Q1 2012 Earnings Call
May 19, 2011 5:00 pm ET
Mark Hawkins - Chief Financial Officer, Principal Accounting Officer and Executive Vice President
David Gennarelli - Director of Investor Relations
Carl Bass - Chief Executive Officer, President and Director
Keith Weiss - Morgan Stanley
Sterling Auty - JP Morgan Chase & Co
Derek Bingham - Goldman Sachs Group Inc.
Brent Thill - UBS Investment Bank
Daniel Cummins - ThinkEquity LLC
Philip Winslow - Crédit Suisse AG
Walter Pritchard - Citigroup Inc
Steven Ashley - Robert W. Baird & Co. Incorporated
Jay Vleeschhouwer - Merrill Lynch
Blair Abernethy - Stifel, Nicolaus & Co., Inc.
Michael Olson - Piper Jaffray Companies
Steven Koenig - Longbow Research LLC
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Good day, ladies and gentlemen, and welcome to the first quarter 2012 Autodesk Earnings Conference Call. [Operator Instructions] As a reminder, this conference is being recorded for replay purposes. I would now like to turn the presentation over to Mr. Dave Gennarelli, Director, Investor Relations. Please proceed, sir.
Thanks, operator. Good afternoon. Thank you for joining our conference call to discuss our first quarter fiscal 2012. Joining me today are Carl Bass, our Chief Executive Officer; and Mark Hawkins, our Chief Financial Officer. Today's conference call is being broadcast live via webcast. In addition, a replay of the call will be available at autodesk.com/investor. As noted in our press release, we have published our prepared remarks in our website in advance of this call. Those remarks are intended to serve in place of extended formal comments and we will not repeat them on this call.
During the course of this conference call, we will make forward-looking statements regarding future events and the future performance of the company, such as our guidance for the second quarter and full year fiscal 2012, the taxes we use to estimate our guidance, new product and suite releases, certain future strategic transactions, business prospects and financial results, our market opportunities and strategies, the trends in sales initiatives for our products and trends in various geographies and industries. We caution you that such statements reflect our best judgment based on factors currently known to us and that actual events or results could differ materially. Please refer to the documents we file from time to time with the SEC, specifically, our Form 10-K for the fiscal year 2011 and our periodic Form 8-K filings, including the Form 8-K filed with the today's press release and prepared remarks. Those documents contain and identify important risks and other factors that may cause our actual results to differ from those contained in our forward-looking statements.
Forward-looking statements made during the call are being made as of today. If this call is replayed or reviewed after today, the information presented during the call may not contain current or accurate information. Autodesk disclaims any obligation to update or revise any forward-looking statements. We will provide guidance on today's call but will not provide any further guidance or updates on our performance during the quarter unless we do so in a public forum.
During the call, we will also discuss non-GAAP financial measures. These non-GAAP measures are not prepared in accordance with Generally Accepted Accounting Principles. A reconciliation of GAAP and non-GAAP results is provided in today's press release, prepared remarks and on the Investor Relations section of our website. We will quote a number of numeric changes as we discuss our financial performance, and unless otherwise noted, each such reference represents a year-on-year comparison. And now, I would like to turn the call over to Carl Bass.
Thank you and good afternoon. Our first quarter results reflect a solid start to fiscal 2012. There are several areas of notable growth and achievement. Highlights for the quarter include: 11% growth in total revenue; 23% growth in revenue from commercial new licenses; 38% growth in non-GAAP EPS; strong operating margin growth; record deferred revenue; and the launch of our 2012 product line, including our new Design and Creation Suites.
Asia Pacific again led the growth for the quarter from a geographic perspective, and we also experienced strong growth in the Americas. Our EMEA region posted solid growth despite a difficult compare as it benefited the most from last year's promotion. Our Manufacturing business delivered another solid quarter, with growth in all geographies and particular strength in the Americas and APAC. Within our Manufacturing segment, revenue from commercial new licenses grew a strong 32% compared to the first quarter last year. We experienced strong growth in our data management business through broader penetration across industries and geographies. Enterprise and SMB customers are choosing our data management solution for its state-of-the-art technology, cost effectiveness and ease of use. Over the past 3 years, we've been building our portfolio of broad-based simulation technologies and will continue to democratize these technologies by bringing robust tools to design engineers. For example, during the quarter, we acquired Blue Ridge, a leading provider of simulation software specializing in computational fluid dynamics to add to our Simulation portfolio.
Our AEC [Architecture, Engineering and Construction] business grew 3% during the quarter. We experienced softness in our infrastructure business -- excuse me, our AEC business grew 3% during the quarter. We experienced softness in our infrastructure business in Q1 but we are looking forward to the introduction of our new infrastructure Design Suites, which we'll launch in Q2. The market demand and acceptance for products based on building information modeling technology is accelerating.
While we are disappointed by the tepid growth, when you consider that the majority of our PSEB [Platform Solutions and Emerging Business] revenue is sold into the AEC industry, our total sales to AEC customers are better than it may appear. Our strongest growth in the quarter was generated by our PSEB and Media and Entertainment business segments. Growth was driven by customer demand for our horizontal design and animation products, respectively. We also closed the acquisition of Scaleform, which adds strong UI [user interface] tools and middleware to our Media and Entertainment group's robust portfolio of tools for game development.