https://assets.capyfin.com/instruments/678fdc13234e27009c5d5e70.png avatar
EPAM
🇺🇸 NYSE:EPAM
View Company
OverviewEarningsDividends
•
Dec 31, 2022

EPAM Q4 2022 Earnings Report

EPAM demonstrated strong financial performance despite challenges, with revenue increasing and strategic investments made for future growth.

Key Takeaways

EPAM Systems reported Q4 2022 revenues of $1.231 billion, an 11.2% year-over-year increase. GAAP diluted EPS was $2.61, up 8.7% year-over-year, and non-GAAP diluted EPS was $2.93, up 6.2% year-over-year. The company's Board of Directors approved a share repurchase program with authorization to purchase up to $500 million of EPAM common stock.

Revenues reached $1.231 billion, reflecting an 11.2% increase year-over-year.

GAAP income from operations was 13.8% of revenues, while non-GAAP income from operations was 17.8% of revenues.

GAAP diluted EPS increased by 8.7% to $2.61, and non-GAAP diluted EPS increased by 6.2% to $2.93.

A share repurchase program was approved, authorizing the purchase of up to $500 million of EPAM common stock.

Total Revenue
$1.23B
Previous year: $1.11B
+11.2%
EPS
$2.93
Previous year: $2.76
+6.2%
Cash from Operations
$186M
Previous year: $285M
-34.7%
Gross Profit
$399M
Previous year: $380M
+4.8%
Cash and Equivalents
$1.68B
Previous year: $1.45B
+16.2%
Free Cash Flow
$165M
Previous year: $228M
-27.8%
Total Assets
$4.01B
Previous year: $3.52B
+13.8%

EPAM

EPAM

Forward Guidance

EPAM provided guidance for the full year and first quarter of 2023, including revenue expectations and GAAP and non-GAAP income from operations.

Positive Outlook

  • Full year revenue is expected to be at least $5.250 billion, reflecting a year-over-year growth rate of at least 9%.
  • Full year GAAP income from operations is expected to be in the range of 11.5% to 12.5% of revenues.
  • Full year non-GAAP income from operations is expected to be in the range of 15.5% to 16.5% of revenues.
  • Full year GAAP diluted EPS is expected to be in the range of $8.64 to $8.84.
  • Full year non-GAAP diluted EPS is expected to be in the range of $11.15 to $11.35.

Challenges Ahead

  • Revenue growth will be negatively impacted by approximately 2% as a result of the decision to exit the Russian market.
  • First quarter revenue growth includes an unfavorable foreign currency translation impact of approximately 2%.
  • Revenue growth will be negatively impacted by approximately 3% as a result of the decision to exit the Russian market.
  • For the first quarter, EPAM expects GAAP income from operations to be in the range of 9.5% to 10.5% of revenues.
  • For the first quarter, EPAM expects non-GAAP income from operations to be in the range of 14.0% to 15.0% of revenues.

Company Overview

Full financial data and analysis

View EPAM