Slide 1: Q2'26 Financial Results
Q2’26 FINANCIAL RESULTS Neil Barua CEO Jennifer DiRico CFO May 6, 2026
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation includes forward looking statements regarding PTC’s future financial performance, strategic outlook and expectations, anticipated future operations, expected effects of strategic investments and initiatives, and share repurchase expectations. Because such
Slide 3: Neil Barua, CEO
ee NEIL BARUA, CEO
Slide 4: Transforming the Enterprise with the Intelligent Product Lifecycle
TRANSFORMING THE ENTERPRISE WITH THE INTELLIGENT PRODUCT LIFECYCLE SERVICE Powered by Product Data Connected Accelerated through Openness by SaaS Fueled by AI DESIGN 4
Slide 5: Jennifer DiRico, CFO
ee JENNIFER DIRICO, CFO
Slide 6: Solid ARR and Cash Flow Results
SOLID ARR AND CASH FLOW RESULTS ARR $ in millions Q2'26 Q2'25 YoY Change Q2'26 Guidance As reported ARR excluding divested $2,365 $2,136 11% businesses1 Constant currency ARR excluding divested $2,388 $2,200 8.5% 8% to 8.5% growth businesses (FY'26 Plan FX rates)2 CASH FLOW $ in millions Q2'26 Q2'25
Slide 7: FY'26 and Q3'26 Guidance
FY’26 AND Q3’26 GUIDANCE $ in millions except per share amounts Previous FY'26 FY’26 YoY Growth FY’26 Guidance3 Q3’26 Guidance5 % rounded to the nearest half Guidance Guidance Constant currency ARR excluding divested 7.5% to 9.5% growth 7.5% to 9.5% growth 7.5% to 9.5% 8% to 9% growth businesses (FY
Slide 8: Q&A
Q& A 8
Slide 9: Thank You
THANK YOU p t c . co m
Slide 10: Appendix
APPENDIX 10
Slide 11: FY'26 Guidance Includes the Following Assumptions
APPENDIX: FY’26 GUIDANCE INCLUDES THE FOLLOWING ASSUMPTIONS We provide ARR guidance on a constant currency basis, using our FY’26 Plan foreign exchange rates (rates as of September 30, 2025) for all periods. We expect churn to remain low. We expect the majority of our cash generation to occur in the
Slide 12: FY'26 Illustrative Constant Currency ARR Model
APPENDIX: FY’26 ILLUSTRATIVE CONSTANT CURRENCY ARR MODEL What does PTC need to deliver to achieve our constant currency ARR guidance? PTC excluding Kepware and ThingWorx What you need to Using FX rates as of September 30, 2025 Actual believe $ in millions FY'25 FY'26 Beginning ARR $2,123 $2,3201 End
Slide 13: Q3'26 Illustrative Constant Currency ARR Model
APPENDIX: Q3’26 ILLUSTRATIVE CONSTANT CURRENCY ARR MODEL What does PTC need to deliver to achieve our constant currency ARR guidance? PTC excluding Kepware and ThingWorx What you need to Using FX rates as of September 30, 2025 Actual Actual Actual Actual Actual Actual believe $ in millions Q1'25 Q2'
Slide 14: ARR by Product Group and Geographic Region Excluding Kepware and ThingWorx
APPENDIX: ARR BY PRODUCT GROUP AND GEOGRAPHIC REGION EXCLUDING KEPWARE AND THINGWORX CAD: Product data authoring software PLM: Product data management and process orchestration software $982 $970 $1,406 $1,394 +8% +10% $ in millions +9% +11% $911 $1,289 $880 $1,256 As Constant Reported Currency1 Q2'
Slide 15: Balance Sheet and Share Repurchases
APPENDIX: BALANCE SHEET AND SHARE REPURCHASES Balance sheet $ in millions Q2'26 Q1'26 Change Cash and cash equivalents $ 439 $ 210 $ 229 Senior notes with a fixed interest rate of 4.0% as of Q2'26 500 500 - Term loan with a variable interest rate of 5.1% as of Q2'26 456 463 (6) $1,250 revolving cred
Slide 16: Illustrative Operating Cash Flow Details
APPENDIX: ILLUSTRATIVE OPERATING CASH FLOW DETAILS Significant FY’26 items impacting the FY’26 operating cash flow baseline for modelling FY’27 $ in millions $1,200 $110 $1,000 $40 $960 $880 $(70) $800 $600 $400 $200 $- Divestiture-related… Normalized FY’26 OCF Divestiture-related Divestiture-relate
Slide 17: Illustrative Free Cash Flow Details
APPENDIX: ILLUSTRATIVE FREE CASH FLOW DETAILS1 Significant FY’26 items impacting the FY’26 free cash flow baseline for modelling FY’27 $ in millions $1,200 $110 $20 $1,000 $950 $850 $40 $(70) $800 $600 $400 $200 $- Divestiture-related… Normalized FY’26 FCF Divestiture-related Divestiture-related R&D
