Pegasystems (PEGA) reported $475.63 million in revenue for the quarter ended March 2025, representing a year-over-year increase of 44.1%. EPS of $1.53 for the same period compares to $0.48 a year ago.
The reported revenue represents a surprise of +33.61% over the Zacks Consensus Estimate of $356 million. With the consensus EPS estimate being $0.46, the EPS surprise was +232.61%.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Pegasystems performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Revenue- Subscription services: $227.49 million versus the three-analyst average estimate of $238.52 million. The reported number represents a year-over-year change of +7.4%.
- Revenue- Subscription license: $186.56 million compared to the $62.49 million average estimate based on three analysts. The reported number represents a change of +194.5% year over year.
- Revenue- Subscription: $414.05 million versus $301.01 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +50.4% change.
- Revenue- Perpetual license: $1.17 million versus $0.79 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +35.7% change.
- Revenue- Maintenance: $76.37 million compared to the $79.89 million average estimate based on three analysts.
- Revenue- Consulting: $60.42 million versus the three-analyst average estimate of $54.84 million. The reported number represents a year-over-year change of +11.8%.
- Revenue- Pega Cloud: $151.12 million compared to the $158.62 million average estimate based on three analysts.
- Gross Profit- Subscription services: $189.36 million compared to the $196.25 million average estimate based on two analysts.
- Gross Profit- Subscription: $375.53 million versus $259.15 million estimated by two analysts on average.
- Gross Profit- Subscription license: $186.17 million versus the two-analyst average estimate of $62.90 million.
View all Key Company Metrics for Pegasystems here>>>
Shares of Pegasystems have returned -12.2% over the past month versus the Zacks S&P 500 composite's -8.9% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.
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Pegasystems Inc. (PEGA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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