Altair Engineering Inc. (ALTR) Bundle
A Brief History of Altair Engineering Inc. (ALTR)
Foundation and Early Years
Foundation and Early Years
Altair Engineering Inc. was founded in 1985 by Dr. James R. Scapa in Troy, Michigan. The company initially focused on providing engineering software and consulting services.
Initial Public Offering
On July 18, 2017, Altair Engineering went public, trading on the NASDAQ under the ticker symbol ALTR.
Financial Performance
As of the end of the fiscal year 2022, Altair reported:
| Metric | Value |
|---|---|
| Revenue | $526.6 million |
| Net Income | $17.8 million |
| Assets | $709.4 million |
| Total Liabilities | $227.3 million |
| Equity | $482.1 million |
Acquisitions
Over the years, Altair has expanded its business through strategic acquisitions, including:
- SolidThinking (2016) - A software company known for its design and engineering solutions.
- SimSolid (2018) - A solver technology for structural simulations.
- World Programming (2019) - Enhanced Altair's data analytics capabilities.
- Metrics Graphics (2020) - Further extended their data visualization offerings.
Product Portfolio
Altair offers a diverse range of software products, including:
- Altair HyperWorks - A comprehensive simulation platform.
- Altair Smart Learning - AI-powered software for predictive analysis.
- Altair Inspire - Tool for generative design.
- Altair Panoptica - For managing complex digital twin models.
Market Position and Growth
As of 2023, Altair Engineering holds a strong position in the engineering software market with a global workforce of approximately 3,200 employees in over 25 countries.
The company's market capitalization as of October 2023 was approximately $2.1 billion.
Recent Developments
In early 2023, Altair announced a new cloud-based platform aimed at enhancing collaboration among engineers, which is expected to drive future growth.
Stock Performance
The stock price of Altair Engineering (ALTR) as of October 20, 2023:
| Date | Stock Price (Close) |
|---|---|
| October 20, 2023 | $39.82 |
| One Year High | $58.18 |
| One Year Low | $33.55 |
Industry Recognition
Altair has received multiple awards for its innovative software solutions, including:
- 2022 Gartner Magic Quadrant for CAE (Leader)
- 2023 Engineering News-Record’s Top 500 Design Firms
- Best Place to Work – Glassdoor 2023
Community Engagement
Altair is actively involved in various community and educational initiatives, contributing over $1 million annually to support STEM programs and local charities.
A Who Owns Altair Engineering Inc. (ALTR)
Overview of Ownership Structure
As of October 2023, Altair Engineering Inc. (ALTR) presents an ownership structure that includes institutional investors, individual shareholders, and company executives. The company's shares are publicly traded on the NASDAQ stock exchange.
Major Shareholders
According to the latest filings, the following table illustrates the major shareholders of Altair Engineering Inc.:
| Shareholder Name | Type | Shares Owned | Percentage Ownership |
|---|---|---|---|
| The Vanguard Group, Inc. | Institutional | 3,746,811 | 7.86% |
| BlackRock, Inc. | Institutional | 3,382,949 | 7.00% |
| Wellington Management Company, LLP | Institutional | 3,104,251 | 6.55% |
| Altair Engineering Employees | Individual | 2,000,000 | 4.00% |
| Float (Public Shareholders) | Public | 27,000,000 | 57.59% |
Executive Ownership
Key executives also hold significant stakes in the company. The following table summarizes the ownership of the top executives as of October 2023:
| Executive Name | Position | Shares Owned | Percentage of Total Shares |
|---|---|---|---|
| James Scapa | CEO | 1,500,000 | 3.15% |
| William M. D. Miller | President | 500,000 | 1.05% |
| Robert M. Yancey | Chief Financial Officer | 300,000 | 0.63% |
Recent Stock Performance
Altair's recent stock performance also reflects the effect of its ownership. As of October 2023, the following data points illustrate significant price trends:
| Date | Opening Price | Closing Price | Market Cap |
|---|---|---|---|
| October 2, 2023 | $49.20 | $50.00 | $2.32 billion |
| October 9, 2023 | $50.10 | $50.25 | $2.33 billion |
| October 16, 2023 | $50.30 | $51.00 | $2.34 billion |
Recent Developments
Investor sentiment can also be gauged by the recent announcements related to Altair Engineering Inc.:
- In September 2023, Altair announced a strategic partnership with a leading tech firm.
- They reported a quarterly revenue increase of 15% year-over-year in Q3 2023.
- Altair has initiated a share buyback program, intending to repurchase up to $50 million worth of shares.
Altair Engineering Inc. (ALTR) Mission Statement
Purpose of Mission Statement
Altair Engineering Inc. defines its mission statement to encapsulate its commitment to innovation and excellence in product development and design. The mission guides the company's strategic decisions and supports its goal to deliver high-performance solutions.
Current Mission Statement
As of October 2023, Altair Engineering Inc. aims to "be the leading provider of solutions in product design, development, and optimization through simulation, data analytics, and artificial intelligence.”
Core Values
- Innovation: Emphasizing continuous improvement and creativity.
- Integrity: Upholding transparency and ethical practices.
- Collaboration: Encouraging teamwork and partnerships.
- Customer Success: Focused on helping customers achieve their goals.
- Sustainability: Committed to eco-friendly practices and solutions.
Strategic Goals
Altair Engineering’s strategic goals are aligned with its mission. The following are key objectives as of Q4 2023:
- Achieving a revenue growth rate of 10-15% annually.
- Expanding product offerings in data analytics and AI solutions.
- Increasing global market share by 5% in the Asia-Pacific region.
- Enhancing customer satisfaction metrics to above 90%.
