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Compared to Estimates, Aspen Technology (AZPN) Q3 Earnings: A Look at Key Metrics

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Aspen Technology (AZPN - Free Report) reported $278.11 million in revenue for the quarter ended March 2024, representing a year-over-year increase of 21%. EPS of $1.70 for the same period compares to $1.06 a year ago.

The reported revenue represents a surprise of +10.51% over the Zacks Consensus Estimate of $251.65 million. With the consensus EPS estimate being $1.32, the EPS surprise was +28.79%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Aspen Technology performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Revenue- Maintenance: $86.26 million versus $86.99 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +11.6% change.
  • Revenue- Services and other: $22.38 million compared to the $15.85 million average estimate based on two analysts. The reported number represents a change of +37.3% year over year.
  • Revenue- License and solutions: $169.47 million versus the two-analyst average estimate of $148.80 million. The reported number represents a year-over-year change of +24.3%.
View all Key Company Metrics for Aspen Technology here>>>

Shares of Aspen Technology have returned -7.1% over the past month versus the Zacks S&P 500 composite's -0.4% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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