Filing Flows › Pegasystems (PEGA) › Q2 2026 › vs Q2 2025
Pegasystems (PEGA) Q2 2026 vs Q2 2025 (year over year)
Pegasystems's revenue rose $36.2M (+9%) from $385M in Q2 2025 to $421M in Q2 2026. The biggest changes: Subscription +$43.8M (+13%); Consulting −$7.6M (-13%). Gross margin 74.3% against 71.5% (+2.8 pts).
Pegasystems, Q2 2026: revenue $421M (+9% year over year), operating margin 4.0%, net earnings $13.3M, operating cash flow $86.0M. The chart draws each line against Q2 2025, the increases inside each band.
Margins
| Q2 2026 | Q2 2025 | Change | |
|---|---|---|---|
| Gross margin | 74.3% | 71.5% | +2.8 pts |
| Operating margin | 4.0% | 4.5% | -0.5 pts |
| Net margin | 3.2% | 7.8% | -4.7 pts |
| Free cash flow margin | 19.4% | 21.9% | -2.5 pts |
Every line
| Line | Q2 2026 | Q2 2025 | Change | % |
|---|---|---|---|---|
| Pega Cloud | $214M | $167M | $47.2M | +28% |
| Subscription license | $82.0M | $80.7M | $1.4M | +2% |
| Maintenance | $74.5M | $79.3M | −$4.7M | -6% |
| Subscription | $370M | $327M | $43.8M | +13% |
| Consulting | $50.2M | $57.8M | −$7.6M | -13% |
| Revenue | $421M | $385M | $36.2M | +9% |
| Gross profit | $313M | $275M | $37.7M | +14% |
| Cost of revenue | $108M | $110M | −$1.5M | -1% |
| Other income, net | $1.9M | $8.0M | −$6.1M | -76% |
| Operating profit | $16.6M | $17.3M | −$643K | -4% |
| Operating expenses | $296M | $258M | $38.4M | +15% |
| Pre-tax earnings | $18.5M | $25.2M | −$6.7M | -27% |
| Research & development | $84.2M | $78.8M | $5.4M | +7% |
| Sales & marketing | $165M | $147M | $18.3M | +12% |
| General & admin | $43.7M | $31.8M | $12.0M | +38% |
| Net earnings | $13.3M | $30.1M | −$16.7M | -56% |
| Income tax | $5.2M | −$4.8M | $10.0M | — |
| Depreciation & amortization | $2.9M | $3.2M | −$316K | -10% |
| Share-based compensation | $36.2M | $36.7M | −$504K | -1% |
| Working capital & other | $33.5M | $16.3M | $17.3M | +106% |
| Operating cash flow | $86.0M | $86.3M | −$294K | -0.3% |
| Free cash flow (OCF − capex) | $81.7M | $84.1M | −$2.4M | -3% |
| Capital expenditures | $4.2M | $2.1M | $2.1M | +99% |
Questions
How much did Pegasystems's revenue grow year over year in Q2 2026?
Pegasystems's revenue rose $36.2M (+9%) from $385M in Q2 2025 to $421M in Q2 2026.
What drove Pegasystems's revenue change in Q2 2026?
Subscription +$43.8M (+13%); Consulting −$7.6M (-13%).