Key Highlights

● Revenue rose 16% to $2,046 million, or 14% in constant currency.

● Billings were $1,854 million, up 10%.

● Free cash flow was $561 million, up 24%.

● Fiscal 2027 revenue is now guided at $8,295 million to $8,345 million.

Autodesk, Inc. (NASDAQ:ADSK) reported fiscal 2027 second-quarter results on August 27, 2026 that combine double-digit revenue growth with an acquisition and a sales reorganization. Revenue rose 16% to $2.05 billion, and the company raised its full-year billings and revenue guidance, partly because of the MaintainX acquisition. The results therefore reflect both underlying demand and a change in the company's perimeter.

Management said the raised outlook reflects higher underlying growth expectations as well as the incremental contribution from MaintainX, while the non-GAAP margin guidance was left unchanged because operating leverage and go-to-market savings are offset by dilution from the acquisition. Billings growth of 10% lagged revenue growth of 16%, which is worth watching closely.

Business and sector

Autodesk sells design and engineering software used in architecture, engineering, construction and operations, manufacturing, and media and entertainment. Its AutoCAD products remain a long-standing franchise, while its newer cloud platforms aim to connect design data with construction and operating phases. Its chief executive describes a strategy of building project intelligence across the asset lifecycle. Customers include construction firms and manufacturers, so demand is exposed to project activity, interest rates, currency movements and trade conditions.

Results for the quarter

For the quarter ended July 31, 2026, revenue was $2,046 million, up 16% as reported and 14% in constant currency. Billings were $1,854 million, up 10%. The GAAP operating margin was 29%, up four percentage points, and the non-GAAP operating margin was 41%, up two points. GAAP earnings per share were $2.33 and non-GAAP earnings per share were $3.30.

Cash flow from operating activities was $575 million, up 25%, and free cash flow was $561 million, up 24%. By product type, Design revenue was $1,708 million, Make revenue was $244 million, up 26%, and Other revenue fell 3%. By region, EMEA revenue rose 19% as reported but 13% in constant currency, which shows the currency tailwind. AECO revenue was $1,029 million, up 17%, AutoCAD and AutoCAD LT revenue was $500 million, up 14%, and manufacturing revenue was $385 million, up 15%.

Contract measures and guidance

Remaining performance obligations were $7,433 million, up only 2%, while current RPO was $5,245 million, up 12%. Autodesk attributes the slower total growth to a sustained program of reducing multi-year discounts, including winding down multi-year renewals from maintenance to subscription, and says this benefits price realization over time while temporarily weighing on unbilled deferred revenue and RPO.

For the third quarter ending October 31, 2026, the company guided to revenue of $2,125 million to $2,140 million and non-GAAP earnings per share of $3.04 to $3.09. For fiscal 2027, it expects billings of $8,575 million to $8,650 million, revenue of $8,295 million to $8,345 million, a non-GAAP operating margin of about 39%, and free cash flow of $2,725 million to $2,750 million.

Risks and uncertainties

The company's safe-harbor statement highlights integration challenges with MaintainX, limited customer acceptance of new products, the success of its new transaction model and sales optimization, subscription renewal uncertainty, international exposure, tariffs and geopolitical conflict. The chief financial officer said MaintainX dilutes margins, and that free cash flow includes about $45 million of transaction expenses and net financing costs. Forecasts for GAAP earnings span a wide range of $7.89 to $8.72 for the year, indicating considerable uncertainty about items excluded from non-GAAP measures.

Billings, RPO and the MaintainX Contribution

Autodesk's second-quarter revenue rose 16% to $2,046 million and billings rose 10% to $1,854 million, with free cash flow up 24% to $561 million. The company raised its fiscal 2027 outlook to billings of $8,575 million to $8,650 million and revenue of $8,295 million to $8,345 million, partly because of the MaintainX acquisition, which the chief financial officer said dilutes margins.

The third-quarter report will show whether the sales reorganization, described by the company as proceeding as expected, affects billings, and how much MaintainX contributes to growth and margins. The trajectory of remaining performance obligations as discount reductions annualize, the adoption of AI features in customers' workflows and any change to the full-year billings and free cash flow ranges are further measurable points.