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Sapiens Q1 2025 Earnings Report
Sapiens reported its financial results for the first quarter ended March 31, 2025, showing growth in revenue, gross profit, and net income.
Key Takeaways
Sapiens delivered a strong start to 2025, with revenue increasing by 1.4% to $136.1 million and diluted EPS reaching $0.32. The company's strategic growth priorities, including new deals and successful acquisitions, contributed to the positive performance.
Revenue increased by 1.4% to $136.1 million in Q1 2025 compared to Q1 2024.
Diluted EPS was $0.32 in Q1 2025, up from $0.31 in Q1 2024.
Gross profit grew by 5.4% to $60.7 million in Q1 2025.
Net income attributable to Sapiens' shareholders increased by 3.3% to $17.9 million.
Sapiens
Sapiens
Sapiens Revenue by Segment
Sapiens Revenue by Geographic Location
Revenue by Segment
Software & post-prod services Revenue
CapyFin.comImplementation services Revenue
CapyFin.comRevenue by Geographic Location
North America Revenue
CapyFin.comEurope Revenue
CapyFin.comRest of the World Revenue
CapyFin.com Forward Guidance
Sapiens is raising its 2025 guidance for non-GAAP revenue to the range of $574 million to $578 million, up from the previous $553 million to $558 million. Non-GAAP operating profit is expected to be in the range of $94 million to $96 million, with an operating margin of 16.5% at the midpoint.
Positive Outlook
- Raising 2025 non-GAAP revenue guidance.
- Continued positive momentum from Q1 expected throughout the year.
- Steady increases in demand for AI-driven insurance platforms.
- Strong customer adoption of SaaS model.
- Healthy current pipeline.
Challenges Ahead
- Favorable currency movements are expected to be offset by losses.
- Losses associated with AdvantageGo.
- Integration costs related to Candela acquisition.
- Integration costs related to AdvantageGo acquisition.
- Total aggregate negative impact on 2025 operating profit of approximately $5 million at the midpoint.
Revenue & Expenses
Visualization of income flow from segment revenue to net income