Analyst Note| Julie Bhusal Sharma |
Wide-moat Autodesk strongly finished the first half of fiscal 2022, exceeding our expectations on the top and bottom lines. Sales growth was buoyed by strong year-over-year growth in subscription revenue and strong selling velocity via digital channels. Autodesk continues to benefit from secular industry shifts toward cloud platforms and digital acceleration. To better serve customers making the pivot to its cloud platform, Autodesk announced the launch of Flex, which will become available in September. This initiative will enable Autodesk customers to pay commensurately with their usage. Alongside providing value to existing users, management sees Flex as an opportunity to drive more new customer sales as well.