PRGS Research | Milton Maxwell

PRGS

Progress Software Corporation

43.41

-0.53-1.21%

Dec 16, 4:00:01 PM EST

Upcoming Earnings

Report date

≈ -/-

Earnings Call Transcripts

This Quarter (Q1 '26)

No earnings call transcript available yet

Last Quarter (Q4 '25)

FY Q1 '26

3/29/26Mar 29, 2026

Key Stats

Market Cap

1.87B

P/E (TTM)

39.83

Basic EPS (TTM)

1.09

Dividend Yield

Recent Filings

8-K

Q4 revenue up 18%

1/20/26Jan 20, 2026

Progress Software reported Q4 revenue of $253M, up 18% year-over-year, while ARR hit $852M with 2% growth and 100% net retention. Full-year revenue surged 30% to $978M, fueled by ShareFile integration and AI demand. FY26 guides $986M-$1B revenue. Debt repayment accelerates.

10-K

FY2025 results

1/20/26Jan 20, 2026

Progress Software grew total revenue 30% year-over-year to $978M for FY2025 ended November 30, 2025, propelled by the ShareFile acquisition which delivered $262M—over a quarter of the total. Software licenses dipped 5% to $238M on timing of DataDirect renewals, while SaaS exploded 546% thanks to ShareFile, and maintenance held flat at $410M. ARR edged up 2% to $852M with net retention steady at 100-102%. Q4 saw aggressive buybacks totaling $105M annually ($202M remaining authorization) and $130M debt paydown to $1.4B total, prioritizing M&A liquidity post-ShareFile. Cash from operations hit $235M. Ongoing MOVEit litigation clouds quarterly momentum.

10-Q

Q3 FY2025 results

9/29/25Sep 29, 2025

Progress Software's Q3 FY2025 revenue climbed 40% y/y to $249.8M, fueled by the October 2024 ShareFile acquisition that added $64.6M in SaaS revenue, while software licenses grew 10% y/y to $63.4M on stronger DataDirect and MarkLogic renewals. Gross margin held steady at 81%, but operating income rose 9% y/y to $43.9M amid higher amortization from recent deals; net income dipped 32% y/y to $19.4M, pressured by $17.7M in interest expense from elevated debt. Diluted EPS of $0.44 aligned with 43.7M shares, showing no anti-dilution quirks. Cash from operations hit $172.4M YTD, funding $110M debt repayment on the $1.5B revolver (now at $620M outstanding, 6.32% rate) and $65.1M in buybacks; free cash flow stood at $169.5M (derived). The June 2025 Nuclia buy for $21.4M cash plus $1.1M contingent boosted AI tech with $15.4M goodwill. Ongoing MOVEit litigation poses settlement risks.

8-K

Q3 revenue up 40%, guidance raised

9/29/25Sep 29, 2025

Progress Software crushed Q3 2025 with revenue hitting $250 million, up 40% year-over-year, fueled by ARR surging 47% to $849 million on constant currency. ShareFile integration boosted top and bottom lines, while net retention held steady at 100%. The company raised full-year guidance to $975-$981 million in revenue and $5.50-$5.56 non-GAAP EPS. Debt repayment accelerates, yet cyber vulnerabilities linger.

8-K

Progress upsizes credit facility to $1.5B

7/22/25Jul 22, 2025

Progress Software secured a $1.5 billion revolving credit facility on July 21, 2025, replacing its prior $900 million arrangement and extending maturity to July 21, 2030. This upsized deal, led by JPMorgan with syndication from Citibank and Wells Fargo, supports general corporate needs while maintaining flexible terms like interest rates from 1.25% to 2.50% over benchmarks based on leverage. Yet the facility imposes standard covenants, including a 3.50x senior secured net leverage cap. Bigger liquidity fuels acquisitions.

About

Progress Software Corporation develops, deploys, and manages artificial intelligence (AI) powered applications and digital experiences in the United States and internationally. The company offers Chef, a DevOps/DevSecOps automation software; Corticon, a decision automation platform; DataDirect, a secure data connectivity tools for Relational, NoSQL, Big Data, and SaaS data sources; Developer Tools, such as software development tooling collection, including NET and JavaScript UI components for web, desktop and mobile applications, AI-prompt components, reporting and report management tools, and automated testing and mocking tools; Flowmon, a AI-powered network security and visibility product with automated response across hybrid cloud ecosystems; and Kemp LoadMaster, an application delivery and security product for cloud-native, and virtual and hardware load balancers. It also provides MarkLogic, a data agility platform to connect data and metadata; MOVEit, a managed file transfer software; OpenEdge, an application development platform; Semaphore, a Semantic AI platform; ShareFile, an SaaS-native AI-powered document centric collaboration platform; Sitefinity, a digital experience platform foundation, delivering intelligent, AI-powered, ROI-driving tools for marketers, and an extensible platform for developers; and WhatsUp Gold, a network infrastructure monitoring software providing visibility of various network devices, servers, virtual machines, and cloud and wireless environments to find and fix network problems. The company offers project management, implementation, custom software development, programming, and other services, as well as web-enable applications, and training services. It sells its products to end users, independent software vendors, original equipment manufacturers, system integrators, value added resellers, and distributors. The company was founded in 1981 and is headquartered in Burlington, Massachusetts.

CEO

Mr. Yogesh K. Gupta

IPO

7/30/1991

Website

https://www.progress.com

Employees

2,815

Sector

Technology

Industry

Software - Infrastructure