ANSYS, Inc. (ANSS) Q4 2022 Earnings Call Transcript

For the period ending December 31, 2022

February 23, 2023 8:30 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Welcome to the ANSYS Fourth Quarter and Fiscal Year 2022 Earnings Results Conference Call.

Please note this event is being recorded. I would now like to turn the conference over to Alex Deruta, Investor Relations Manager. Please go ahead.

Alex Deruta - IR

Good morning, everyone. Our earnings release the related prepared remarks document and the link to our 2022 Form 10-K have all been posted on the homepage of our Investor Relations website. They contain the key financial information and supporting data relative to our fourth quarter and full year financial results and business update as well as our Q1 and fiscal year 2023 outlook and the key underlying quantitative and qualitative assumptions.

Today's presentation contains forward-looking information. Important factors that may affect our future results are discussed in our public filings. Forward-looking statements are based upon our view of the business as of today, and ANSYS undertakes no obligation to update any such information. During this call, we will be referring to non-GAAP financial measures unless otherwise stated. A discussion of the various items that are excluded and the reconciliations of GAAP to the comparable non-GAAP financial measures are included in our earnings release materials. I would now like to turn the call over to our President and CEO, Ajei Gopal, for his opening remarks. Ajei?

Ajei Gopal - President, CEO & Director

Thank you, Alex. Good morning, everyone, and thank you for joining us. Q4 was another excellent quarter for ANSYS and the largest quarter in our history. We beat our financial guidance for the quarter across all key metrics, including ACV, revenue, operating margin and earnings per share. Q4 was the culmination of a strong year for ANSYS. Our industry-leading product portfolio, loyal customer base, strong execution and growing markets enabled us to beat and operationally raise our guidance each quarter of 2022.

This, of course, was despite the continued economic uncertainties brought on by trade sanctions and the war in Ukraine. We grew ACV at 14% in constant currency for the full year. And in the process, we achieved our goal of $2 billion of ACV in 2022. Thanks to this excellent performance, we realized our long-term financial goal set at our Investor Day in 2019. I want to congratulate the entire one ANSYS team, including our dedicated channel partners for the significant accomplishment. In a few minutes, Nicole will discuss our guidance for Q1 and the entire year. This guidance reflects the power of our world-class products, the ongoing demand from our customers and the strength of our business.