Filing Flows › Pegasystems (PEGA) › Q4 2025
Pegasystems (PEGA) Q4 2025 earnings results (fourth quarter 2025)
10-K filed Feb 10, 2026
Pegasystems (PEGA) reported revenue of $504M for the fourth quarter 2025 (Q4 2025), +3% from a year earlier and +32% from the quarter before. Operating margin was 20.7%, net earnings $235M (46.5% of revenue).
Pegasystems, Q4 2025: revenue $504M (+3% year over year), operating margin 20.7%, net earnings $235M, operating cash flow $158M. The chart follows the revenue to costs, profit and cash.
| Q4 2025 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $504M | +32% | +3% |
| Gross profit | $401M | +46% | +3% |
| Operating profit | $104M | +621% | -27% |
| Net earnings | $235M | +441% | +97% |
| Operating cash flow | $158M | +181% | +66% |
| Free cash flow | $152M | +194% | +65% |
What changed
Revenue was $504.3M in Q4 2025, up 3% year over year and up 32% from the previous quarter.
Gross margin was 79.5%, up 0.3 points from a year earlier. Operating profit was $104.4M, a 20.7% margin (down 8.4 points year over year). Operating profit fell $38.6M even though revenue rose $13.5M versus a year earlier, so costs grew faster than sales. Operating expenses grew 21% against revenue growth of 3%. The fastest-growing cost line was Other operating costs (+1613%). Net earnings were $234.6M, up 97% year over year. The tax line was a benefit of $129.6M on pre-tax earnings of $105.0M.
Operating cash flow was $158.4M (up 66% year over year), 68% of net earnings. Non-cash charges added back $4.3M of depreciation and amortization and $34.0M of share-based compensation. Working capital and other items used $114.5M. Capital expenditures of $6.0M left free cash flow of $152.4M.
Questions
What was Pegasystems' revenue in the fourth quarter 2025?
Pegasystems (PEGA) reported revenue of $504M for the fourth quarter 2025 (Q4 2025), +3% from a year earlier and +32% from the quarter before.
Was Pegasystems profitable in the fourth quarter 2025?
Operating profit was $104M (20.7% of revenue) and net earnings $235M.
Source: Pegasystems 10-K on SEC EDGAR.