Segment and Geographic Information (Tables)

12 Months Ended

Sep. 30, 2022

Segment Reporting Information [Line Items]

Summary of Revenue and Profit Attributable to Our Operating Segments

The revenue and profit attributable to our operating segments are summarized below. We do not produce or report asset information by reportable segment.

(in thousands)	Year ended September 30,
	2022			2021			2020
Software Products
Revenue	$	1,770,253		$	1,649,341		$	1,314,617
Operating costs(1)		494,035			451,734			393,803
Profit		1,276,218			1,197,607			920,814
Professional Services
Revenue		163,094			157,818			143,798
Operating costs(2)		140,470			135,981			128,678
Profit		22,624			21,837			15,120
Total segment revenue		1,933,347			1,807,159			1,458,415
Total segment costs		634,505			587,715			522,481
Total segment profit		1,298,842			1,219,444			935,934
Unallocated operating expenses:(3)
Sales and marketing expenses		435,780			464,067			398,100
General and administrative expenses		130,870			120,954			114,386
Intangibles amortization		60,548			59,165			56,104
Restructuring and other charges, net		36,234			2,211			32,716
Stock-based compensation		174,863			177,289			115,149
Other unallocated operating expenses(4)		13,185			15,010			8,616
Total operating income		447,362			380,748			210,863
Interest expense		(54,268	)		(50,478	)		(76,428	)
Other income, net		4,004			61,485			271
Income before income taxes	$	397,098		$	391,755		$	134,706

(1)Operating costs for the Software Products segment include all costs of software revenue and research and development costs, excluding stock-based compensation and intangible amortization. Operating costs for the Software Products segment include depreciation of $4.9 million, $4.0 million and $4.2 million in 2022, 2021 and 2020, respectively.

(2)Operating costs for the Professional Services segment include all costs of professional services revenue, excluding stock-based compensation, and intangible amortization. The Professional Services segment includes depreciation of $0.9 million, $1.1 million and $1.1 million in 2022, 2021 and 2020, respectively.

(3)Unallocated departments include depreciation of $21.4 million, $21.0 million and $19.4 million in 2022, 2021 and 2020, respectively.

(4)Other unallocated operating expenses include acquisition and transaction-related costs.

Summary of Revenue for Geographic Regions

Revenue for the geographic regions in which we operate is presented below.

(in thousands)	Year ended September 30,
	2022		2021		2020
Revenue:
Americas(1)	$	895,095	$	766,021	$	649,383
Europe(2)		714,216		722,977		543,779
Asia Pacific		324,036		318,161		265,253
Total revenue	$	1,933,347	$	1,807,159	$	1,458,415

(1)Includes revenue in the United States totaling $864.7 million, $741.3 million, and $621.8 million for 2022, 2021 and 2020, respectively.

(2)Includes revenue in Germany totaling $318.5 million, $290.7 million, and $198.7 million for 2022, 2021 and 2020, respectively.

Products and Services Segments [Member]

Segment Reporting Information [Line Items]

Summary of Revenue and Profit Attributable to Our Operating Segments

e reported revenue by the following three product groups:

(in thousands)	Year ended September 30,
	2022		2021		2020
Digital Thread - Core	$	1,318,857	$	1,257,817	$	1,025,709
Digital Thread - Growth		279,566		273,949		215,353
Digital Thread - FSG		251,621		233,268		210,101
Digital Thread (Total)		1,850,044		1,765,034		1,451,163
Velocity		83,303		42,125		7,252
Total revenue	$	1,933,347	$	1,807,159	$	1,458,415
Product lifecycle management (PLM)		1,137,016		1,012,120		807,016
Computer-aided design (CAD)		796,331		795,039		651,399
Total revenue	$	1,933,347	$	1,807,159	$	1,458,415