Q1 Design Software Earnings Review: First Prize Goes to Procore (NYSE:PCOR)

Yahoo

28-05-2025

Let's dig into the relative performance of Procore (NYSE:PCOR) and its peers as we unravel the now-completed Q1 design software earnings season.
The demand for rich, interactive 2D, 3D, VR and AR experiences is growing, and while the ubiquitous metaverse might still be more of a buzzword than a real thing, what is real is the demand for the tools to create these experiences, whether they are games, 3D tours or interactive movies.
The 5 design software stocks we track reported a satisfactory Q1. As a group, revenues beat analysts' consensus estimates by 2.6% while next quarter's revenue guidance was in line.
In light of this news, share prices of the companies have held steady as they are up 4.9% on average since the latest earnings results.
Used to manage the multi-year expansion of the Panama Canal that began in 2007, Procore (NYSE:PCOR) offers a software-as-service project, finance, and quality management platform for the construction industry.
Procore reported revenues of $310.6 million, up 15.3% year on year. This print exceeded analysts' expectations by 2.6%. Overall, it was a strong quarter for the company with accelerating customer growth and a solid beat of analysts' EBITDA estimates.
Interestingly, the stock is up 9.2% since reporting and currently trades at $69.
Is now the time to buy Procore? Access our full analysis of the earnings results here, it's free.
With the name chosen to reflect the idea of a repeating pattern or rhythm in electronic design, Cadence Design Systems (NASDAQ:CDNS) offers a software-as-a-service platform for semiconductor engineering and design.
Cadence reported revenues of $1.24 billion, up 23.1% year on year, in line with analysts' expectations. The business had a satisfactory quarter with a solid beat of analysts' EBITDA estimates but a slight miss of analysts' billings estimates.
Cadence achieved the fastest revenue growth among its peers. The market seems happy with the results as the stock is up 11.5% since reporting. It currently trades at $318.50.
Is now the time to buy Cadence? Access our full analysis of the earnings results here, it's free.
One of the most well-known Silicon Valley software companies around, Adobe (NASDAQ:ADBE) is a leading provider of software as service in the digital design and document management space.
Adobe reported revenues of $5.71 billion, up 10.3% year on year, exceeding analysts' expectations by 1%. Still, it was a decent quarter as it posted EPS guidance for next quarter in line with analysts' expectations.
Adobe delivered the weakest full-year guidance update in the group. As expected, the stock is down 9.4% since the results and currently trades at $397.67.
Read our full analysis of Adobe's results here.
Used to design the Airbus A380 and Boeing 787 Dreamliner commercial airplanes, PTC's (NASDAQ:PTC) software-as-service platform helps engineers and designers create and test products before manufacturing.
PTC reported revenues of $636.4 million, up 5.5% year on year. This number topped analysts' expectations by 5%. More broadly, it was a mixed quarter as it also recorded an impressive beat of analysts' EBITDA estimates but EPS guidance for next quarter missing analysts' expectations.
PTC scored the biggest analyst estimates beat and highest full-year guidance raise among its peers. The stock is up 10.4% since reporting and currently trades at $170.96.
Read our full, actionable report on PTC here, it's free.
Started as a game studio by three friends in a Copenhagen apartment, Unity (NYSE:U) is a software as a service platform that makes it easier to develop and monetize new games and other visual digital experiences.
Unity reported revenues of $435 million, down 5.5% year on year. This result beat analysts' expectations by 4.4%. Taking a step back, it was a mixed quarter as it also produced an impressive beat of analysts' billings estimates but revenue guidance for next quarter slightly missing analysts' expectations.
Unity had the slowest revenue growth among its peers. The stock is up 3% since reporting and currently trades at $21.97.
Read our full, actionable report on Unity here, it's free.
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