatial environments. its 3D Tiles open standard has been widely adopted by leading enterprises, governments, and tens of thousands of application developer teams globally.
On 9 October, the company unveiled a strategic partnership with Google to integrate Google’s geospatial content with Bentley’s infrastructure engineering software and digital twin platform.
On 18 October, Bentley entered into a new five-year senior secured credit agreement, which provides a $1.3bn revolving credit facility, as well as an incremental $500m “accordion” feature to increase the facility in the form of both revolving indebtedness and incremental term loans.
This followed the appointment of Nicholas Cumins as CEO, succeeding Greg Bentley, the eldest of the five Bentley brothers who founded the company.
Favourable market conditions for foreseeable future
Commenting on the results, executive chair Greg Bentley said, “The impressive inaugural quarter since completing our generational succession underscores my confidence in raising our sights broadly.
“The Year in Infrastructure 2024 Conference showcased advancements in going digital that are ever more effectively surmounting the infrastructure engineering resource capacity gap.
“And our strategically significant acquisition of Cesium, with the other strategic initiatives Nicholas and his team have unveiled, exemplifies our reinvigorated prioritization of compelling new growth ambitions.”
CEO Nicholas Cumins said: “During my first 100 days as CEO, we unveiled ambitious strategic moves that will help propel our future growth: the acquisition of 3D geospatial company Cesium; a strategic partnership with Google to integrate their geospatial content; a new product portfolio for asset analytics and a new generation of engineering applications, both leveraging AI and digital twin technologies to improve the way infrastructure is designed, built and operated. At the same time, we delivered strong quarterly operating results.
“Our year-over-year ARR growth on a constant currency basis accelerated to 12% in 24Q3 (12.5% excluding China). Strength was broad based across geographies and sectors as we continued to operate at a high level of performance, with favorable end-market conditions for the foreseeable future.”
