Company: PTC
Filing Date: 2025-02-06
Form Type: 10-Q
Source: 0000950170-25-015530
Chunk: 46

Company: PTC INC.
Filing Date: 2025-02-06
Form: 10-Q
Item: Part I, Item 8
Chunk 46
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    )%

    Total operating expenses
     
    $
    337.8

    $
    321.5

    5
    %

Total headcount increased 2% between Q1’24 and Q1’25.

Operating expenses in Q1'25 increased compared to Q1'24, primarily due to the following:

•a $20 million increase in compensation expense (excluding stock-based compensation expense), mainly driven by Q1'25 severance related to the go-to-market realignment (which is primarily included in Sales and marketing); and

•a $5 million increase in outside services, driven by consulting services related to our go-to-market realignment and other corporate initiatives; 

20

partially offset by:

•a $4 million decrease in stock-based compensation, driven in part by the Q1'24 acceleration of expense on equity grants held by our former chief executive officer (which is included in General and administrative).

Interest Expense

    (Dollar amounts in millions)
     
    Three months ended

    December 31, 2024

    December 31, 2023

    Percent Change

    Interest expense
     
    $
    (22.0
    )
     
    $
    (35.3
    )

    (38
    )%

Interest expense in both Q1'25 and Q1'24 includes interest on our revolving credit facility, term loan, and our senior notes due 2025 and 2028. Interest expense decreased in Q1'25 compared to Q1'24 due to lower aggregate debt.

Other Income (Expense)

    (Dollar amounts in millions)
     
    Three months ended

    December 31, 2024

    December 31, 2023

    Percent Change

    Interest income
     
    $
    0.9

    $
    1.3

    (27
    )%

    Other income (expense), net

    (1.2
    )

    0.9

    (232
    )%

    Other income (expense), net
     
    $
    (0.3
    )
     
    $
    2.2

    (115
    )%

Other income (expense), net was lower in Q1'25 compared to Q1'24, driven by foreign currency exchange losses.

Income Taxes

    (Dollar amounts in millions)
     
    Three months ended

    December 31,