U.S. Markets closed

Parametric announces further restructuring, still sees FY13 adj EPS $1.70-$1.80

In a regulatory filing, Parametric Technology announced that on January 8, the company committed to a plan to further restructure its workforce and related facilities. The restructuring is a component of PTC’s previously announced plan to achieve non-GAAP EPS of $1.70-$1.80 for FY13. PTC will record a restructuring charge of approximately $15M for Q2 ending March 30, of which approximately $14.5M is attributable to termination benefits and approximately $500,000 is attributable to facility consolidations. The restructuring will result in cash expenditures of approximately $15M during FY13. The timing of the reductions in force will vary by country based on local legal requirements, but PTC expects that substantially all affected employees will be separated from PTC by the end of Q2. While PTC expects the restructuring to be substantially completed in Q2, the full impact of the expense reductions will not be realized until Q3.