EarningsQ2 2026 Earnings Report
MX:EPAM Q2 2026 EPS Results
Actual EPS$57.47
Consensus EPS$53.66
Beat/MissBeat by +$3.81
One Year Ago EPS$47.10
MX:EPAM Q2 2026 Revenue Results
Actual Revenue$24.05B
Expected Revenue$23.93B
Beat/MissBeat by +$122.65M
YoY Revenue Growth+4.53%
Earnings Announcement Details
QuarterQ2 2026
Date08/06/2026
TimeBefore Open
Conference CallThursday, August 6, 2026
MX:EPAM Upcoming Earnings
Epam Systems's next earnings date is estimated for October 29, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:EPAM Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Neutral
The call presented a mixed picture: the company beat quarterly expectations with solid revenue, margin expansion, EPS growth and notable AI momentum (AI-native revenues >$160M and strong partner certifications). However, meaningful headwinds remain — most notably underperformance in North America, softer Software & Hi-Tech and Media verticals, delayed cash conversion and a reduced full-year revenue outlook with key AI-led large deals expected to contribute mainly in 2027. Management outlined a multi-quarter go-to-market transformation to address execution gaps, but the near-term outlook is tempered by timing and pipeline-signing risk.Company Guidance
Revenue and Organic Growth
Q2 revenue of $1.415 billion, up 4.5% year-over-year on a reported basis and up 3.4% on an organic constant currency basis.
Strong Profitability and EPS Expansion
GAAP income from operations grew ~20.4% year-over-year to $152 million (10.8% of revenue); non-GAAP income from operations grew 14.7% to $233 million (16.4% of revenue). GAAP diluted EPS rose 26.3% to $1.97; non-GAAP diluted EPS rose 22% to $3.38.
Improved Gross Margins
GAAP gross margin improved to 30.4% from 28.8% a year ago; non-GAAP gross margin improved to 32.0% from 30.1% a year ago, driven by price improvements and better non-T&M profitability.
AI Native Momentum
Pure AI native revenues exceeded $160 million in the quarter (sixth consecutive quarter of double-digit sequential growth), representing ~11% of total revenue and keeping the company on track for the $600 million AI-native target for 2026.
Vertical and Regional Wins
Four of six verticals grew YoY; Financial Services led at +11.5% YoY and Life Sciences & Healthcare grew +8.0% YoY. EMEA grew strongly at +10.9% YoY (9.4% in constant currency).
Partnerships and Certifications
Became an OpenAI advanced partner (path to Elite) with commitments to certify and train thousands; 2,000+ Gemini certifications underway with Google; >5,700 Anthropic certified engineers (ahead of 5,000 by Q3 target); multiple industry awards (Databricks Partner of the Year, Fortress Cybersecurity Award, Gartner, IDC, Forrester, WSJ recognition).
Operational and Capital Actions
Headcount: >62,850 employees and >56,650 delivery professionals (+1.5% YoY); utilization improved to 78.3%. Repurchased ~1.3 million shares (~$80 million in Q2) and total buybacks of ~$1.6 billion since program inception. Cash & equivalents approx. $800 million.
Guidance & Margin Outlook
Updated full-year guidance: revenue growth of 3.2%–4.2% (organic 2%–3%); GAAP income from operations 10.5%–11%; non-GAAP income from operations 15.5%–16% (company expects to operate at the high end of prior adjusted IFO range). Q3 revenue guided to $1.410B–$1.425B.
MX:EPAM Earnings History
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