Company: PTC
Filing Date: 2025-02-06
Form Type: 10-Q
Source: 0000950170-25-015530
Chunk: 88

Company: PTC INC.
Filing Date: 2025-02-06
Form: 10-Q
Item: Part I, Item 1
Chunk 88
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 Cash and cash equivalents include highly liquid investments with original maturities of three months or less.

Due to the stability of our subscription model and consistency of annual, up-front billing, we aim to maintain a low cash balance. A significant portion of our cash is generated and held outside the U.S. As of December 31, 2024, we had cash and cash equivalents of $12.7 million in the U.S., $78.7 million in Europe, $88.2 million in Asia Pacific (including India) and $16.7 million in other countries. We have substantial cash requirements in the U.S. but believe that the combination of our existing U.S. cash and cash equivalents, cash available under our revolving credit facility, future U.S. operating cash flows, and our ability to repatriate cash to the U.S. will be sufficient to meet our ongoing U.S. operating expenses and known capital requirements.

Cash Provided by Operating Activities

Cash provided by operating activities increased $51.1 million in Q1'25 compared to Q1'24. Growth was driven by higher collections as well as lower vendor disbursements and interest payments, partially offset by higher tax payments and payments related to our go-to-market realignment. Interest payments were $29.4 million lower in Q1'25 compared to Q1'24 due to the Q1'24 payment of $30.0 million of imputed interest on a deferred acquisition payment associated with our FY'23 acquisition of ServiceMax.

Cash Provided by (Used in) Investing Activities

Cash provided by investing activities in Q1'25 was driven by inflows from the settlement of net investment hedges. Cash used in investing activities in Q1'24 was driven by the acquisition of pure-systems for $93.5 million.

Cash Used in Financing Activities

Cash used in financing activities in Q1'25 included net payments of $205.1 million on our credit facility and $75.0 million of repurchases of common stock. Cash used in financing activities in Q1'24 included $620.0 million paid to settle the ServiceMax deferred acquisition payment, partially offset by net borrowings of $558.4 million to fund the ServiceMax deferred acquisition payment and the pure-systems acquisition.

22

Outstanding Debt

    (in millions)
     
    December 31, 2024

    September 30, 2024

    4.000% Senior notes due 2028
     
    $