News

Pegasystems (PEGA) reported $474.23 million in revenue for the quarter ended December 2023, representing a year-over-year increase of 19.6%. EPS of $1.77 for the same period compares to $0.82 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $428.76 million, representing a surprise of +10.61%. The company delivered an EPS surprise of +65.42%, with the consensus EPS estimate being $1.07.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

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- Consulting: $54.31 million compared to the $58.21 million average estimate based on three analysts. The reported number represents a change of -1.6% year over year.
• Revenue- Subscription: $414.55 million compared to the $370.22 million average estimate based on three analysts.
• Revenue- Perpetual license: $5.37 million compared to the $0.32 million average estimate based on three analysts. The reported number represents a change of +1375.8% year over year.
• Revenue- Subscription services: $206.99 million versus the two-analyst average estimate of $210.71 million. The reported number represents a year-over-year change of +11.8%.
• Revenue- Pega Cloud: $120.35 million versus the two-analyst average estimate of $132.11 million. The reported number represents a year-over-year change of +16.7%.
• Revenue- Subscription license: $207.56 million versus the two-analyst average estimate of $148.82 million. The reported number represents a year-over-year change of +33.2%.
• Gross Profit- Subscription Services: $172.30 million compared to the $170.70 million average estimate based on two analysts.

View all Key Company Metrics for Pegasystems here>>>

Shares of Pegasystems have returned +4.3% over the past month versus the Zacks S&P 500 composite's +3.7% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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