Description

PTC’s Post-Divestiture Reset: Can Windchill, Creo, And Onshape Drive Faster Growth?

The company reported its second quarter of fiscal 2026 as a streamlined business following the divestiture of Kepware and ThingWorx in March. Its focus is now centered on advancing its intelligent product life cycle vision, leveraging substantial investments in product modernization and AI-enabled capabilities across its portfolio, including key platforms like Windchill, Creo, and Onshape. Constant currency Annual Recurring Revenue (ARR) grew 8.5% year-over-year, reaching $2.388 billion, at the high end of guidance, while free cash flow increased 14%, exceeding expectations. Revenue and non-GAAP EPS guidance were raised for the full fiscal year, reflecting the benefits of renewals with longer contract durations and favorable currency impacts. The company emphasized continued traction in its go-to-market transformation, highlighting improved sales representative productivity, increased renewal rates, and a robust, geographically and vertically diversified pipeline.