Bentley Systems (NASDAQ:BSY) Releases Earnings Results, Beats Expectations By $0.03 EPS

Bentley Systems (NASDAQ:BSY) posted its quarterly earnings results on Thursday. The company reported $0.36 EPS for the quarter, topping analysts’ consensus estimates of $0.33 by $0.03, FiscalAI reports. Bentley Systems had a net margin of 18.10% and a return on equity of 28.43%. The company had revenue of $421.51 million for the quarter, compared to analysts’ expectations of $420.69 million. During the same quarter in the previous year, the firm posted $0.27 EPS. Bentley Systems’s revenue was up 12.2% on a year-over-year basis.

Here are the key takeaways from Bentley Systems’ conference call:

• Growth accelerated: Q3 ARR growth reached 13%, above the company’s prior outlook range, while net revenue retention hit a record 110%. Revenue rose 12.2% year over year to $422 million, with subscription revenue up 12.4%.
• Bentley raised its 2026 ARR growth outlook, excluding Cohesive’s divestiture, to 12.5%–13.5% from 10.5%–12.5%. The Eliis acquisition is expected to add approximately 100 basis points to ARR growth and expand Seequent’s subsurface capabilities.
• The Cohesive divestiture is expected to reduce Q4 revenue by about $12 million and weigh on services revenue through 2027. Bentley said the remaining business will have a more recurring revenue mix, with subscriptions expected to represent about 95% of total revenue, up from 92%.
• Asset analytics contributed meaningfully to ARR growth, supported by enterprise expansions in areas including tower inspection and transportation monitoring. Management said AI monetization is already occurring in asset analytics, while AI-enabled design monetization is expected to begin in 2027 but is not expected to be a material growth driver that year.
• Adjusted operating income less operating stock-based compensation margin improved to 32.1% from 28.1% a year earlier, and the company maintained its full-year profitability and free cash flow outlook. Year-to-date free cash flow was down 8%, which Bentley attributed to collection timing and earlier investment.

Bentley Systems Price Performance

Shares of NASDAQ BSY traded down $0.29 during trading hours on Friday, reaching $44.65. 5,012,172 shares of the stock traded hands, compared to its average volume of 2,413,458. The company has a market capitalization of $12.97 billion, a P/E ratio of 43.77, a price-to-earnings-growth ratio of 2.64 and a beta of 0.98. The company has a quick ratio of 0.59, a current ratio of 0.59 and a debt-to-equity ratio of 1.01. Bentley Systems has a 52-week low of $28.08 and a 52-week high of $48.17. The company’s 50-day simple moving average is $35.61 and its two-hundred day simple moving average is $34.51.

Bentley Systems Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 29th. Investors of record on Tuesday, September 22nd were paid a $0.07 dividend. This represents a $0.28 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend was Tuesday, September 22nd. Bentley Systems’s dividend payout ratio (DPR) is currently 30.77%.

Insider Activity

In related news, Director Raymond Bentley sold 344,203 shares of the business’s stock in a transaction dated Friday, October 30th. The stock was sold at an average price of $40.24, for a total transaction of $13,850,728.72. Following the transaction, the director owned 14,316,404 shares in the company, valued at $576,092,096.96. The trade was a 2.35% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 500,000 shares of company stock valued at $20,089,565 in the last quarter. 20.27% of the stock is currently owned by company insiders.

Key Stories Impacting Bentley Systems

Here are the key news stories impacting Bentley Systems this week:

• Positive Sentiment: Q3 results topped expectations and growth remained strong. Bentley reported adjusted earnings of $0.36 per share versus estimates of about $0.33–$0.34, while revenue of $421.5 million edged past forecasts and rose 12.2% year over year. The company also raised its annual recurring revenue outlook, supporting expectations for continued growth. Bentley Systems reports revenue growth and raises ARR outlook
• Positive Sentiment: Several analysts raised price targets. Oppenheimer lifted its target to $52 and kept an Outperform rating; RBC raised its target to $52 with an Outperform rating; Cantor Fitzgerald set a $55 target and Overweight rating; and Rosenblatt raised its target to $53 with a Buy rating. These revisions signal improved analyst expectations, though targets are not guarantees. Oppenheimer price target update RBC price target update Cantor Fitzgerald price target update Rosenblatt price target update
• Neutral Sentiment: UBS raised its target but stayed Neutral. UBS moved its target to $50 from $40, while maintaining a Neutral rating—an upward valuation revision tempered by a lack of stronger conviction. UBS price target update
• Negative Sentiment: An insider sale may weigh on sentiment. Raymond Bentley reportedly sold 344,203 shares. The report does not establish the reason for the sale, so it is not necessarily a signal about the company’s outlook. Insider share sale report

Wall Street Analysts Forecast Growth

A number of analysts have issued reports on BSY shares. Royal Bank Of Canada raised their target price on Bentley Systems from $48.00 to $52.00 and gave the stock an “outperform” rating in a research report on Friday. Weiss Ratings raised Bentley Systems from a “hold (c-)” rating to a “hold (c)” rating in a research report on Monday, October 19th. BMO Capital Markets increased their price target on Bentley Systems from $41.00 to $43.00 and gave the stock an “outperform” rating in a research note on Friday, August 7th. Rosenblatt Securities lifted their price objective on Bentley Systems from $50.00 to $53.00 and gave the stock a “buy” rating in a report on Friday. Finally, Oppenheimer lifted their price objective on Bentley Systems from $43.00 to $52.00 and gave the stock an “outperform” rating in a report on Friday. Nine research analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company. Based on data from MarketBeat.com, Bentley Systems presently has an average rating of “Moderate Buy” and an average target price of $46.67.

Bentley Systems Company Profile

Bentley Systems, Incorporated is a software company that develops solutions for the design, construction, and operation of infrastructure. Its customers include engineers, architects, geospatial professionals, construction firms, and infrastructure owner-operators in sectors such as transportation, water, utilities, industrial facilities, and buildings.

The company’s product portfolio includes MicroStation for infrastructure design, ProjectWise for project collaboration, AssetWise for asset performance and operations, and SYNCHRO for construction management.