Bentley Systems, Incorporated (BSY) Q2 2022 Earnings Call Transcript

For the period ending June 30, 2022

August 9, 2022 8:15 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Michael Fischette

Good morning, everyone. And thank you for joining us for Bentley Systems’ Q2 2022 Operating Results webcast. I’m Michael Fischette, Bentley’s Vice President, Deputy General Counsel. On the webcast today, we have Bentley Systems’ Chief Executive Officer, Greg Bentley; Chief Financial Officer, Werner Andre, Chief Operating Officer, Nicholas Cumins and Chief Investment Officer, David Hollister.

Before we begin, allow me to provide a disclaimer regarding forward-looking statements. This webcast, including the question-and-answer portion of the webcast, may include forward-looking statements related to the expected future results for our company and are, therefore, forward-looking statements.

Our actual results may differ materially from our projections due to a number of risks and uncertainties. The risks and uncertainties that forward-looking statements are subject to are described in our operating results release and other SEC filings. Today’s remarks will also include references to non-GAAP financial measures. Additional information, including reconciliation between non-GAAP financial information to the GAAP financial information, is provided in the press release and supplemental slide presentation. This webcast will be available for replay on Bentley Systems Investor Relations website at investors.bentley.com. After the presentation, we will conclude with Q&A.

With that, let me introduce the CEO of Bentley Systems, Greg Bentley.

Greg Bentley

Good morning, as the case may be, thanks to each of you for your interest and our operating results presentation will follow the usual sequence starting with the tone of our business. As we announced today, I'm pleased to say that 2022 Q2 proved to be a straightforward and quite satisfactory quarter, tracking toward our annual financial outlook, subject to ongoing FX volatility. And notwithstanding arbitrary FX impacts on reported revenues, our intrinsic natural hedge improved by the inclusion of Seequent substantially protects our operating margins.

2022 Q2 was characterized by substantial alleviation of the particular disruption which did affect us in 2022 Q1, the regional geopolitical drama, although 2022 Q2 brings about a conclusion to our business in Russia, this also concludes the uncertainty of our prospects there.

And as to what I think was related counter globalism, which manifested in attrition in China, this fortunately appears to have been a shock confined to 2022 Q1, although there should still be concerned about bilateral trade and/or investment impediments from the Chinese and/or US governments.