Company: PTC
Filing Date: 2025-11-21
Form Type: 10-K
Source: 0001193125-25-291326
Chunk: 22

Company: PTC INC.
Filing Date: 2025-11-21
Form: 10-K
Item: Item 6
Chunk 22
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     Total cost of revenue

     445.0

     444.8

     0
     %

     0
     %

     Gross margin

     2,294.2

     1,853.7

     24
     %

     23
     %

     Operating expenses

     1,311.9

     1,265.6

     4
     %

     3
     %

     Operating income
      
     $
     982.4

     $
     588.1

     67
     %

     64
     %

     Non-GAAP operating income(1)
      
     $
     1,302.1

     $
     894.3

     46
     %

     44
     %

     Operating margin

     36
     %

     26
     %

     Non-GAAP operating margin(1)

     48
     %

     39
     %

     Diluted earnings per share(3)
      
     $
     6.08

     $
     3.12

     Non-GAAP diluted earnings per share(1)(3)
      
     $
     7.94

     $
     5.08

     Cash provided by operating activities
      
     $
     867.7

     $
     750.0

     Capital expenditures

     (11.0
     )

     (14.4
     )

     Free cash flow
      
     $
     856.7

     $
     735.6

    (1)See Operating and Non-GAAP Financial Measures below for a reconciliation of our GAAP results to our non-GAAP financial measures and Impact of Foreign Currency Exchange on Results of Operations below for a description of how we calculate our results on a constant currency basis. (2)Recurring revenue is comprised of on-premises subscription, perpetual support, SaaS, and hosting services revenue.(3)This amount differs from our Q4'25 earnings release due to an immaterial adjustment related to foreign currency option contracts entered into in Q4'25 resulting in a $7.0 million decrease in Net income and a $0.06 decrease in GAAP and non-GAAP Diluted earnings per share.Impact of Foreign Currency Exchange on Results of Operations Approximately 50% of our revenue and 35% of our expenses are transacted in currencies other than the U.S. Dollar