Back to top

Image: Bigstock

Epam (EPAM) Q1 Earnings: Taking a Look at Key Metrics Versus Estimates

Read MoreHide Full Article

Epam (EPAM - Free Report) reported $1.4 billion in revenue for the quarter ended March 2026, representing a year-over-year increase of 7.6%. EPS of $2.86 for the same period compares to $2.41 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $1.4 billion, representing a surprise of +0.24%. The company delivered an EPS surprise of +4.05%, with the consensus EPS estimate being $2.75.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Epam performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
  • Headcount: 62,750 compared to the 62,926 average estimate based on two analysts.
  • Delivery professionals: 56,500 versus 56,784 estimated by two analysts on average.
  • Revenues by Customer Location- Americas: $799.47 million versus the two-analyst average estimate of $830.48 million. The reported number represents a year-over-year change of +2.5%.
  • Revenues by Customer Location- APAC: $24.58 million versus $27.94 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +1.2% change.
  • Revenues by Customer Location- EMEA: $576.01 million compared to the $533.96 million average estimate based on two analysts. The reported number represents a change of +15.9% year over year.
  • Revenues by Industry Verticals- Financial Services: $350.2 million versus $339.15 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +11.5% change.
  • Revenues by Industry Verticals- Software & Hi-Tech: $210.72 million compared to the $208.16 million average estimate based on two analysts. The reported number represents a change of +10.9% year over year.
  • Revenues by Industry Verticals- Life Sciences & Healthcare: $164.13 million versus the two-analyst average estimate of $165.06 million. The reported number represents a year-over-year change of +5.9%.
  • Revenues by Industry Verticals- Emerging Verticals: $235.75 million versus the two-analyst average estimate of $239.79 million. The reported number represents a year-over-year change of +6.9%.
  • Revenues by Industry Verticals- Consumer Goods, Retail & Travel: $273.88 million compared to the $273.93 million average estimate based on two analysts. The reported number represents a change of +7.2% year over year.
  • Revenues by Contract Type- Time-and-material: $1.09 billion versus the two-analyst average estimate of $1.16 billion. The reported number represents a year-over-year change of +4.5%.
  • Revenues by Contract Type- Fixed-price: $303.71 million versus $227.03 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +20.4% change.

View all Key Company Metrics for Epam here>>>

Shares of Epam have returned -15.8% over the past month versus the Zacks S&P 500 composite's +11% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Zacks' 7 Best Strong Buy Stocks (New Research Report)

Valued at $99, click below to receive our just-released report predicting the 7 stocks that will soar highest in the coming month.

Click Here, It's Really Free

Published in