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PTC

PTC Inc.

PTC

PTC Inc. • NASDAQ
$175.43 ▲ 1.14% (+1.97)
Market Cap $21.02 B
52w High $219.69
52w Low $133.38
Dividend Yield 0%
P/E 28.81
Volume 479.41K
Outstanding Shares 119.79M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q4-2025 $893.795M ▲ $320.305M ▼ $354.828M ▲ 39.699% ▲ $2.96 ▲ $471.577M ▲
Q3-2025 $643.937M ▲ $324.084M ▲ $141.328M ▼ 21.947% ▼ $1.18 ▼ $245.914M ▼
Q2-2025 $636.366M ▲ $306.64M ▼ $162.644M ▲ 25.558% ▲ $1.35 ▲ $258.532M ▲
Q1-2025 $565.128M ▼ $337.807M ▲ $82.232M ▼ 14.551% ▼ $0.68 ▼ $148.953M ▼
Q4-2024 $626.547M $319.749M $126.523M 20.194% $1.06 $207.237M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q4-2025 $184.415M ▼ $6.617B ▲ $2.791B ▲ $3.826B ▲
Q3-2025 $199.321M ▼ $6.229B ▲ $2.716B ▼ $3.513B ▲
Q2-2025 $235.169M ▲ $6.162B ▲ $2.776B ▼ $3.386B ▲
Q1-2025 $196.338M ▼ $6.075B ▼ $2.846B ▼ $3.23B ▲
Q4-2024 $265.808M $6.384B $3.169B $3.214B

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q4-2025 $354.828M ▲ $104.03M ▼ $11.014M ▲ $-127.703M ▲ $-15.506M ▲ $100.484M ▼
Q3-2025 $141.328M ▼ $243.928M ▼ $-35.239M ▼ $-250.46M ▼ $-35.848M ▼ $242.041M ▼
Q2-2025 $162.644M ▲ $281.309M ▲ $-18.856M ▼ $-226.775M ▲ $38.831M ▲ $278.501M ▲
Q1-2025 $82.232M ▼ $238.429M ▲ $25.541M ▲ $-324.324M ▼ $-69.555M ▼ $235.662M ▲
Q4-2024 $126.523M $98.114M $-25.342M $-59.854M $18.144M $89.587M

Revenue by Products

Product Q1-2025Q2-2025Q3-2025Q4-2025
License
License
 $170.00M ▲$250.00M ▲$250.00M ▲$480.00M ▲
Support And Cloud Services
Support And Cloud Services
 $360.00M ▲$350.00M ▼$370.00M ▲$390.00M ▲
Technology Service
Technology Service
 $30.00M ▲$30.00M ▲$20.00M ▼$20.00M ▲

Five-Year Company Overview

Income Statement

Income Statement PTC’s revenue has been climbing steadily over the past few years, and profitability at the operating level has improved as the business scales. Gross margins look strong for an enterprise software company, suggesting good pricing power and a high‑value product set. Operating and EBITDA profits have grown faster than sales, which points to better cost control and leverage on fixed expenses. Net income, however, has been more uneven year to year. That kind of bumpiness is common in software firms that are investing heavily, doing acquisitions, and shifting toward subscriptions, because below‑the‑line items and one‑time charges can move reported earnings around. Overall, the income statement shows a healthy, growing software business with solid underlying economics, but one where headline earnings may occasionally look noisy as strategy evolves.

Balance Sheet

Balance Sheet PTC’s balance sheet shows a business that has grown in size, with total assets and shareholders’ equity trending upward over time. This indicates that retained profits and acquisitions are building the company’s foundation rather than eroding it. Debt is meaningful but appears manageable given the strength of cash generation and the recurring nature of the revenue base. The company is not debt‑free, so leverage and interest costs remain items to watch, especially in a higher‑rate environment. Cash on hand is modest relative to total assets, which is typical for a mature subscription software provider, but leaves less of a cushion if business conditions were to weaken suddenly. A sizable portion of assets is likely tied up in goodwill and intangibles from past acquisitions, which reflects PTC’s deal‑driven growth but can also introduce write‑down risk if any acquired business underperforms.

