Autodesk Inc (NASDAQ:ADSK) stock plunges 10.92% (As on February 24, 11:51:17 AM UTC-4, Source: Google Finance) though the company posted better than expected results for the fourth quarter of FY 23. Total billings increased 28 percent to $2.12 billion. Design revenue was $1.11 billion, an increase of 9 percent as reported, and 12 percent on a constant currency basis. On a sequential basis, Design revenue increased 2 percent as reported and on a constant currency basis. Make revenue was $119 million, an increase of 20 percent as reported, and 21 percent on a constant currency basis. On a sequential basis, Make revenue increased 2 percent as reported and on a constant currency basis. Subscription plan revenue was $1.21 billion, an increase of 11 percent as reported, and 14 percent on a constant currency basis.  On a sequential basis, subscription plan revenue increased 2 percent as reported and on a constant currency basis. Net revenue retention rate was within the range of 100 to 110 percent.

Moreover, deferred revenue increased 21 percent to $4.58 billion.  Unbilled deferred revenue was $1.04 billion, an increase of $94 million compared to the fourth quarter of last year. Remaining performance obligations (RPO) increased 19 percent to $5.62 billion. Current RPO increased 12 percent to $3.52 billion. Cash flow from operating activities was $911 million, an increase of $189 million compared to the fourth quarter last year.  Free cash flow was $903 million, an increase of $187 million compared to the fourth quarter last year.

ADSK in the fourth quarter of FY 23 has reported the adjusted earnings per share of $1.86, beating the analysts’ estimates for the adjusted earnings per share of $1.81. The company had reported the adjusted revenue growth of 9 percent to $1.32 billion in the fourth quarter of FY 23, beating the analysts’ estimates for revenue of $1.31 billion. Recurring revenue represents 98 percent of total. Total non-GAAP operating income was $479 million, compared to $421 million in the fourth quarter last year. Non-GAAP operating margin was 36 percent, up 1 percentage point.

For the current quarter ending in April, Autodesk expects its per-share earnings to range from $1.50 to $1.56. Analysts surveyed by Zacks had forecast adjusted earnings per share of $1.66. The company said it expects revenue in the range of $1.26 billion to $1.27 billion for the fiscal first quarter. Analysts surveyed by Zacks had expected revenue of $1.27 billion.

Autodesk expects full-year earnings in the range of $6.98 to $7.32 per share.