Read this article in French German Italian Portuguese Spanish
Bentley Systems� 2024 results point to strong 2025 despite losing business in China
26 February 2025
US-based Bentley Systems reported strong financials for 2024 despite revenue decreasing in China and promoted a positive outlook for 2025 driven by US-based infrastructure projects.

The construction software and technology company reported US$1.4 billion in total revenue for 2024, a 10.1% increase over 2023, with subscription revenue rising 13.2% to 90% of the company’s total revenue. Operating income margin improved to 22.3% from 18.8%.
“We had a strong finish to 2024,� said CEO Nicholas Cumins. “The global demand environment remains robust across most sectors and geographies, and our users continue to be optimistic about end market conditions.
“Our 2025 outlook is consistent with our longer-term framework of low-double-digit ARR [annually recurring revenue] growth, 100-basis-points of margin expansion and strong cash flow generation.�
Here’s three keys from the report and conference call.
Bentley’s Chinese revenue declining, not expected to recover in 2025
Not all regions were on the rise for Bentley.
Chairman of the board of directors Greg Bentley said ARR declined “substantially and structurally� in China in recent years, with limited expectations for a turnaround.
Frequently throughout the conference call, Bentley officials referenced an annual revenue growth rate “excluding China� of 12.5% year over year. The persistent note about the region’s revenue struggles compared to successes elsewhere illustrated how little faith the firm has in China in the near future.
Cumins noted restrictions on using US software by China-owned enterprises has weakened the climate for external tech firms, and he said a turnaround in 2025 is not expected.
Greg Bentley noted, “It’s at the level where the state-owned enterprises, the CEOs have to personally vouch for any use� of American software. They have to attest that there isn’t a domestic alternative. It’s never been that bad before, and in that environment, we can’t hang on.�
“We anticipate a decline of annual revenue in China this year, [which] now represents less than 2.5% of our total annual recuring revenue,� Cumins said.
Greg Bentley added, “I have to say how disappointing China is qualitatively. This is the first year � 2025 � in which we do not have an internal plant to grow or even maintain our level of business in China.
“Our plan for this year is� to continue to lose business in China.�
Subscriptions still driving Bentley’s growth

Bentley’s software subscription model remains the backbone of the company, making up a higher percentage of revenue last year compared to 2023.
“It’s notable that constant currency subscription revenues, which we thus regard as our key revenue metric, have grown to constitute 90% of our total having compounded at an annual growth rate of 16.3%, hence to double subscription revenues over the five years from 2020,� Greg Bentley said.
In 2023, subscription revenues represented about 88% of overall revenue.
The subscription growth could have been even greater, too, if not for some companies choosing licenses over subs.
“For the 12th straight quarter, growth from new logos in the quarter would’ve been even higher if not for an unprecedented large proportion of [small- and medium-sized business] prospects having, instead, chosen perpetual licenses over subscriptions in the quarter.
A look at regions: EMEA has strong quarter for Bentley, US infrastructure to remain robust

Including full-year figures, the company also shared fourth quarter (Q4 results).
Cumins said Bentley saw positive Q4 action in Europe, the Middle East and Africa (EMEA). He said. “EMEA had a standout quarter with strength across most of Europe, as well as the Middle East.�
In response to an investor question about geopolitical unease, Cumins said he sees strong alignment among country officials, regardless of party, on infrastructure investment.
“It is a bipartisan topic,� said Cumins, noting political volatility in France and Germany has little to diminish the need for civil, utility and infrastructure builds. “There is strong alignment that infrastructure investments are needed now.�
In the UK, Cumins said he expects infrastructure investment to be the same, “if not higher.�
While perhaps not quite as dramatic as EMEA’s quarter (Bentley does not share regional figures, just commentary), Cumins noted North and Latin America growth maintains consistent strength. He anticipates another big year in artificial intelligence (AI), data centre and infrastructure spending in the US.
“Despite uncertainties about federal spending in the US under the new administration, the broader infrastructure engineering community expects investments in infrastructure to continue,� Cumins said, acknowledging, however, that project types may change. “Funding is likely to shift to more traditional power sources from alternatives and to more road work instead of high speed rail.
“It has also been announced that this administration will be investing significantly in AI, which means increasing data centre and power transmission buildouts.
“We also expect permitting reform to be a top priority for this administration and congress, which will accelerate new power transmission corridors as well as new mine exploration, benefiting our power nine systems and sequence businesses.�
2025 Financial Outlook
Bentley shared the following financial outlook for the full year 2025:
- Total revenues in the range of $1,461 million to $1,490 million, or $1,481 million to $1,510 million in constant currency;
- Subscriptions revenues growth rate of 10.5% to 12.5% in constant currency;
- Perpetual licenses revenues growth rate approximately flat in constant currency;
- Services revenues growth rate approximately flat in constant currency;
- Constant currency ARR growth rate (business performance, including programmatic acquisitions) of 10.5% to 12.5%;
- Adjusted OI w/SBC margin of approximately 28.5% (representing annual improvement of 100 bps);
- Effective tax rate of approximately 21%;
- Free cash flows in the range of $415 million to $455 million; and
- Capital expenditures of approximately $20 million.
±ØÓ®ÌåÓý
STAY CONNECTED




Receive the information you need when you need it through our world-leading magazines, newsletters and daily briefings.
CONNECT WITH THE TEAM



