Pegasystems Q3 2026 earnings miss as revenue falls short of forecasts
Pegasystems reported third‑quarter 2026 results with total revenue of $393.4 million, a 3% year‑over‑year increase but below the $421.8 million consensus. GAAP net income fell 68% to $14.1 million, yielding diluted GAAP EPS of $0.08, while non‑GAAP EPS was $0.35. Management cited go‑to‑market execution challenges despite a 6% YoY rise in annual contract value to $1.653 billion.
Why it matters
The miss on revenue and earnings may pressure the stock, as analysts had expected $0.49 EPS and higher sales. The company’s guidance for free cash flow of $700 million+ in 2028 remains unchanged, but short‑term cash flow could be constrained by the weaker ACV growth.
Key facts
- 1Total revenue for Q3 2026 was $393.4 million, up 3% YoY. stocktitan.net
- 2Consensus revenue estimate was $421.8 million. investing.com
- 3GAAP net income was $14.1 million, down 68% year over year. stocktitan.net
- 4Diluted GAAP EPS was $0.08. tradingview.com
- 5Diluted non‑GAAP EPS was $0.35. tradingview.com
- 6Annual contract value (ACV) rose 6% YoY to $1.653 billion (7% in constant currency). tradingview.com
Summary written by AlphAI AI Desk from 7 of 7 sources. Not investment advice. Figures are as stated by the linked sources.