Autodesk (ADSK 112.01, -17.94) has surrendered 13.8% as the company's subscription guidance cut overshadows results that were largely in line with estimates. It is worth noting that today's pullback comes just days after the stock set a fresh record high, extending its 2017 advance to more than 75.0%.
Autodesk expects to add between 625,000 and 650,000 net subscribers during the fiscal year, down from previous guidance for net additions between 625,000 and 675,000.
In addition to reporting earnings, the company shed light on its restructuring plan aimed at digitizing the company and reorganizing its manufacturing, construction, and production. The company hopes that its plan will result in flat non-GAAP spending in fiscal 2019. A pre-tax restructuring charge between $135 million and $149 million is anticipated, with up to $100 million in pre-tax charges being taken out in the fourth quarter of the fiscal year.
During the third quarter, the company reported a loss of $0.12 per share, which was just shy of estimates. Revenue increased 5.2% year-over-year to $515.30 million, which was a bit better than expected.
Total annualized recurring revenue grew 24.0% year-over-year to $1.90 billion while subscription plan subscriptions increased by 307,000 quarter-over-quarter, ending the quarter at 1.9 million. Total subscriptions increased by 146,000 quarter-over-quarter to 3.6 million.
Deferred revenue grew 15.0% year-over-year to $1.76 billion while unbilled deferred revenue ended the quarter at $148 million.