Dassault Systèmes plunges after weak Q4 performance, soft FY outlook

(Sharecast News) - French software firm Dassault Systèmes shares were on track for their worst trading day ever early on Wednesday after posting weak fourth‑quarter figures and issuing a subdued outlook for the year ahead. Dassault said full‑year revenue was broadly flat at €6.24bn, with fourth quarter revenue rising just 1% to €1.68bn.

Software sales edged only slightly higher to €5.64bn, below analyst expectations, wtih Dassault also reporting a 5% drop in software revenue in the final quarter of 2025.

Dassault's 3DExperience platform and cloud offerings grew 10% and 8% over the twelve month period, respectively, fuelled by major contract wins, while its life sciences division saw revenue decline 2% as drugmakers cut back on study starts, and revenue from its industrial innovation software grew 6%.

Looking ahead, Dassault also guided for constant currency revenue growth of 3% to 5% in FY26, short of the 4-6% or 5-7% that most investors anticipating, and an operating margin between 32.2% and 32.6%.

As of 1040 GMT, Dassault Systèmes shares had sunk 19.54% to €18.06 each.







Reporting by Iain Gilbert at Sharecast.com