Revenue growth accelerated to 14.5% in 2026Q1, while operating margins expanded significantly to 29.8% from 17.6% in 2024Q4, reflecting improved operational leverage.
| Sales/Revenue | 1.56B | 1.5B | 1.35B | 1.23B | 1.1B | 965.05M | 801.54M | 736.65M | 691.71M |
| Revenue Growth % | 12.23% | 10.99% | 10.15% | 11.77% | 13.89% | 20.4% | 8.81% | 6.5% | - |
| Cost of Goods Sold | 285.64M | 277.53M | 257.77M | 318.18M | 237.01M | 216.54M | 167.16M | 144.15M | 131.32M |
| COGS % of Revenue | - | 18.48% | 19.05% | 25.9% | 21.56% | 22.44% | 20.85% | 19.57% | 18.99% |
| Gross Profit | 1.27B | 1.22B | 1.1B | 910.24M | 862.07M | 748.51M | 634.39M | 592.5M | 560.39M |
| Gross Margin % | 81.64% | 81.52% | 80.95% | 74.1% | 78.44% | 77.56% | 79.15% | 80.43% | 81.01% |
| Gross Profit Growth % | - | 11.77% | 20.33% | 5.59% | 15.17% | 17.99% | 7.07% | 5.73% | - |
| Operating Expenses | 896.08M | 861.63M | 793.18M | 679.69M | 653.46M | 653.92M | 484.24M | 450.64M | 439M |
| OpEx % of Revenue | - | 57.37% | 58.62% | 55.33% | 59.45% | 67.76% | 60.41% | 61.17% | 63.47% |
| Selling, General & Admin | 530.54M | 506.88M | 477.93M | 418.65M | 354.49M | 407.4M | 257.24M | 252.87M | 249.96M |
| SG&A % of Revenue | - | 33.75% | 35.32% | 34.08% | 32.25% | 42.22% | 32.09% | 34.33% | 36.14% |
| Research & Development | 318.13M | 307.58M | 281.25M | 274.62M | 257.86M | 220.91M | 185.51M | 183.55M | 175.03M |
| R&D % of Revenue | - | 20.48% | 20.79% | 22.36% | 23.46% | 22.89% | 23.14% | 24.92% | 25.3% |
| Other Operating Expenses | 4M | 47.18M | 34M | -13.58M | 41.11M | 25.6M | 41.48M | 14.21M | 654K |
| Operating Income | 373.7M | 362.62M | 302.15M | 230.54M | 208.61M | 94.59M | 150.15M | 141.87M | 121.39M |
| Operating Margin % | 24.03% | 24.15% | 22.33% | 18.77% | 18.98% | 9.8% | 18.73% | 19.26% | 17.55% |
| Operating Income Growth % | - | 20.01% | 31.06% | 10.51% | 120.55% | -37% | 5.84% | 16.87% | - |
| EBITDA | 470.46M | 428.5M | 366.76M | 294.13M | 280.15M | 139.53M | 186.27M | 174.03M | 147.53M |
| EBITDA Margin % | 30.25% | 28.53% | 27.11% | 23.94% | 25.49% | 14.46% | 23.24% | 23.62% | 21.33% |
| EBITDA Growth % | 20.86% | 16.83% | 24.69% | 4.99% | 100.78% | -25.09% | 7.03% | 17.96% | - |
| D&A (Non-Cash Add-back) | 96.76M | 65.88M | 64.61M | 63.59M | 71.54M | 44.94M | 36.12M | 32.16M | 26.14M |
| EBIT | 390.06M | 363.17M | 317.83M | 224.86M | 233.33M | 107.4M | 174.84M | 137.84M | 122.47M |
| Net Interest Income | -31.31M | -12.44M | -22.04M | -39.79M | -34.63M | -11.22M | -7.48M | -8.2M | -8.77M |
| Interest Income | 3.21M | 0 | 2.73M | 1.54M | 421K | 306K | 437K | 1.53M | 842K |
| Interest Expense | 34.51M | 12.44M | 24.77M | 41.33M | 35.06M | 11.53M | 7.91M | 9.73M | 9.61M |
| Other Income/Expense | -16.25M | -11.89M | -8.99M | -47.02M | -12.55M | -1.26M | 15M | -15.03M | -8.53M |
| Pretax Income | 357.45M | 350.73M | 293.16M | 183.53M | 196.06M | 93.33M | 165.15M | 126.83M | 112.86M |
| Pretax Margin % | 22.98% | 23.35% | 21.67% | 14.94% | 17.84% | 9.67% | 20.6% | 17.22% | 16.32% |
| Income Tax | 75.64M | 72.98M | 58.73M | -143.24M | 21.28M | -3.45M | 38.63M | 23.74M | -29.25M |
| Effective Tax Rate % | 21.16% | 20.81% | 20.03% | -78.05% | 10.86% | -3.69% | 23.39% | 18.72% | -25.92% |
| Net Income | 281.88M | 277.86M | 234.79M | 326.79M | 174.78M | 93.19M | 126.52M | 103.1M | 142.11M |
| Net Margin % | 18.12% | 18.5% | 17.35% | 26.6% | 15.9% | 9.66% | 15.78% | 14% | 20.54% |
| Net Income Growth % | 10.18% | 18.35% | -28.15% | 86.97% | 87.55% | -26.34% | 22.72% | -27.45% | - |
| Net Income (Continuing) | 281.81M | 277.86M | 234.43M | 326.77M | 174.78M | 96.78M | 126.52M | 103.1M | 142.11M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 41K | 79K | 133K | 704K | 704K | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.88 | 0.85 | 0.72 | 1.00 | 0.53 | 0.30 | 0.42 | 0.39 | 0.54 |
| EPS Growth % | 10.13% | 18.06% | -28% | 88.68% | 76.67% | -28.57% | 7.69% | -27.78% | - |
| EPS (Basic) | - | 0.88 | 0.75 | 1.07 | 0.57 | 0.30 | 0.44 | 0.39 | 0.54 |
| Diluted Shares Outstanding | 321.84M | 333.09M | 333.77M | 332.5M | 331.77M | 314.61M | 299.37M | 261.23M | 261.23M |
| Basic Shares Outstanding | 312.59M | 314.69M | 314.89M | 312.36M | 309.23M | 305.71M | 289.86M | 261.23M | 261.23M |
| Dividend Payout Ratio | - | 30.58% | 30.72% | 17.98% | 19.74% | 35.84% | 334.05% | 24.24% | 14.11% |
