The French software group now expects revenue growth of 4% to 5% in 2026, compared with its previous range of 3% to 5%. It also raised its operating-margin target to between 32.5% and 32.7%, from 32.2% to 32.6%, according to Reuters reporting on 28 October. The revised outlook marks the company’s first upward forecast adjustment in two years.
Third-quarter revenue increased 5% year on year to €1.55 billion, while operating earnings rose 10% to €490 million. The operating margin improved to 31.6%, compared with 30.1% a year earlier. Chief Financial Officer Rouven Bergmann said revenue growth had accelerated through 2026, from 3% in the first quarter to 5% in the third.
The figures suggest demand is improving, although the company still faces the challenge of converting a modest rise in sales into sustained growth. Dassault Systèmes sells software used in product design, engineering, simulation, and other industrial processes. Such tools can help manufacturers test products virtually, manage complex development, and reduce the need for costly physical prototypes. Demand is influenced by corporate investment plans and the willingness of industrial customers to commit to digital transformation projects.
Acquisitions are also expected to contribute to the outlook. The company completed its $1.8 billion purchase of life-sciences software business ArisGlobal in September. Dassault Systèmes expects the acquisition to add two percentage points to fourth-quarter revenue growth, which it forecasts at 5% to 8%. ArisGlobal is projected to achieve double-digit growth in 2027, giving the group an additional route to expand in software for pharmaceutical research and development.
Investors will need to distinguish growth generated by underlying demand from that supported by acquisitions. Software companies are also under pressure to demonstrate that artificial intelligence can improve products and productivity without eroding pricing or increasing development costs. Attention now turns to fourth-quarter performance, the integration of ArisGlobal, and whether growth can be sustained into 2027.
