Tear Sheet: Banff Parent Inc.

BMC?s transition to a subscription-based revenue model has progressed over the past 12 months and the company has reported impressive year-over-year subscription revenue growth of nearly 14% over the past nine months. This is a deceleration from the growth rate of over 17% reported in the previous fiscal year, but consistent annual recurring revenue growth indicates that the transition continues to progress without major disruption. Consolidated top-line performance has faced a headwind from accelerating declines in maintenance and perpetual license sales, but we still forecast total revenue growth for fiscal 2025 in the mid-single-digit percentage area. Looking through the immediate impact of this model shift, we believe that BMC?s revenue growth will be constrained to the mid-single-digit percentage area over

...March 10, 2025 BMC continues to report strong subscription revenue growth, but accelerating declines in maintenance and perpetual license sales will constrain growth. BMC's transition to a subscription-based revenue model has progressed over the past 12 months and the company has reported impressive year-over-year subscription revenue growth of nearly 14% over the past nine months. This is a deceleration from the growth rate of over 17% reported in the previous fiscal year, but consistent annual recurring revenue growth indicates that the transition continues to progress without major disruption. Consolidated top-line performance has faced a headwind from accelerating declines in maintenance and perpetual license sales, but we still forecast total revenue growth for fiscal 2025 in the mid-single-digit percentage area. Looking through the immediate impact of this model shift, we believe that BMC's revenue growth will be constrained to the mid-single-digit percentage area over the longer...

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