Revenue from Contracts with Customers

6 Months Ended

Mar. 31, 2025

Revenue from Contract with Customer [Abstract]

Revenue from Contracts with Customers

2. Revenue from Contracts with Customers

Receivables, Contract Assets and Contract Liabilities

(in thousands)	March 31, 2025		September 30, 2024
Short-term and long-term receivables	$	920,037	$	1,062,052
Contract asset	$	10,225	$	14,410
Deferred revenue	$	801,847	$	775,274

During the six months ended March 31, 2025, we recognized $553.3 million of revenue that was included in Deferred revenue as of September 30, 2024. The remainder of the change in the Deferred revenue balance was driven by additional deferrals, primarily from new billings, as well as a reduction in the balance resulting from changes in foreign currency exchange rates.

Our multi-year, non-cancellable on-premises subscription contracts provide customers with an annual right to exchange software within the subscription with other software. As of March 31, 2025 and September 30, 2024, our total revenue liability was $28.9 million and $26.0 million, respectively, primarily associated with the annual right to exchange on-premises subscription software.

Remaining Performance Obligations (RPO)

Our contracts with customers include amounts allocated to performance obligations that will be satisfied and recognized as revenue at a later date. The value of RPO and timing of recognition may be impacted by several factors, including the performance obligation type, duration and timing of commencement, as well as foreign currency exchange rate fluctuations. As of March 31, 2025, RPO totaled $2,280.0 million, of which $801.8 million is recorded in Deferred revenue and $1,478.2 million is not yet recorded in the Consolidated Balance Sheets. Of the total, we expect to recognize approximately 59% over the next 12 months, 24% over the next 13 to 24 months, and the remaining amount thereafter.

Disaggregation of Revenue

(in thousands)	Three months ended				Six months ended
	March 31, 2025		March 31, 2024		March 31, 2025		March 31, 2024
Recurring revenue(1)	$	601,549	$	564,014	$	1,125,860	$	1,070,041
Perpetual license		5,836		6,753		15,241		15,193
Professional services		28,981		32,305		60,393		68,052
Total revenue	$	636,366	$	603,072	$	1,201,494	$	1,153,286

(1)Recurring revenue is comprised of on-premises subscription, perpetual support, SaaS, and hosting services revenue.

We report revenue by the following two product groups:

(in thousands)	Three months ended				Six months ended
	March 31, 2025		March 31, 2024		March 31, 2025		March 31, 2024
Product lifecycle management (PLM)	$	396,149	$	373,495	$	749,608	$	722,142
Computer-aided design (CAD)		240,217		229,577		451,886		431,144
Total revenue	$	636,366	$	603,072	$	1,201,494	$	1,153,286

Our international revenue is presented based on the location of our customer. Revenue for the geographic regions in which we operate is presented below.

(in thousands)	Three months ended				Six months ended
	March 31, 2025		March 31, 2024		March 31, 2025		March 31, 2024
Americas	$	292,823	$	260,622	$	570,792	$	527,889
Europe		251,148		257,309		447,172		454,262
Asia Pacific		92,395		85,141		183,530		171,135
Total revenue	$	636,366	$	603,072	$	1,201,494	$	1,153,286