PTC Reports Fourth Fiscal Quarter and Full Year 2026 Results

BOSTON, Nov. 4, 2026 /CourierPR/ -- PTC, a global software company based in Boston, Massachusetts, has reported financial results for its fourth fiscal quarter and full fiscal year ended September 30, 2026. The company, which employs over 7,000 people and supports more than 30,000 customers globally, entered into a definitive agreement to be acquired by Schneider Electric. As a result, PTC has suspended its quarterly earnings conference calls and will no longer provide quarterly or annual guidance.

In the fourth fiscal quarter and full fiscal year 2026, PTC reported key operating and financial metrics. The company provided supplemental non-GAAP financial measures to assist investors in making period-to-period comparisons of its operating performance. These non-GAAP financial measures exclude items such as stock-based compensation, amortization of acquired intangible assets, acquisition and transaction-related charges, impairment and other charges, non-operating charges, and income tax adjustments.

PTC's non-GAAP operating expense, non-GAAP operating margin, non-GAAP gross profit, non-GAAP gross margin, non-GAAP net income, and non-GAAP earnings per share (EPS) all exclude the aforementioned items. The company's Annual Report on Form 10-K for the fiscal year ended September 30, 2025, provides additional information about the items excluded from the non-GAAP financial measures and the reasons for excluding them.

Free cash flow, a measure of PTC's ability to generate cash without incurring additional external financings, was also reported. Free cash flow is calculated as cash provided by (used in) operations net of capital expenditures. PTC presented constant currency (CC) information to provide a framework for assessing the underlying business performance, excluding the effects of foreign currency exchange rate fluctuations. CC information was converted into United States dollars using the foreign exchange rate as of September 30, 2025.

ARR, or Annual Run Rate, represents the annualized value of PTC's portfolio of active subscription software, SaaS, hosting, and support contracts as of the end of the reporting period. ARR is calculated by considering a contract to be active when the product or service contractual term commences until the right to use the product or service ends. For contracts that include annual values that change over time, only the annualized value of active components is included in ARR. Active contracts are annualized by dividing the total active contract value by the contract duration in days, then multiplying that by 365 days.

PTC's ARR increases by the annualized value of active contracts that commence in a reporting period and decreases by the annualized value of contracts that expire in the reporting period. ARR is not annualized recurring revenue and is not calculated based on recognized or unearned revenue. It is not affected by variability in the timing of revenue under ASC 606, particularly for on-premises license subscriptions where a substantial portion of the total value of the contract is recognized as revenue at a point in time upon the later of when the software is made available or the subscription term commences.

In summary, PTC's financial results for the fourth fiscal quarter and full fiscal year 2026 reflect the company's strategic focus on its Intelligent Product Lifecycle vision. With the pending acquisition by Schneider Electric, PTC is adapting its financial reporting practices to align with the upcoming transition.