Autodesk 2010 Annual Report Download - page 109

The growth in billings for maintenance contracts began to slow in the second quarter of fiscal 2009, and
maintenance billings declined year over year in the twelve months ended January 31, 2010. We recognize the
revenue ratably over the life of the maintenance contracts, which is predominantly one year, but may also be two or
three year terms. This year-over-year decrease in maintenance billings will cause downward pressure on future
maintenance revenue, however future maintenance revenue will also be impacted by other factors such as the
amount, timing and mix of contract terms of future billings.
Our operating results fluctuate within each quarter and from quarter to quarter making our future revenue
and operating results difficult to predict.
Our quarterly operating results have fluctuated in the past and may do so in the future. These fluctuations
could cause our stock price to change significantly or experience declines. In addition to the other factors
described in this Part I, Item 1A, some of the factors that could cause our operating results to fluctuate include:
• general market, economic and business conditions,
• lower growth or contraction of our upgrade or maintenance programs,
• fluctuations in foreign currency exchange rates,
• the impact of sales in particular geographies, including emerging economies,
• failure to expand our AutoCAD and AutoCAD LT products customer base to related vertical design
products and model-based design products,
• the timing of the introduction of new products by us or our competitors,
• the financial and business condition of our reseller and distribution channels,
• stock-based compensation expense,
• higher unemployment,
• weak or negative growth in the industries we serve including architecture, engineering and
construction, manufacturing, geospatial mapping and digital media and entertainment markets,
• failure to achieve anticipated levels of customer acceptance of key new applications,
• failure to follow sales policies,
• restructuring or other accounting charges,
• unexpected costs or other operating expenses,
• pricing pressure or changes in product pricing or product mix,
• platform changes,
• timing of product releases and retirements,
• failure to continue momentum of frequent release cycles or to move a significant number of customers
from prior product versions in connection with our programs to retire major products,
• failure to accurately predict the impact of acquired businesses or to identify and realize the anticipated
benefits of acquisitions,
• failure to successfully or fully integrate acquired businesses and technologies,
• unexpected or negative outcomes of matters relating to litigation or regulatory inquiries,
• failure to achieve and maintain planned cost reductions and productivity increases,
• unanticipated changes in tax rates and tax laws,
• distribution channel management,
• changes in sales compensation practices,
15