The earnings call reflected a positive outlook, with several achievements such as stronger-than-expected Q3 results, significant acquisitions, and an improvement in financial services and life sciences. However, there are challenges like a decline in the Business Information and Media segment and continued caution in client decision-making. The sentiment leans towards a cautiously optimistic outlook for future growth.

Company Guidance

During the EPAM Q3 2024 earnings call, the company reported revenue of $1.168 billion, reflecting a year-over-year increase of 1.3% on a reported basis. Financial Services, Life Sciences & Healthcare, and Software & Hi-Tech were among the key verticals driving this growth, with Life Sciences & Healthcare showing a 14.6% increase. The company achieved a GAAP gross margin of 34.6%, bolstered by a $52 million benefit from a Polish government R&D incentive, which improved GAAP and non-GAAP income from operations by 450 and 250 basis points, respectively. Looking forward, EPAM anticipates Q4 revenue to be flat year-over-year, excluding contributions from the recent Nedis acquisition, and expects full-year 2024 revenue to be around $4.685 billion to $4.695 billion. The company is focused on strategically investing in capabilities and expanding its footprint, particularly in regions like Latin America and India, while navigating a cautious demand environment with a focus on cost optimization and delivering high-quality services.

Stronger-than-expected Q3 Results

EPAM delivered better-than-expected results in Q3, with revenue of $1.168 billion, a year-over-year increase of 1.3% on a reported basis.

Significant Acquisitions

Completed the acquisition of Nedis, the most significant addition in company history, expected to scale global capabilities, especially in Latin America and Europe.

Polish R&D Incentive

Recognized $52 million benefit from Polish government incentive, reducing costs and improving profitability.

Improvement in Financial Services

Financial Services increased 3.3% year-over-year, driven by improvements in fintech and banking.

Life Sciences & Healthcare Growth

Life Sciences & Healthcare delivered strong year-over-year growth of 14.6%.

Return to Sequential Growth in Key Verticals

Financial Services, Software and Hi-Tech, and emerging markets returned to sequential growth.

Free Cash Flow Achievement

Recorded the highest level of free cash flow in company history at $237 million.

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Epam Systems (EPAM) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

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EPAM Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Feb 13, 2025	2024 (Q4)	2.75 / -	2.75	―	―	―
Nov 07, 2024	2024 (Q3)	2.70 / 3.12	2.73	14.29% (+0.39)
Aug 08, 2024	2024 (Q2)	2.26 / 2.45	2.64	-7.20% (-0.19)
May 09, 2024	2024 (Q1)	2.31 / 2.46	2.47	-0.40% (-0.01)
Feb 15, 2024	2023 (Q4)	2.51 / 2.75	2.93	-6.14% (-0.18)
Nov 02, 2023	2023 (Q3)	2.56 / 2.73	3.1	-11.94% (-0.37)
Aug 03, 2023	2023 (Q2)	2.34 / 2.64	2.38	10.92% (+0.26)
May 05, 2023	2023 (Q1)	2.35 / 2.47	2.49	-0.80% (-0.02)
Feb 16, 2023	2022 (Q4)	2.68 / 2.93	2.76	6.16% (+0.17)
Nov 03, 2022	2022 (Q3)	2.53 / 3.10	2.42	28.10% (+0.68)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

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EPAM Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Nov 07, 2024	$202.69	$232.92	+14.91%
Aug 08, 2024	$208.17	$191.16	-8.17%
May 09, 2024	$249.20	$181.93	-26.99%
Feb 15, 2024	$278.14	$301.20	+8.29%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

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