Trimble (TRMB) 47th Annual Raymond James Institutional Investor Conference summary

Business transformation and growth

• Achieved mid-teen ARR growth, with ARR rising from $1.3 billion in 2020 to $2.4 billion in 2025 and recurring revenue nearing two-thirds of total revenue.

• Addressable market estimated at $72 billion, with only 25% penetrated by technology, indicating significant growth potential.

• Transitioned from hardware and perpetual licenses to over 50% software services and recurring revenue, supported by 23 divestitures and 13 acquisitions since 2020.

• Gross margin improved to nearly 72%, and EBITDA margin expanded by almost 400 basis points since 2020, reaching 29%.

• Asset-light model with net leverage at 1.1x and negative net working capital, providing financial flexibility.

Platform strategy, product innovation, and technology leadership

• Connects digital and physical workflows, enabling collaboration among stakeholders through integrated platforms and connected solutions.

• Unique bundles and connected workflows provide competitive differentiation and expand the addressable market.

• AI and machine learning are integrated to enhance product capabilities, efficiency, and data-driven insights, with AI-driven products already deployed.

• Over 90% of developers use AI tools internally, accelerating product development and feature delivery.

• Over 17% of revenue reinvested in R&D, supporting leadership in positioning, modeling, analytics, and more than 1,000 active patents.

Go-to-market and cross-sell strategy

• Account-based selling and the TC1 framework contract streamline engagement, enabling easier cross-sell and upsell opportunities.

• Identified $1.4 billion in cross-sell and upsell opportunities, with $1 billion in AECO and $400 million in transportation and logistics.

• Regional strategies adapt bundles to local needs, starting with ERP in North America and project management software in Europe.

• Playbook focuses on landing relevant bundles and expanding with additional capabilities over time.

• Two-thirds of bookings come from existing customers, with one-third from new logos.