Cash Flow

Cash Flow PTC’s cash flow profile is a major strength. Operating cash flow has increased meaningfully over the last several years, and free cash flow tracks very closely behind it because the company’s capital spending needs are relatively light. This is what you’d hope to see from a scalable, largely digital business. The strong conversion of accounting profits into cash suggests that earnings quality is generally good and that the subscription model is working in PTC’s favor. Robust free cash flow gives management flexibility: they have room to service and potentially reduce debt, fund ongoing product development, and continue selective acquisitions without relying too heavily on external financing. The key risk is that this cash generation depends on keeping renewal rates high and continuing to win new deals, especially as competitors push their own cloud offerings.

Competitive Edge

Competitive Edge PTC occupies a strong, specialized position in industrial and engineering software, centered on product design and lifecycle management. Its core tools—especially for computer‑aided design and product lifecycle management—are deeply embedded in customers’ engineering and manufacturing workflows. Once installed, these systems are hard and costly for customers to rip out, creating high switching costs and a sticky, recurring revenue base. The company’s concept of a connected “digital thread” across design, manufacturing, and service differentiates it from more fragmented rivals. Partnerships with major technology and industrial players, such as large cloud providers and automation firms, reinforce its ecosystem and extend its reach into smart factory and digital transformation projects. At the same time, PTC competes with very large, well‑funded rivals in CAD and PLM. Those peers also push cloud and AI capabilities, so PTC must execute well on usability, integration, and cloud delivery to keep its edge. The recent decision to divest some IoT assets and refocus on core strengths suggests a clearer strategic perimeter, but also narrows the direct control PTC has over certain parts of the industrial connectivity stack.

Innovation and R&D

Innovation and R&D Innovation is central to PTC’s identity. The company continually updates and expands its flagship platforms—such as its CAD and PLM suites—while also building out cloud‑delivered versions. This shift to SaaS, through offerings like Creo+ and Windchill+, is a major strategic move: it can deepen customer engagement, speed feature delivery, and smooth revenue over time, but it also requires heavy ongoing R&D and careful migration of existing users. PTC has been early in linking traditional engineering software with newer technologies like industrial IoT, augmented reality, and now artificial intelligence. Its AR tools help with training and service in the field, while IoT integrations and data governance support real‑time monitoring and analytics. AI and generative design are being woven into the portfolio to automate more of the engineering and optimization work. The company also uses acquisitions to accelerate innovation in areas like cloud‑native design and product collaboration, then layers its own R&D on top. This creates a broad and modern toolkit, but also adds complexity in integrating multiple platforms and user experiences. Overall, PTC looks like a company investing heavily to stay at the forefront of digital engineering, with the execution risk that comes from managing many moving parts at once.

Summary

Putting it all together, PTC looks like a mature but still growing software franchise anchored in industrial design and product lifecycle management. Financially, it shows a combination many investors appreciate in software: steady revenue growth, expanding operating profitability, and strong, rising free cash flow. The balance sheet carries notable debt but is supported by recurring revenues and solid cash generation, while equity continues to build over time. Strategically, PTC benefits from very sticky customer relationships, high switching costs, and a clear role in enabling digital transformation across manufacturing and engineering. Its focus on a unified “digital thread,” plus deep partnerships with major tech and industrial players, bolsters its competitive position. On the innovation side, the company is pushing hard into SaaS, AI‑driven design, augmented reality, and sustainability‑oriented tools. These efforts open meaningful growth opportunities but also increase execution risk—particularly around cloud migration, product integration, and keeping pace with very strong rivals. Overall, PTC appears to be a financially solid, cash‑generative software business with a defensible niche and a forward‑leaning technology roadmap, balanced by competitive intensity, balance‑sheet leverage, and the usual uncertainties that come with heavy strategic change and acquisitions.

NEWS

November 20, 2025 · 8:00 AM UTC

PTC Therapeutics to Host R&D Day

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November 19, 2025 · 8:30 AM UTC

PTC Expands Relationship with Garrett Motion to Transform New Product Development

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November 5, 2025 · 4:01 PM UTC

PTC ANNOUNCES FOURTH FISCAL QUARTER AND FULL FISCAL YEAR 2025 RESULTS

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November 4, 2025 · 4:01 PM UTC

PTC Therapeutics Provides Corporate Update and Reports Third Quarter 2025 Financial Results

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October 31, 2025 · 8:00 AM UTC

PTC Therapeutics to Participate at Upcoming Investor Conferences

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