Autodesk 2004 Annual Report Download - page 5

Download and view the complete annual report

Please find page 5 of the 2004 Autodesk annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 96

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96

3
Autodesk, Inc. FY 04
Our revenue growth was driven by strong
new releases of all major products during
the year, putting us in a good position when
the worldwide economy began to recover.
As our customers saw new strength in their
businesses, they began spending again, first
upgrading existing licenses and then buying
new ones. In fact, our upgrade revenue
grew 88 percent over fiscal 2003.
With the economic recovery as a backdrop,
we saw growth in all geographies and all
divisions in fiscal 2004. The Americas experi-
enced strong revenue growth, increasing
9 percent over fiscal 2003 to $410 million.
Europe, the Middle East and Africa (EMEA)
had an outstanding year, with revenue
growing 28 percent year over year, to
$337 million. We saw improvement in most
major economies in EMEA, and Germany
appeared to have halted its economic
decline. Asia Pacific revenues followed suit,
increasing 9 percent year over year to
$205 million, despite a midyear slowdown
due to SARS. We’re happy to report particu-
lar strength in Japan, where the economy
has been picking up since the middle of the
year. Foreign exchange rates also provided
substantial benefit during the year.
The Manufacturing Solutions Division (MSD)
posted revenues of $140 million, an increase
of 17 percent compared with last year.
Once again, Autodesk Inventor Series was
the best-selling 3D manufacturing design
software in the marketplace.
The Infrastructure Solutions Division (ISD)
also turned in an excellent performance.
Revenues increased 12 percent over the
previous year to $115 million. ISD saw par-
ticular strength in the civil engineering
market, offering the only civil engineering
solutions with tools for every task of the
project lifecycle.
The Building Solutions Division (BSD)
finished the year strongly with a 9 percent
increase in revenues to $80 million, despite
continued slow spending in commercial
construction worldwide.
DISCREET
Discreet, our entertainment group, made
an impressive comeback with a 9 percent
revenue increase over fiscal 2003 to
$140 million. Discreet’s powerful products,
coupled with the return of spending in the
critical advertising market, drove strong
performance.
Divisional Review
Our business is organized into two
segments: the Design Solutions
Group, encompassing Autodesk’s
core competency of design technol-
ogy applications, and Discreet, our
media and entertainment group.
DESIGN SOLUTIONS GROUP
Revenues for our Design Solutions Group
(DSG)—comprising the Platform Technology
Division, Manufacturing Solutions Division,
Infrastructure Solutions Division and
Building Solutions Division—reached
$812 million this year, an increase of 17 per-
cent over fiscal 2003. DSG revenues reached
85 percent of total company revenues, on
the strength of customers’ upgrading to
the newest products. Revenues from our
Subscription program reached 14 percent
of DSG revenues for the year, marking
substantial progress toward our goal of
subscriptions amounting to 25 to 30 percent
of total DSG revenues.
The Platform Technology Division (PTD)
showed solid growth, with revenues of
$477 million, an increase of 20 percent com-
pared with last year. AutoCAD revenues
increased 26 percent over the previous year,
with strong growth in new licenses and
upgrades.