Filing Flows › PTC (PTC) › How it makes money
How PTC (PTC) makes money
PTC (PTC) made $673M of revenue in the fourth quarter fiscal 2026 (Q4 FY26), -25% from a year earlier. Recurring revenue brought in $645M (96%); Professional services brought in $24.1M (4%); Perpetual license brought in $3.9M (1%). Of every dollar of revenue, 83¢ was left as gross profit, 32¢ was left as operating profit, 23¢ was left as net earnings.
Drawing the Sankey…
Revenue by segment, Q4 FY26
| Segment | Revenue | Share | Q/Q | Y/Y |
|---|---|---|---|---|
| Recurring revenue | $645M | 95.8% | — | -25% |
| Professional services | $24.1M | 3.6% | — | -0.9% |
| Perpetual license | $3.9M | 0.6% | — | -54% |
Where each dollar of revenue goes
| Line | Q4 FY26 | % of revenue |
|---|---|---|
| Revenue | $673M | 100.0% |
| Cost of revenue | $116M | 17.2% |
| Gross profit | $557M | 82.8% |
| Operating expenses | $345M | 51.2% |
| Operating profit | $213M | 31.6% |
| Income tax | $37.8M | 5.6% |
| Net earnings | $157M | 23.4% |
| Operating cash flow | $47.3M | 7.0% |
| Free cash flow | $37.7M | 5.6% |
Revenue, quarter by quarter
| Quarter | Revenue | Y/Y |
|---|---|---|
| Q4 FY26 | $673M | -25% |
| Q3 FY26 | $600M | -7% |
| Q2 FY26 | $774M | +22% |
| Q1 FY26 | $686M | +21% |
| Q4 FY25 | $894M | +43% |
| Q3 FY25 | $644M | +24% |
| Q2 FY25 | $636M | +6% |
From PTC's 8-K filed Nov 4, 2026 (on EDGAR).
Questions
How does PTC make money?
PTC (PTC) made $673M of revenue in the fourth quarter fiscal 2026 (Q4 FY26), -25% from a year earlier. Recurring revenue brought in $645M (96%); Professional services brought in $24.1M (4%); Perpetual license brought in $3.9M (1%). Of every dollar of revenue, 83¢ was left as gross profit, 32¢ was left as operating profit, 23¢ was left as net earnings.
What is PTC's biggest business?
Recurring revenue: $645M in the fourth quarter fiscal 2026, 96% of revenue, -25% from a year earlier.
What is PTC's profit margin?
Net earnings were $157M, 23.4% of revenue, in the fourth quarter fiscal 2026; the operating margin was 31.6%.
Updated Nov 8, 2026. Read automatically from SEC filings and public data; errors are possible. Not investment advice.