NYSE$DAVA

Endava plc-ADR · Q3 2025 earnings

Q3 2025 earnings · · Before market open · Investor relations

Briefing

Endava Q3 FY2025: £194.8M revenue (+12% CC), adjusted EPS £0.34

Endava reported Q3 fiscal 2025 results on May 14, 2025 for the three months ended March 31, 2025. Revenue increased 11.7% to £194.8 million, or 12.4% at constant currency, despite a challenging macro environment where clients are slow to sign larger contracts. Profit for the period was £10.9 million with diluted EPS of £0.18, compared to a loss of £(0.03) per share a year ago. Adjusted profit before tax rose to £24.6 million (12.6% of revenue) and adjusted diluted EPS was £0.34 versus £0.22. Adjusted free cash flow was £17.5 million and headcount totaled 11,365. The board authorized an additional £50 million share repurchase.

  • Revenue grew 11.7% to £194.8M (12.4% at constant currency) in a cautious client spending environment
  • Diluted EPS of £0.18 vs £(0.03) prior year; adjusted diluted EPS rose to £0.34 from £0.22
  • Adjusted PBT of £24.6M represented 12.6% of revenue, up from 8.9% a year ago
  • Adjusted free cash flow was £17.5M; cash and equivalents totaled £68.3M
  • Q4 FY2025 guidance: revenue £186.0–£188.0M; adjusted diluted EPS £0.22–£0.24

Headline financials

Total Revenue

£195M

Previous: £221M-11.9%
EPS (adj)

£0.34

Previous: £0.28+21.4%
Clients with >£1M TTM revenue

136

No prior period
Revenue growth at constant currency

12.4%

No prior period
Free Cash Flow

£17.5M

No prior period
Net Income

£10.9M

Previous: -£2.2M+597.0%
Operating Income

£16.5M

Previous: -£2.1M+885.1%
Cash & Equivalents

£68.3M

No prior period

Revenue & EPS history

Endava · Revenue · Quarterly

£195M

Q3 2025-11.9%vs Q3 2024
Beat estimate in 7 of 15 quarters(47%)
ActualEstimate

Revenue by segment

Endava · £179M total across 7 segments · Q3 2026

  • Payments
    £41M
  • BCM
    £39.3M
  • Technology, Media and Telecommunications
    £28.6M
  • Healthcare
    £19.6M
  • Other industries
    £19.6M
  • Insurance
    £16.1M
  • Mobility
    £14.3M

Forward guidance

For Q4 FY2025 Endava expects revenue of £186.0–£188.0M (flat to -1% CC) and adjusted diluted EPS of £0.22–£0.24. Full FY2025 revenue guidance is £771.5–£773.5M with adjusted diluted EPS of £1.11–£1.13.

Tailwinds

  • Return to profitability with strong adjusted margin expansion
  • Board added $50M to share repurchase authorization

Headwinds

  • CEO cited slower conversion of pipeline into signed contracts amid macro uncertainty

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2025

Historical avgQ3 2025

-0.6%

Avg return

Earnings day

-1.8%

Avg return

5 days after

-2.1%

Avg return

30 days after

56%

18 / 32 earnings

Positive

+14.2%

Q1 2023

Best reaction

-38.7%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q3 2026-3.2%-19.2%-34.2%
H1 2026-4.0%-13.2%-12.4%
Q1 2026-26.1%-30.4%-30.1%
Q3 2025-26.6%-28.3%-26.8%
H1 2025-7.2%-5.6%-11.1%
Q1 2025+3.2%-5.7%+7.0%
Q4 2024-7.9%-7.3%-7.6%
Q3 2024+2.8%-0.2%-2.9%
Q2 2024-38.7%-41.8%-40.4%
Q1 2024+6.0%+16.7%+23.2%
Q4 2023+7.4%+9.5%+13.8%
Q3 2023-9.1%-8.9%-11.3%
Q2 2023-7.1%-6.3%-22.1%
Q1 2023+14.2%+13.6%+11.4%
Q4 2022+3.4%+1.3%-5.8%
Q3 2022+10.9%+2.2%+6.4%
Q2 2022+3.8%+2.8%-2.8%
Q1 2022-1.5%-6.4%-13.5%
Q4 2021+14.1%+19.3%+35.0%
Q3 2021+8.0%+7.4%+24.2%
Q2 2021+2.5%+1.2%+2.9%
Q1 2021-4.0%-4.8%+3.1%
Q4 2020+3.6%+7.9%+17.8%
Q3 2020-4.2%+1.2%+0.1%
Q2 2020+10.4%+10.5%-16.7%
Q1 2020+4.2%+4.5%+6.6%
Q4 2019+5.5%+0.5%+8.5%
Q3 2019+10.0%+8.9%+12.2%
Q2 2019+13.2%+10.7%+3.4%
Q1 2019+0.5%-1.1%-1.7%
Q3 2018-2.3%+2.3%-2.0%
Q4 2018-2.3%+2.3%-2.0%
Q1 2017
Q4 2017

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