Ansys, Inc.'s net income declined 25% to $52.59 million in the fourth quarter of 2017, down from $69.98 million in the year-ago quarter. Its earnings per share also dropped to 61 cents, down from 80 cents in the year-ago period.
The engineering software company said the Tax Cuts and Jobs Act adversely affected its GAAP income tax provision for the fourth quarter. It recorded a net tax expense of $17.9 million in the period. A $4.8 million benefit related to foreign earnings repatriation was also eliminated because of the tax reform.
Net income declined by 25% to $52.59 million in the period, down from $69.98 million in the year-ago quarter. Its earnings per share also dropped to 61 cents, down from 80 cents in the corresponding 2016 period.
Total revenue during the period in review was $302.34 million, up from $270.63 million in the previous-year quarter. Operating income was $100.68 million, up from $96.97 million in the year-ago period. The operating profit margin on GAAP basis for the period was 33.3%, down from 35.8% previously.
Net income for the year ended December 2017 was $259.25 million, down from $265.64 million. Earnings per share on a diluted basis was slightly down to $2.98, from $2.99 in 2016.
For the first quarter in 2018, the Pennsylvania-based company expects revenue to range from $261.0 million to $281.0 million under ASC 606 and revenue of $274.6 million to $284.6 million under ASC 605, on GAAP basis. Expected EPS on GAAP basis under ASC 606 will range from 70 cents to 88 cents while expected EPS under ASC 605 will range from 82 cents to 92 cents.
The Ansys board of directors also approved replenishing its share repurchase program to an aggregate total of 5 million shares to offset dilution and reduce shares outstanding. In 2017, the company repurchased 2.8 million common shares at an average price of $122.20.