Consumption model revenue volatility
According to the most recent quarterly financial data, BSY achieved a 14.5% year-over-year revenue growth rate in 2026Q1, signaling an acceleration from the 7.4% growth observed in 2024Q1 as the company continues to benefit from long-term infrastructure investment cycles and the ongoing transition to consumption-based subscription models.
The consistent upward trend in top-line performance suggests that the company's shift toward the E365 model is successfully capturing increased utilization across its core engineering user base. Investors should monitor whether this growth trajectory remains sustainable as the company scales its Digital Twin platform, which may introduce new revenue recognition patterns.
As reported in recent income statements, BSY maintains a robust gross margin profile, peaking at 82.6% in 2026Q1, which reflects the inherent scalability of its specialized software offerings despite potential cost pressures from cloud-hosted infrastructure requirements and the integration of acquired geotechnical modeling assets into the broader portfolio.
The stability of these margins suggests that the company retains significant pricing power within its niche infrastructure segments, effectively offsetting the marginal costs associated with cloud delivery. This high-margin foundation appears to provide the necessary flexibility to continue funding R&D initiatives without compromising overall profitability.
Based on the provided financial figures, BSY demonstrated improved operating leverage in 2026Q1, with operating margins reaching 29.8% compared to 17.6% in 2024Q4, indicating that the company is successfully managing its SG&A expenses while simultaneously scaling its core revenue streams across global infrastructure and utility end-markets.
The ability to expand operating margins while maintaining high R&D investment suggests that the company is achieving greater efficiency in its sales and marketing efforts. This trend warrants further investigation to determine if it reflects a permanent shift in cost structure or temporary fluctuations in discretionary spending.
Analysis of the reported income statements reveals that stock-based compensation remains a recurring line item, with $17.5 million recorded in 2025Q4, which investors should consider when evaluating the quality of net income and the underlying cash-generating capability of the firm's core software-as-a-service business model.
While reported net income shows volatility, the underlying earnings quality appears supported by the recurring nature of subscription revenue. However, the impact of non-cash expenses and periodic M&A-related costs suggests that analysts should focus on normalized earnings metrics to better gauge the true operational performance of the business.
Based on the recent transition to the E365 consumption model, there is an analytical risk that quarterly revenue may exhibit increased volatility, as evidenced by the shift in operating margins from 31.1% in 2025Q1 to 20.0% in 2025Q4, potentially complicating the market's ability to forecast short-term performance.
Short-sellers may focus on this potential for quarterly earnings misses as the company moves away from the predictability of fixed-term subscriptions. Investors should monitor whether this volatility is merely a transitionary phase or a structural change that could lead to a re-rating of the company's valuation multiples.
Quick answers to the most common questions about buying BSY stock.
For fiscal year 2025, Bentley Systems, Incorporated (BSY) reported total revenue of $1.50B. This represents a 117.1% increase compared to $691.7M in 2018.
Bentley Systems, Incorporated (BSY) is profitable, generating $277.9M in net income for the fiscal year ending 2025 with a net profit margin of 18.5%.
Bentley Systems, Incorporated (BSY) reported an operating income of $362.6M, resulting in an operating profit margin of 24.1%. This margin reflects the operational efficiency of the business before interest and taxes.
Bentley Systems, Incorporated (BSY) generated $1.22B in gross profit for the year, representing a gross profit margin of 81.5%. This demonstrates the company's core pricing power and production efficiency.