(Reuters) -Ansys reported first-quarter revenue below Wall Street estimates on Wednesday, impacted by weak enterprise spending for its simulation software amid an uncertain economy.
Shares of the Pennsylvania-based company fell 5% after the bell.
The uncertainty has led to businesses cutting back on spending and U.S. export restrictions on China weighing on the demand for companies like Ansys.
The company, which makes software used in creating products from airplanes to tennis rackets, is being bought by larger rival Synopsys and the deal is expected to close in the first half of 2025.
Ansys posted revenue of $504.9 million for the quarter ended March 31, below analysts’ estimates of $520.9 million, according to data compiled by LSEG.
On an adjusted basis, the company earned $1.64 per share, falling short of estimates $1.68 per share.
Ansys offers AI solutions such as its customer support chatbot AnsysGPT and a cloud-enabled product SimAI, which uses simulation results to assess the performance of a new design in minutes.
(Reporting by Kritika Lamba in Bengaluru; Editing by Shailesh Kuber)
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