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EPAM Systems Reports Strong Q3 Performance and Optimistic Full-Year Outlook

On November 6, 2025, EPAM Systems, Inc. (NYSE: EPAM), a leader in digital transformation services, announced its financial results for the third quarter of 2025, showcasing robust growth and a significant increase in revenue expectations.

Financial Highlights for Q3 2025

During the third quarter, EPAM registered revenues of $1.394 billion, reflecting an impressive 19.4% growth compared to the same period last year. This increase translates to an additional $226.8 million year-over-year. Moreover, on the basis of organic constant currency, revenues rose 7.1%, a promising indication of the company's continued expansion.

The GAAP income from operations stood at $144.9 million, which is a decrease of 18.1% from $177.0 million reported in Q3 2024. However, the non-GAAP income from operations remained relatively stable at $222.8 million, showing just a slight decrease of $0.1 million from the previous year.

The diluted earnings per share (EPS) on a GAAP basis was reported at $1.91, down $0.46 from $2.37 in Q3 2024, while the non-GAAP diluted EPS was $3.08, reflecting a decrease of only $0.04 compared to the previous year.

Shareholder Returns and New Initiatives

In a move to return capital to its shareholders, EPAM repurchased 493,000 shares for $82.1 million during the quarter. The company has also announced a new share repurchase program, allowing for the purchase of up to $1.0 billion in additional shares.

Revised Outlook for 2025

Recognizing the growth potential and strong demand for its services, EPAM raised its revenue growth forecast for the full year to between 14.8% and 15.2%, suggesting robust demand as enterprises increasingly transition to AI-driven models. For the year, the company now expects revenues to fall within the range of $5.430 billion to $5.445 billion, ensuring a 15.0% growth rate at the midpoint.

The forecast for GAAP diluted EPS has also been updated to range between $6.75 to $6.83, while the non-GAAP EPS is anticipated to be between $11.36 to $11.44.

Leadership's Insights

Balazs Fejes, CEO and President of EPAM, expressed optimism about the company's future: "We are pleased to deliver another quarter of improving year-over-year organic constant currency revenue growth, driven by our deep engineering expertise and focus on helping clients build out their AI foundation and transform themselves into AI-Native organizations."

Fejes emphasized the importance of investments in AI and innovative technologies, stating that they're not only transforming EPAM but also enhancing the strategic positioning of the company to lead in the emerging world of AI-Native enterprises.

Market Positioning and Future Directions

Since its inception in 1993, EPAM has established itself as a key player in providing digital engineering and AI-enabled transformation services. The company has continued to expand its capabilities, focusing on integrated strategies to address clients' transformation challenges. Through platforms such as EPAM AI/RUN™ and initiatives like DIALX Lab, EPAM is committed to leveraging AI technologies for tailored business solutions.

EPAM's recent addition to the S&P 500 and recognition as one of the Most Loved Workplaces further solidify its market position, underscoring its commitment to not only technological advancement but also to fostering a supportive work environment for its employees.

Looking ahead, EPAM anticipates robust fourth-quarter performance, projecting revenues between $1.380 billion to $1.395 billion, indicating a year-over-year growth of 11.1% at the midpoint. As EPAM continues to adapt to the changing digital landscape, its strategic focus on AI and technological innovation remains central to driving value for its clients and shareholders alike.

For more detailed insights on EPAM’s financial performance and strategies, the company will host a conference call on November 6, 2025, at 8:00 a.m. ET. Interested parties can register for the event via the EPAM website to participate.

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