Dassault Systemes Shares Slump on Weak Sales, Guidance

By Mauro Orru

Dassault Systemes shares plunged after the French software maker reported weak fourth-quarter sales and issued annual guidance that disappointed investors, a setback for a company in a sector that is being closely scrutinized for potential signs of disruption from artificial intelligence.

Shares in Paris slid 20% on Wednesday, pushing the stock down more than 50% over the past 12 months. Software stocks have come under pressure lately as investors question how the large-language models powering AI might affect applications and demand for services.

Anthropic's release of new capabilities for its Claude Cowork assistant that are meant to automate processes like contract reviews and legal briefings triggered a selloff in software-as-a-service stocks that weighed on the Nasdaq for much of last week.

Dassault Systemes, which provides software for 3D modeling and simulation used in industries like aerospace, automotive and life sciences, said fourth-quarter adjusted sales were 1.68 billion euros ($2 billion), up 1% on year at constant currencies. The company had guided for growth between 1% and 8%.

Software contributed 1.52 billion euros in sales, but remained virtually flat from the prior-year quarter at constant currencies. Services revenue--which accounts for a much smaller share of overall sales--grew 11% to 159.1 million euros.

Results were worse than what even the most pessimistic investors had expected, JPMorgan analysts wrote in a note to clients.

Adjusted operating profit declined 2% to 621.6 million euros, generating a 37% margin. The company had guided for a margin between 37.2% and 38%.

For 2026, the company is forecasting sales between 6.29 billion and 6.41 billion euros, up 3% to 5% at constant currencies from 2025. Jefferies analysts had projected 5.6% growth, writing in a research note that weak guidance points to a company dealing with business model challenges.

Write to Mauro Orru at mauro.orru@wsj.com

(END) Dow Jones Newswires

February 11, 2026 05:16 ET (10:16 GMT)