In a press release issued yesterday, Dassault Systèmes announced a new horizon as part of the generative economy by introducing “3D UNIV+RSES,” which integrates multiple generative AI technologies at the core of global IP Lifecycle Management (IPLM) for the benefit of its customers.
This evolving architecture will allow its large customer base to fully leverage their rich, high-quality heritage of 3D design, virtual twins and PLM data in a new representation space, the premier digital environment for training new categories of Experience-as-a-Service (XaaS) – namely: Generative Experiences (GenXp), Experia Virtual Companions a Twin, as well as Experia Virtual Companions (TVS). Dassault Systèmes’ “POWER’byAI” approach and its multi-AI, industry-aware platforms ─ 3DEXPERIENCE (manufacturing), MEDIDATA (life sciences and healthcare) and CENTRIC (consumer goods and food) ─ provide customers with secured, world-class environments to uncover and generate their own knowledge and expertise with rapid deployment.
Bernard Charlès, these days Executive Chairman at Dassault Systèmes, in a comment said that the company is committed to becoming the most trusted partner to provide “3D UNIV+RSES,” as the ultimate source of knowledge and know-how, for our mutual benefit and human progress:
“All our longtime loyal clients are expecting us to protect their ‘gold mine’ of virtual assets and reveal the invisible. In order to generate and protect the most valuable intellectual property, it is of critical importance to create Virtual Twin Experiences of everything for everyone that harmonize product, nature and life,” he continued explaining that tomorrow’s game-changers will be those with the best-developed knowledge and know-how assets, who take inspiration from the living world to generate rather than consume, giving back to the planet as much as they take from it. This is what Dassault Systèmes calls the Generative Economy. It results from the convergence of the Experience Economy and the Circular Economy; it’s an economy of virtual assets in which intellectual property (IP), the critical factor for differentiation, will serve as a currency.
In the pressmaterial DS writes that this will be catalyzed and enabled by “3D UNIV+RSES” and accelerated by the learning possibilities offered by AI. The concept illustrates a new class of representation of the world: ”virtual-plus-real representations that holistically combine modeling, simulation, real-world evidence and AI-generated content. They offer a unique and secured industry environment for combining and cross-simulating virtual twins and for training multi-AI engines while protecting customers’ IP.”
A Strong Fourth Quarter
Back to the Q4 2024 and full-year results that Dassault Systemes reported they are the company’s IFRS unaudited estimated financial results.
Regarding the fourth quarter, some interesting points were as follows:
• 4Q24: Software revenue increased to 9% growth;
• 4Q24: Top line acceleration driven by new business growth of 13% and 3DEXPERIENCE software revenue of 22%;
• 4Q24: Operating margin was 36.3%.
Rouven Bergmann, Dassault Systèmes CFO, commented:
”We delivered a strong fourth quarter in a challenging year, with total revenues up 7%, driven by 13% growth in new business during the quarter. From a product line perspective, this performance was led by Industrial Innovation, up 8%, as a result of the broader adoption of 3DEXPERIENCE, with a focus on manufacturing. At the same time, we continued to see excellent results in Mainstream Innovation while MEDIDATA returned to growth in Life Sciences.
Growing SaaS and Cloud Revenues
For 2024, as noted in the introduction, software revenues grew 6% and earnings per share grew 9%.
Another interesting point in the report is that subscription and support revenues rose to €4.49 billion, up 6%, and recurring revenues accounted for 80% of total software revenues.
Service revenues amounted to EUR 600 million, an increase of 2%.
Some other highlights include:
• Software revenue by geography: Americas grew by 4%, accounting for 39% of software revenue. Europe grew by 6%, accounting for 38% of software revenue. Asia grew by 9%, accounting for 22% of software revenue.
• Software revenue by product line: Industrial Innovation software revenue grew by 5% to EUR 3.02 billion, with DELMIA, ENOVIA and SIMULIA driving the software applications.
• Life Sciences software revenue decreased by 1% to EUR 1.14 billion, accounting for revenues.
• Software revenue by industry: Home & Lifestyle, Aerospace & Defense, High-Tech, and Industrial Equipment showed some of the strongest results.
• Key strategic drivers: 3DEXPERIENCE software revenue increased 14%, representing 39% of 3DEXPERIENCE-eligible software revenue. Cloud software revenue increased 7%, representing 24% of software revenue. Excluding MEDIDATA, cloud software revenue increased more than 40% year-over-year.
