Slide 1: Q1'26 Financial Results
Q1’26 FINANCIAL RESULTS Neil Barua CEO Jennifer DiRico CFO February 4, 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 Q1'26 Q1'25 YoY Change Q1'26 Guidance ARR as reported $2,494 $2,205 13% Constant currency ARR excluding Kepware and $2,341 $2,148 9.0% 8.5% to 9% growth ThingWorx at FY'26 Plan FX rates1 Constant currency ARR including Kepware and 1 $2,500 $2,307 8.4
Slide 7: FY'26 and Q2'26 Guidance
FY’26 AND Q2’26 GUIDANCE $ in millions except per share amounts FY’26 FY’26 FY’26 YoY Growth Q2’26 % rounded to the nearest half Previous Guidance Guidance Guidance Guidance Constant currency ARR, excluding Kepware and 7.5% to 9.5% growth 7.5% to 9.5% growth 7.5% to 9.5% 8% to 8.5% growth ThingWorx,
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: Appendix: FY'26 Guidance Includes the Following Assumptions
APPENDIX: FY’26 GUIDANCE INCLUDES THE FOLLOWING ASSUMPTIONS The guidance assumptions below reflect our business as currently constituted and do not take into account the effect of the K epware and ThingWorx divestiture, except for costs already incurred in Q1’26 and expected in Q2’26. We still expec
Slide 12: Appendix: 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 $ 2,319 Us
Slide 13: Appendix: Q2'26 Illustrative Constant Currency ARR Model
APPENDIX: Q2’26 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 believe $ in millions Q1'25 Q2'25 Q3'2
Slide 14: Appendix: ARR by Product Group and 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 $961 $964 $1,374 $1,377 +13% +8% +14% +10% $895 $ in millions $1,253 $848 $1,203 As Constant Reported Currency1 Q1
Slide 15: Appendix: ARR by Product Group and Region Including Kepware and ThingWorx
APPENDIX: ARR BY PRODUCT GROUP AND GEOGRAPHIC REGION INCLUDING KEPWARE AND THINGWORX CAD: Product data authoring software PLM: Product data management and process orchestration software $961 $964 $1,533 $1,536 +13% +8% +13% +9% $895 $ in millions $1,412 $848 $1,357 As Constant Reported Currency1 Q1'
Slide 16: Appendix: Balance Sheet and Share Repurchases
APPENDIX: BALANCE SHEET AND SHARE REPURCHASES Balance sheet $ in millions Q1'26 Q4'25 Change Cash and cash equivalents $ 210 $ 184 $ 25 Senior notes with a fixed interest rate of 4.0% as of Q1'26 500 500 - Term loan with a variable interest rate of 5.1% as of Q1'26 463 469 (6) $1,250 revolving credi
Slide 17: Appendix: FX Impact on ARR
APPENDIX: FX IMPACT ON ARR Excluding Kepware and ThingWorx Q2'26 FY'26 Q1'25 Q2'25 Q3'25 Q4'25 Q1'26 Guidance Guidance Using FX rates as of September 30, 2025 (FY'26 Plan FX rates) Midpoint Midpoint Ending ARR on a constant currency basis $ 2,148 $ 2,200 $ 2,244 $ 2,319 $ 2,341 $ 2,384 $ 2,514 Exclu
Slide 18: Appendix: Garrett Transforming New Product Development with Windchill+ and Codebeamer+
APPENDIX: GARRETT TRANSFORMING NEW PRODUCT DEVELOPMENT WITH WINDCHILL+ AND CODEBEAMER+ Goal Garrett Motion’s mission is to enable the transportation industry to advance motion through unique, differentiated innovations. Garrett Motion is transforming its new product development processes with a clou
Slide 19: Appendix: Standardizing on Creo, Windchill, and ServiceMax at an Industrial Company
APPENDIX: STANDARDIZING ON CREO, WINDCHILL, AND SERVICEMAX AT AN INDUSTRIAL COMPANY Goal This customer is a global leader in energy management solutions with over 100,000 employees and over 150 manufacturing facilities. They are focused on establishing a strong product data foundation and a unified
Slide 20: Appendix: Windchill+ Competitive Displacement at an Industrial Company
APPENDIX: WINDCHILL+ COMPETITIVE DISPLACEMENT AT AN INDUSTRIAL COMPANY Goal This customer is an electrical and utility solutions provider that provides a broad range of products for residential, commercial, industrial, and utility markets. They are focused on. accelerating time to market for new pro
Slide 21: Appendix: Windchill Competitive Displacement at a Medical Technology Company
