Dassault Systèmes raises 2026 targets

By Leo Marchandon

Oct 28 - Software maker Dassault Systèmes on Wednesday raised its 2026 revenue and margin targets after its third-quarter revenue rose 5% to €1.55 billion ($1.73 billion). 

The upgrade, the French software group’s first in two years, signals that a slowdown dating back to 2023 may have bottomed out.

Dassault now expects revenue to grow 4-5% this year, up from the previous view of 3-5%, and it has lifted its operating margin target to 32.5-32.7% from 32.2-32.6%.

Revenue growth has been accelerating each quarter in 2026, from 3% in the January-March period to 5% in July-September, Chief Financial Officer Rouven Bergmann said in a call with analysts. 

The group's operating earnings grew 10% to €490 million in the quarter, lifting the margin to 31.6% from 30.1% a year ago. 

The company, which completed its $1.8 billion purchase of life-sciences software maker ArisGlobal in September, said the deal would add two percentage points to its fourth-quarter growth forecast of 5-8%.

For 2027, ArisGlobal is projected to grow in double digits, Bergmann said.

($1 = 0.8981 euros)

(Reporting by Leo Marchandon in Gdansk, editing by Izabela Niemiec)