PEGAHIGH SIGNALFINANCIAL10-K

PEGA delivered exceptional financial performance with revenue surging 320% to $683M while nearly doubling outstanding shares, suggesting a major business transformation or acquisition.

The dramatic revenue increase combined with strong profitability growth indicates either a transformational acquisition or significant business expansion that has fundamentally changed PEGA's scale. The near-doubling of shares outstanding (from 86M to 169M) suggests equity financing or stock-based acquisition activity to fund this growth.

Comparing 2026-02-10 vs 2025-02-12View on EDGAR →
FINANCIAL ANALYSIS

PEGA showed remarkable growth across all key metrics with revenue jumping 320% to $683M and net income rising 297% to $393M, while operating cash flow increased 46% to $505M. The company significantly increased share buybacks to $500M and reduced total liabilities by 29% to $845M, though cash declined 37% to $212M. Despite the cash reduction, the overall financial picture signals a company that has undergone major expansion while maintaining strong profitability and improving its balance sheet structure.

FINANCIAL STATEMENT CHANGES
Share Buybacks
Cash Flow
+634.2%
$68.1M$499.7M

Share repurchases increased 634.2% — management returning capital, signals confidence in intrinsic value.

Revenue
P&L
+320.4%
$162.4M$682.7M

Strong top-line growth of 320.4% — accelerating demand or successful expansion into new markets.

Net Income
P&L
+296.7%
$99.2M$393.4M

Net income grew 296.7% — bottom-line growth signals improving overall business health.

Operating Income
P&L
+112.4%
$123.9M$263.1M

Operating leverage kicking in — revenue growth outpacing cost growth, a hallmark of scaling businesses.

Capital Expenditure
Cash Flow
+88.1%
$7.7M$14.5M

Capital expenditure jumped 88.1% — major investment cycle underway; assess returns on deployment.

Operating Cash Flow
Cash Flow
+46.1%
$345.9M$505.2M

Operating cash flow surged 46.1% — exceptional cash generation, highest quality earnings signal.

Cash & Equivalents
Balance Sheet
-37%
$337.1M$212.4M

Cash declined 37% — significant cash burn or deployment; verify adequacy of remaining liquidity runway.

Stockholders Equity
Balance Sheet
+34.5%
$585.5M$787.4M

Equity base grew 34.5% — retained earnings accumulation or equity issuance strengthening the balance sheet.

Current Liabilities
Balance Sheet
-32.1%
$1.1B$737.8M

Current liabilities reduced — improved short-term financial position and working capital health.

Total Liabilities
Balance Sheet
-28.6%
$1.2B$844.5M

Liabilities reduced 28.6% — deleveraging improves balance sheet strength and financial flexibility.

LANGUAGE CHANGES
NEW — 2026-02-10
PRIOR — 2025-02-12
ADDED
There were 169,043,716 shares of the Registrant s common stock, $0.01 par value per share, outstanding on January 30, 2026.
Management s Discussion and Analysis of Financial Condition and Results of Operations, along with other reports that we have filed with the Securities and Exchange Commission ( SEC ), external documents, and oral presentations, contains or incorporates forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including our plans for growing our business, the sufficiency of our capital, our position and estimates relating to tax, and legal proceedings.
and associated legal proceedings; and management of our growth.
Recently, we introduced Pega Customer Engagement Blueprint , a new GenAI powered collaboration tool that helps brands easily visualize customer journeys and quickly ideate and refine strategies for better engagement.
It leverages our powerful AI framework so users can collaborate online, map their vision from data models to brand strategy, and create a comprehensive roadmap for customer-centric programs that drive results.
+7 more — sign up free →
REMOVED
There were 85,898,878 shares of the Registrant s common stock, $0.01 par value per share, outstanding on January 31, 2025.
Management s Discussion and Analysis of Financial Condition and Results of Operations, along with other reports that we have filed with the Securities and Exchange Commission ( SEC ), external documents, and oral presentations, contains or incorporates forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995.
To grow our business, we intend to: Increase market share by developing and delivering a platform for enterprise AI decisioning and workflow automation for buyers in marketing, sales, service, operations, and IT that can work together seamlessly with maximum competitive differentiation; Deepen and expand our relationships with existing clients; Establish relationships with new clients; and Continue to scale our marketing efforts to support how today s buyers discover, evaluate, and choose products and services.
Pega s automation goes beyond traditional Business Process Management ( BPM ) to unify technologies such as Robotic Process Automation ( RPA ) and AI and enable organization-wide digital transformation.
5 We deliver our solution through our Center-out Business Architecture , enabling clients to transcend channels and internal data silos to achieve quick wins and long-term transformation.
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