APPENDIX: WINDCHILL COMPETITIVE DISPLACEMENT AT A MEDICAL TECHNOLOGY COMPANY Goal This leading medical device manufacturer has over 30,000 employees and a global presence, operating in more than 150 countries. Their range of medical products and equipment is extensive – supporting catheter-based tre
Slide 22: Appendix: Unifying Engineering and Services with ServiceMax Cross-Sell
APPENDIX: UNIFYING ENGINEERING AND SERVICES WITH SERVICEMAX CROSS-SELL AT AN INDUSTRIAL COMPANY Goal This customer is a global leader in innovative solutions for measurement, testing, and process control. They have embarked on a comprehensive digital transformation, starting with their core engineer
Slide 23: 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, the expected timing of closing the sale of the Kepware and ThingWorx businesses (the “divestiture”), an
Slide 24: 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 25: 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 26: Reconciliation of Non-GAAP Financial Measures to GAAP
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES TO GAAP Free Cash Flow In millions Q1'25 Q1'26 Q2'26 Guidance FY'26 Guidance Operating Cash Flow $238 $270 $315 to $320 ~$1,030 Capital expenditures ($3) ($2) ~($5) ~($30) Free cash flow $236 $267 $310 to $315 ~$1,000 Diluted Earnings per Share: GAAP vs.
Slide 27: Important Information About Non-GAAP References
Important Information About Non-GAAP References 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 per
Slide 28: Consolidated Balance Sheets
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 Consolidated Balance Sheets Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 31-Dec (in millions) ASSETS Current assets: Cash and cash equivalents $ 327 $ 272 $ 288 $ 266 $ 196 $ 235 $ 199 $ 1
Slide 29: Consolidated Statements of Operations - GAAP
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 Consolidated Statements of Operations - GAAP Yr Ended Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec (in millions, except per share amounts) Revenue: Recurring revenue $ 1,616 $ 1,736 $ 1,908 $ 2,134 $ 2,601 $ 657 Perpetual
Slide 30: Consolidated Statements of Operations - Reconciliation between GAAP and Non-GAAP
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 Consolidated Statements of Operations - Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended Reconciliation between GAAP and Non-GAAP 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions, except per share amounts and %) GA
Slide 31: Consolidated Statements of Cash Flows
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 Consolidated Statements of Cash Flows Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions) Cash flows from operating activities: Net income $ 477 $ 313 $ 246 $ 376 $ 82
Slide 32: ARR by Product Group
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 in Constant Currency at FY26 Plan Rate Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions) ARR by Product Group: CAD $ 656 $ 731 $ 802 $ 881 $ 895 $ 911 $ 928 $ 956 $
Slide 33: ARR by Region
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 in Constant Currency at FY26 Plan Rate Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions) ARR by region: Americas $ 676 $ 794 $ 999 $ 1,099 $ 1,107 $ 1,125 $ 1,140 $
Slide 34: ARR by Distribution Type
[1] [1] [1] FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 (1) in Constant Currency at FY26 Plan Rate Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions) ARR by distribution type Direct $ 1,012 $ 1,193 $ 1,521 $ 1,
Slide 35: Software Revenue by Product Group
FY'21 FY'22 FY'23 FY'24 FY'25 FY'26 Software Revenue by Product Group [1] Yr Ended Yr Ended Yr Ended Yr Ended Qtr Ended Yr Ended Qtr Ended 30-Sep 30-Sep 30-Sep 30-Sep 31-Dec 31-Mar 30-Jun 30-Sep 30-Sep 31-Dec (in millions) Software Revenue by Product Group: CAD $ 786 $ 790 $ 761 $ 833 $ 210 $ 239 $