Slide 18: FX Impact on ARR
APPENDIX: FX IMPACT ON ARR $ in millions Excluding Kepware and ThingWorx Q3'26 FY'26 Q1'25 Q2'25 Q3'25 Q4'25 Q1'26 Q2'26 Guidance Guidance Using FX rates as of September 30, 2025 (FY'26 Plan FX rates) Midpoint Midpoint 1 $2,3201 1 Ending ARR on a constant currency basis $ 2,148 $2,200 $2,245 $2,342
Slide 19: PLM Expansion and Standardization on Windchill at a Naval Engineering Company
APPENDIX: PLM EXPANSION AND STANDARDIZATION ON WINDCHILL AT A NAVAL ENGINEERING COMPANY Goal This customer is an industry leading naval engineering company and a long- standing Windchill customer. They are focused on accelerating time to market and improving productivity by establishing a strong pro
Slide 20: Competitive Displacement and Standardization on Creo at a Defense Company
APPENDIX: COMPETITIVE DISPLACEMENT AND STANDARDIZATION ON CREO AT A DEFENSE COMPANY Goal This customer is a global leader in advanced defense systems and a long-standing Creo and Windchill customer. To support their rapid growth and increasing backlog, this customer is investing further to ensure th
Slide 21: Competitive Displacement and Standardization on Codebeamer at an AI Leader
APPENDIX: COMPETITIVE DISPLACEMENT AND STANDARDIZATION ON CODEBEAMER AT AN AI LEADER Goal This customer is a global leader in high performance computing and AI and a long-standing Creo and Windchill customer. This customer is focused on handling software-driven complexity, when time to market and sa
Slide 22: Enterprise Transformation Supported by Windchill and Creo at an Edge-to-Core AI Leader
APPENDIX: ENTERPRISE TRANSFORMATION SUPPORTED BY WINDCHILL AND CREO AT AN EDGE-TO-CORE AI LEADER Goal This customer is a global leader in technology and hardware computing and a long-standing Creo and Windchill customer. This customer is executing an enterprise-wide transformation, focused on modern
Slide 23: Competitive Displacement Driven by Windchill AI at an Automotive Company
APPENDIX: COMPETITIVE DISPLACEMENT DRIVEN BY WINDCHILL AI AT AN AUTOMOTIVE COMPANY Goal This customer is a supplier to the automotive industry and a global leader in powertrain technologies. Their product complexity has increased alongside the broader software-driven transformation in the automotive
Slide 24: PLM Expansion and Standardization on Windchill at an Industrial Company
APPENDIX: PLM EXPANSION AND STANDARDIZATION ON WINDCHILL AT AN INDUSTRIAL COMPANY Goal This customer is global industrial company with a strong presence across agriculture, construction machinery, marine, and energy systems. They are a long-standing Creo and Windchill customer, and they are stepping
Slide 25: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS Statements in this document that are not historic facts, including statements about our future operating, financial and growth expectations, potential stock repurchases, and the anticipated benefits of the sale of the Kepware and ThingWorx businesses (the "divestiture") ar
Slide 26: Operating Measure
OPERATING MEASURE ARR: ARR (Annual Run Rate) represents the annualized value of our portfolio of active subscription software, SaaS, hosting, and support contracts as of the end of the reporting period. We calculate ARR as follows: We consider a contract to be active when the product or service cont
Slide 27: Non-GAAP Financial Measures
NON-GAAP FINANCIAL MEASURES We provide supplemental non-GAAP financial measures to our financial results. We use these non-GAAP financial measures, and we believe that they assist our investors, to make period-to-period comparisons of our operating performance because they provide a view of our oper
Slide 28: Reconciliation of Non-GAAP Financial Measures to GAAP
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO GAAP Free Cash Flow In millions Q2'25 Q2'26 Q3'26 Guidance FY'26 Guidance Operating Cash Flow $281 $321 $255 to $260 ~$880 Capital expenditures ($3) ($3) ~($15) ~($30) Free cash flow $279 $318 $240 to $245 ~$850 Diluted Earnings per Share: GAAP vs. No