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Mar 31, 2021

Pegasystems Q1 2021 Earnings Report

Pegasystems' first quarter performance in 2021 was marked by increased digital transformation demand and significant growth in Pega Cloud revenue.

Key Takeaways

Pegasystems reported an 18% increase in total revenue year over year, driven by a 56% increase in Pega Cloud revenue. Subscription revenue grew by 23%, and the company saw a substantial improvement in non-GAAP net income, which increased by 448%.

Total ACV grew by 20%, driven by Pega Cloud Choice.

Pega Cloud ACV increased by 55% to $282 million.

Total Backlog increased by 30% year over year.

Subscription revenue growth aligns with total ACV growth, indicating the business strategy is working.

Total Revenue
$313M
Previous year: $266M
+18.0%
EPS
$0.26
Previous year: $0.05
+420.0%
Annual Contract Value
$853M
Previous year: $711
+119910448.5%
Gross Profit
$231M
Previous year: $186M
+24.2%
Cash and Equivalents
$173M
Previous year: $538M
-67.9%
Free Cash Flow
$19.9M
Previous year: -$30.8M
-164.5%
Total Assets
$1.53B
Previous year: $1.47B
+3.7%

Pegasystems

Pegasystems

Pegasystems Revenue by Segment

Forward Guidance

The company expects clients will remain on their accelerated digital transformation path and is well-positioned to support those efforts.

Revenue & Expenses

Visualization of income flow from segment revenue to net income