Financial Overview
As of the end of Q3 2023, Altair Engineering reported the following financial figures:
| Metric | Value |
|---|---|
| Q3 Revenue ($ Million) | 108.7 |
| Annual Revenue Projection ($ Million) | 450 |
| Net Income ($ Million) | 7.6 |
| Market Capitalization ($ Billion) | 1.7 |
| R&D Spending (% of Revenue) | 15% |
Impact of Mission Statement on Business Operations
The mission statement influences various aspects of Altair Engineering’s operations, including:
- Development of new software tools focused on simulation and optimization.
- Investment in research and development, with an estimated allocation of $67.5 million in 2023.
- Engagement in strategic partnerships to enhance service offerings.
- Focus on customer feedback loops to refine existing solutions.
Global Presence
Altair Engineering Inc. maintains a diverse global presence, with operations in over 25 countries and a workforce exceeding 3,000 employees as of 2023. The company emphasizes the importance of understanding different markets while staying true to its mission.
Conclusion of Current Mission Statement Evaluation
The evaluation of Altair Engineering Inc.'s mission statement highlights the company's dedication to innovation and customer satisfaction, aligning its operational strategies with financial goals and global outreach.
How Altair Engineering Inc. (ALTR) Works
Company Overview
Company Overview
Altair Engineering Inc. (Ticker: ALTR) is a global technology company that provides software and cloud solutions in simulation, high-performance computing (HPC), and data analytics. The company specializes in developing software for product design and development, offering a suite of tools that enhance productivity and innovation across various industries.
Core Business Segments
Altair operates primarily through two business segments:
- Software Solutions
- Cloud Solutions
Software Solutions
Altair’s software solutions include a variety of applications for simulation, data analytics, and optimization, featuring key products like:
- Altair HyperWorks
- Altair Inspire
- Altair Smart Learning
- Altair Smart Manufacturing
For the fiscal year 2022, Altair reported a revenue of approximately $500 million from its software solutions segment, showcasing a growth of approximately 15% year-over-year.
Cloud Solutions
Altair has invested significantly in cloud-based technologies, providing scalable resources for simulation and data analysis. The cloud solutions segment generated around $150 million in revenue during the same fiscal year, contributing to a 30% increase from the previous year.
Financial Performance
Below is a table summarizing key financial figures for Altair Engineering Inc. for the fiscal year 2022:
| Financial Metric | Fiscal Year 2022 |
|---|---|
| Total Revenue | $650 million |
| Net Income | $50 million |
| Gross Margin | 70% |
| Operating Income | $45 million |
| Research & Development Expense | $90 million |
Market Position
Altair operates in a competitive market with a focus on engineering simulation and data analytics. The company ranks amongst the top providers in the sector, competing with firms like Siemens, ANSYS, and Dassault Systèmes. The market for simulation software is projected to grow at a CAGR of 12% from 2021 to 2028, providing growth opportunities for Altair.
Investment in Innovation
Investment in R&D is crucial for Altair's growth strategy. In 2022, Altair allocated approximately 14% of its total revenue to research and development, emphasizing its commitment to innovation.
Global Presence
Altair operates in over 25 countries with a robust customer base that spans industries such as automotive, aerospace, and manufacturing. The following table illustrates Altair's global presence:
| Region | Presence |
|---|---|
| North America | Headquarters in Troy, Michigan |
| Europe | Multiple offices in Germany, France, and the UK |
| Asia Pacific | Offices in Japan, China, and India |
Competitive Advantages
Altair's competitive advantages include:
- Strong portfolio of simulation and data analytics tools
- Expertise across multiple industries
- Commitment to customer service and support
Conclusion of Operations
Altair Engineering Inc. continues to position itself as a leader in the simulation and data analytics market by leveraging its innovative software products, expanding its cloud solutions, and investing in research and development.
How Altair Engineering Inc. (ALTR) Makes Money
Revenue Streams
Altair Engineering Inc. generates revenue through multiple streams, primarily categorized into the following:
- Software Licensing
- Subscription Services
- Support and Maintenance
- Professional Services
Software Licensing
In the fiscal year 2022, Altair's software licensing revenue accounted for approximately $145 million. This segment includes perpetual licenses and term licenses for their suite of engineering software tools.
Subscription Services
Subscription services have become a significant revenue contributor. For FY 2022, Altair reported that subscription revenue reached $165 million, reflecting a growth of 20% year-over-year.
Support and Maintenance
The support and maintenance segment provided an additional $50 million in revenue in 2022. This is crucial for ensuring customer satisfaction and retention.
Professional Services
Altair’s professional services brought in around $30 million in FY 2022, encompassing consulting and training for their software solutions.
Geographic Revenue Distribution
The following table illustrates the geographic revenue distribution for Altair in FY 2022:
| Region | Revenue ($ Million) | % of Total Revenue |
|---|---|---|
| North America | 150 | 40% |
| Europe | 130 | 35% |
| Asia-Pacific | 90 | 25% |
Customer Segmentation
Altair serves a diverse range of industries, with the following segmentation based on estimated revenue contributions:
| Industry | Revenue ($ Million) | % of Total Revenue |
|---|---|---|
| Aerospace & Defense | 80 | 20% |
| Automotive | 110 | 30% |
| Energy | 60 | 15% |
| Manufacturing | 90 | 25% |
Financial Performance
For the fiscal year 2022, Altair reported total revenue of $375 million, with a net income of $20 million. The company’s operating margin stood at 5.3%.
Market Position
As of the end of 2022, Altair Engineering Inc. had a market capitalization of approximately $2.1 billion. Their stock performance over the past year showed an increase of 15%, reflecting market confidence in their growth potential.
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