The stock of Autodesk fell 15% on Wednesday after the software company tightened the range of its annual revenue prediction while decreasing its billings forecast.

"Demand was high in the third quarter, with excellent new subscription growth and renewal rates. Debbie Clifford, Autodesk's CFO, stated, "We expect it to continue so in Q4."

"However, supply chain instability and related inflationary pressures, a worldwide labor scarcity, and COVID'S ebb and flow are all affecting the rate of our recovery and forecast."Autodesk, Inc. | Ansys Software Partner

The business expects annual revenue to be $4.37 billion at the high end of the forecast, down from the previous estimate of $4.38 billion. Revenue is expected to be $4.36 billion, down from $4.34 billion at the lower end of the preceding range.

Annual billings are estimated to reach $4.77 billion, up 15% from the midpoint of the forecast, vs the 19% rise predicted earlier.

Total revenue for the third quarter climbed by 18% to $1.12 billion. The adjusted earnings per share (EPS) was $1.33. Sales and earnings per share (EPS) both exceeded expectations.