Autodesk 2002 Annual Report Download - page 22

are made. This situation occurred during fiscal 2002. During the fourth quarter of fiscal 2002, we recorded
additional charges as a result of the inability to sublease offices abandoned earlier in the fiscal year. If the real
estate markets subsequently improve, and we are able to sublease the properties earlier or at more favorable rates
than projected, we will reverse some of the underlying restructuring accruals, which will result in increased net
income in the period when such determinations are made.
Results of Operations
Net Revenues. Our net revenues for fiscal 2002 were $947.5 million as compared to $936.3 million in
fiscal 2001. Increased net revenues in Asia/Pacific and the Americas were partially offset by lower sales in
Europe.
Net revenues for the Discreet Segment were $156.1 million in fiscal 2002 as compared to $193.2 million in
the prior fiscal year as advanced system sales were significantly affected by a slowdown in the media, advertising
and entertainment sectors. Should this slowdown continue, the Discreet Segment net revenues in fiscal 2003 will
be adversely affected.
Net revenues for the Design Solutions Segment were $791.4 million in fiscal 2002 as compared to $743.1
million in the prior fiscal year. The Design Solutions Segment consists primarily of the Geographic Information
Services (“GIS”), Building Industry, Manufacturing and Platform Technology divisions. These divisions have
industry-specific focuses.
Net revenues from sales of GIS products increased to $116.4 million in fiscal 2002 from $97.5 million in
fiscal 2001. Net revenues from sales of Building Industry products increased to $82.9 million in fiscal 2002 from
$57.6 million in fiscal 2001. Net revenues from sales of Platform Technology products increased to
$461.9 million in fiscal 2002 from $454.0 million in fiscal 2001. These increases were partially offset by lower
net revenues from sales of Manufacturing products, which were $130.2 million in fiscal 2002 as compared to
$134.0 million in fiscal 2001. The overall increase in segment revenues was attributable to a stronger portfolio of
product offerings, such as Autodesk Inventor, Autodesk Architectural Desktop, Autodesk Map, Autodesk Land
Desktop and AutoCAD 2002, and increased customer demand for greater productivity tools. Although we have
been reducing our dependence on AutoCAD, sales of AutoCAD and AutoCAD upgrades continue to be a
significant portion of our net revenues. Such sales, which are reflected in the net revenues for the Platform
Technology division, accounted for approximately 32 percent of our consolidated net revenues in fiscal 2002 and
33 percent of our consolidated net revenues in fiscal 2001.
The stronger value of the U.S. dollar, relative to international currencies, had a negative impact on net
revenues in fiscal 2002. Had exchange rates from the prior year been in effect in fiscal 2002, translated
international revenue billed in local currencies would have been $23.2 million higher. Continued strength of the
U.S. dollar would have a negative impact on net revenues in fiscal 2003.
International sales accounted for approximately 65 percent of our net revenues in fiscal 2002 as compared to
64 percent in the prior fiscal year. We believe that international sales will continue to be a significant portion of
total revenues. Many world economies are in the midst of current economic slowdowns. Economic weakness in
any of the countries which contribute a significant portion of our net revenues would have a material adverse
effect on our business.
Our net revenues for fiscal 2001 were $936.3 million, as compared to $848.1 million in fiscal 2000. The 10
percent growth reflected increased net revenues of 14 percent in the Americas and 22 percent in Asia/Pacific as
compared to the prior fiscal year. Despite unfavorable exchange rate movements, net revenues in Europe
remained flat compared to the prior fiscal year.
Net revenues for the Discreet Segment increased 11 percent in fiscal 2001 as compared to the prior fiscal
year. This was due to increased demand for our high-end special effects, post-production and broadcast products.
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