EPAM Systems IncEPAM
▼ NegativeCapitalrelevance
Q3 revenue guidance below estimates and shares fell after earnings.
Impact on stocks 1
Artificial Intelligence
EPAM Systems IncEPAM Systems reported second quarter revenue of $1.41 billion, a 4.5% year-on-year increase that matched analyst estimates, while adjusted EPS of $3.38 beat expectations by 7.6%. CEO Balazs Fejes acknowledged that North America is not growing fast enough and said the company owns the issue, citing rapid client budget shifts to AI modernization and sales execution gaps. The company guided third quarter revenue to $1.42 billion at the midpoint, below analyst estimates of $1.44 billion, but slightly raised its full-year adjusted EPS guidance to $13.16 at the midpoint. Operating margin improved to 10.8% from 9.3% a year earlier, and constant currency revenue rose 3.4% year on year. EPAM shares traded at $100.16, down from $109.87 before the earnings release.
EPAM Systems IncQ3 revenue guidance below estimates and shares fell after earnings.