Autodesk Inc (NASDAQ:ADSK) shares were down 6.6%, to $203.18 in premarket, as a softer outlook overshadowed an otherwise strong quarterly earnings report.
The engineering software company told investors that, for its fourth quarter, it expects adjusted earnings per share of $1.91 to $1.97 on revenue of $1.422 billion to $1.437 billion – versus Wall Street consensus forecasts of $2.01 and $1.43 billion.
Third quarter adjusted earnings per share (EPS), meanwhile, came in at $2.07, while revenue rose 10% year over year to $1.41 billion, boosted by expansions from existing clients.
Analyst consensus pitched adjusted EPS at $1.99 on $1.39 billion in revenue.
"Our financial performance in the third quarter was strong with much of the outperformance coming from larger-than-expected expansions of existing EBAs (Enterprise Business Agreements)," Autodesk chief financial officer Debbie Clifford said in a statement.
Before Tuesday night’s earnings report, Autodesk stock was up 18% for 2023.