PTCHIGH SIGNALFINANCIAL10-K

PTC delivered exceptional financial performance with net income nearly doubling to $734M while significantly reducing debt burden and interest expenses.

The 95% surge in net income combined with 67% operating income growth and 36% reduction in interest expense indicates PTC has achieved substantial operational leverage and improved capital efficiency. The strong revenue growth of 19% to $2.7B alongside expanding margins suggests the company's digital transformation strategy is generating significant value for shareholders.

Comparing 2025-11-21 vs 2024-11-14View on EDGAR →
FINANCIAL ANALYSIS

PTC demonstrated exceptional financial performance across all key metrics, with revenue growing 19% to $2.7B and net income nearly doubling to $734M, driven by strong gross profit expansion and improved operational efficiency. The company strengthened its balance sheet by reducing current liabilities 26% and growing stockholders' equity 19%, while significantly cutting interest expenses by 36%, indicating successful debt management. The only concerning element is the 31% decline in cash position to $184M, though this appears offset by the strong profitability improvements and reduced leverage.

FINANCIAL STATEMENT CHANGES
Net Income
P&L
+95%
$376.3M$734.0M

Net income grew 95% — bottom-line growth signals improving overall business health.

Operating Income
P&L
+67.1%
$588.1M$982.4M

Operating leverage kicking in — revenue growth outpacing cost growth, a hallmark of scaling businesses.

Interest Expense
P&L
-35.6%
$119.7M$77.0M

Interest expense declined — debt repayment or refinancing at lower rates improving earnings quality.

Cash & Equivalents
Balance Sheet
-30.6%
$265.8M$184.4M

Cash declined 30.6% — significant cash burn or deployment; verify adequacy of remaining liquidity runway.

Current Liabilities
Balance Sheet
-25.8%
$1.7B$1.2B

Current liabilities reduced — improved short-term financial position and working capital health.

Gross Profit
P&L
+23.8%
$1.9B$2.3B

Gross profit expanding — improving pricing power or product mix shift toward higher-margin offerings.

Capital Expenditure
Cash Flow
-23.4%
$14.4M$11.0M

Capex reduced 23.4% — investment cycle winding down or capital discipline; may improve near-term free cash flow.

Revenue
P&L
+19.2%
$2.3B$2.7B

Revenue growing 19.2% — solid top-line momentum, watch margins for quality of growth.

Stockholders Equity
Balance Sheet
+19%
$3.2B$3.8B

Equity base grew 19% — retained earnings accumulation or equity issuance strengthening the balance sheet.

Accounts Receivable
Balance Sheet
+16.1%
$862.0M$1.0B

Receivables grew 16.1% — monitor days sales outstanding for collection efficiency.

LANGUAGE CHANGES
NEW — 2025-11-21
PRIOR — 2024-11-14
ADDED
There were 119,925,951 shares of our common stock outstanding on that day and 119,448,261 shares of our common stock outstanding on November 19, 2025.
Website References References to our PTC.com website in this Annual Report and to our 2025 Impact Report, expected to be published in December 2025, are provided for convenience.
Bu siness Our Business PTC is a global software company headquartered in Boston, Massachusetts.
We employ over 7,000 people and support more than 30,000 customers globally.
Given the breadth and openness of our portfolio, we enable the Intelligent Product Lifecycle: establishing a strong product data foundation in the engineering department and democratizing the access and use of that data across the enterprise to drive cross-functional collaboration, accelerate new product introduction timelines, and deliver higher product quality.
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REMOVED
There were 119,716,947 shares of our common stock outstanding on that day and 120,129,080 sh ares of our common stock outstanding on November 12, 2024.
Website References References to our PTC.com website in this Annual Report and to our 2024 Impact Report, to be published in early 2025, are provided for convenience.
Bu siness Our Business PTC is a global software company that enables manufacturers and product companies to digitally transform how they design, manufacture, and service the physical products that the world relies on.
Headquartered in Boston, Massachusetts, PTC employs over 7,000 people and supports more than 30,000 customers globally.
We primarily serve customers in the following industry verticals: Industrials Federal, Aerospace and Defense Electronics and High Tech Automotive Medical Technology and Life Sciences Our customers are focused on improving their competitiveness in the face of global competition and increasing product complexity, and our suite of software offerings is a strategic enabler of this and their digital transformation initiatives.
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