Autodesk Inc. (ADSK) delivered a solid beat on Tuesday evening, showing that its shift toward AI-powered design tools is resonating with customers. The software maker posted third-quarter revenue of $1.85 billion, an 18% jump from last year that topped analyst expectations of $1.81 billion.

Earnings looked even better. Autodesk reported adjusted earnings of $2.67 per share, comfortably ahead of the $2.50 consensus estimate.

The AI Pitch

"We're defining the AI revolution for design and make, empowering customers with new task, workflow and system automations, and capturing shared value through subscription, consumption, and outcomes-based business models that blend human and machine capabilities," said Andrew Anagnost, president and CEO of Autodesk.

Translation: Autodesk is betting that AI can automate chunks of the design process, and the company plans to monetize that through a mix of subscriptions and usage-based pricing.

Looking Ahead

For the fourth quarter, Autodesk expects revenue between $1.90 billion and $1.92 billion, with adjusted earnings of $2.59 to $2.67 per share. The more interesting update came in the full-year guidance. The company now sees fiscal 2026 revenue of $7.15 billion to $7.17 billion and raised its adjusted earnings outlook to $10.18-$10.25 per share, up from the previous $9.80-$9.98 range. Analysts had been expecting $9.95 per share.

Investors liked what they heard. Shares jumped 4.95% to $309.01 in after-hours trading following the announcement.