PTC figures that the rough economy isn't going to pick up as they expected, and so they are lowering their revenue expectations for this year to $1.305 - $1.315 billion -- down 3.3% from the earlier projection of $1.34 - $1.37 billion. The company expects to lose $10 million alone due to poorer currency exchange rates.
The latest manufacturing industry reports indicate that European and Japanese manufacturing is in a difficult recession, and the U.S. manufacturing recovery has stumbled as well, recently. ... 85% of our revenue is coming from customers that are in recession.
And the earnings results of a number of enterprise software companies suggest that we're not alone in our view of a difficult macro environment.
During the conference call, one analyst noted that the number of active CAD seats has declined, and wondered if the trend would reverse -- or continue. PTC cfo Jeffrey Glidden felt that the seat number will go up in Q3 and grow from there.