Earnings ·
Pegasystems reports Q3 revenue of $393.4M and non-GAAP EPS of $0.35
PEGAPegasystems Inc
Pegasystems Inc. reported third-quarter 2026 total revenue of $393.4 million, a 3% increase from the prior year period. GAAP net income fell to $14.1 million, or $0.08 per diluted share, down significantly from $43.4 million in Q3 2025 due to a $16 million litigation settlement and higher stock-based compensation. Non-GAAP net income rose 8% to $59.8 million, yielding non-GAAP EPS of $0.35. Annual Contract Value (ACV) grew 6% to $1.65 billion, with Pega Cloud ACV increasing 20%. The company cited go-to-market execution challenges for slower growth in the first nine months but noted Q3 was the strongest quarter of the year. Pegasystems operates as an enterprise AI software provider focused on workflow automation and decisioning.