NYSE$EPAM
EPAM Systems Inc. · Q2 2024 earnings
Q2 2024 earnings · · Investor relations
Briefing
Reported a decrease in revenue and EPS due to challenging macro-demand environment.
EPAM reported a decrease in revenue by 2.0% year-over-year to $1.147 billion for Q2 2024. GAAP diluted EPS was $1.70, a decrease of $0.33 year-over-year, while non-GAAP diluted EPS was $2.45, a decrease of $0.19 year-over-year. The company narrows full year revenue guidance to $4.590 billion to $4.625 billion.
- Revenues decreased to $1.147 billion, a year-over-year decrease of 2.0%.
- GAAP income from operations was 10.5% of revenues and non-GAAP income from operations was 15.2% of revenues.
- GAAP diluted EPS was $1.70, a decrease of $0.33 year-over-year, and non-GAAP diluted EPS was $2.45, a decrease of $0.19 year-over-year.
- The Board of Directors approved a new share repurchase program with authorization to purchase up to $500 million of EPAM common stock.
Headline financials
Revenue & EPS history
EPAM · Revenue · Quarterly
$1.15B
Forward guidance
EPAM expects revenues for the full year to be between $4.590 billion and $4.625 billion. For the third quarter, EPAM expects revenues to be in the range of $1.145 billion to $1.155 billion, GAAP diluted EPS to be in the range of $1.75 to $1.83 and non-GAAP diluted EPS to be in the range of $2.65 to $2.73.
Tailwinds
- Company expects revenues will be in the range of $1.145 billion to $1.155 billion for the third quarter.
- Company expects GAAP diluted EPS will be in the range of $1.75 to $1.83 for the quarter.
- Company expects non-GAAP diluted EPS will be in the range of $2.65 to $2.73 for the quarter.
- Company narrows its expected range for revenues to $4.590 billion to $4.625 billion for the full year.
- Company expects GAAP diluted EPS to now be in the range of $7.18 to $7.38 and non-GAAP diluted EPS to now be in the range of $10.20 to $10.40.
Headwinds
- Company is expecting no aggregate improvement in demand for the remainder of the year.
- Revenues on an organic constant currency basis excluding the impact of the exit from Russia will decline 2.9% at the midpoint of the range for the full year.
- Company expects revenues will be in the range of $1.145 billion to $1.155 billion for the third quarter reflecting a year-over-year decline of 0.2% at the midpoint of the range.
- Revenues on an organic constant currency basis excluding the impact of the exit from Russia will decline 1.4% at the midpoint of the range for the third quarter.
- GAAP effective tax rate and its non-GAAP effective tax rate to be approximately 24% for the third quarter.
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q2 2024
+1.0%
Avg return
Earnings day
+0.3%
Avg return
5 days after
+1.5%
Avg return
30 days after
58%
33 / 57 earnings
Positive
+15.5%
Q2 2022
Best reaction
-26.4%
Q1 2024
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | +0.0% | -11.1% | -8.3% | |
| Q4 2025 | -17.9% | -23.2% | -18.0% | |
| Q3 2025 | +4.4% | +12.0% | +26.5% | |
| Q1 2025 | +12.9% | +17.4% | +11.9% | |
| Q4 2024 | -12.8% | -18.4% | -32.1% | |
| Q3 2024 | +15.2% | +21.2% | +21.1% | |
| Q2 2024 | -7.2% | -5.4% | -1.6% | |
| Q1 2024 | -26.4% | -24.9% | -29.0% | |
| Q4 2023 | +12.2% | +7.1% | +7.5% | |
| Q3 2023 | +11.1% | +12.9% | +19.5% | |
| Q2 2023 | +4.3% | +2.8% | +9.1% | |
| Q1 2023 | -14.3% | -14.1% | -4.0% | |
| Q4 2022 | -7.7% | -11.8% | -23.7% | |
| Q3 2022 | -4.4% | -2.2% | +13.1% | |
| Q2 2022 | +15.5% | +13.4% | +11.4% | |
| Q1 2022 | +11.0% | +2.2% | +6.3% | |
| Q4 2021 | -1.6% | -5.0% | -34.6% | |
| Q3 2021 | +3.7% | +5.5% | -12.2% | |
| Q2 2021 | +5.1% | +6.2% | +13.1% | |
| Q1 2021 | -0.2% | -1.6% | +4.6% | |
| Q4 2020 | -4.0% | -5.1% | -3.1% | |
| Q3 2020 | +4.1% | -4.9% | -1.2% | |
| Q2 2020 | +1.3% | +0.6% | +7.5% | |
| Q1 2020 | +0.1% | -0.8% | +6.8% | |
| Q4 2019 | -3.6% | -9.6% | -30.0% | |
| Q3 2019 | +6.1% | +11.9% | +17.7% | |
| Q2 2019 | +3.8% | +5.5% | +7.3% | |
| Q1 2019 | +0.4% | -1.2% | +3.7% | |
| Q4 2018 | +3.4% | +4.1% | +13.3% | |
| Q3 2018 | +5.7% | +4.6% | +9.0% | |
| Q2 2018 | -4.9% | -0.2% | +8.7% | |
| Q1 2018 | +9.6% | +7.4% | +6.8% | |
| Q4 2017 | +1.4% | +0.7% | +6.1% | |
| Q3 2017 | +10.0% | +11.2% | +9.3% | |
| Q2 2017 | -1.3% | -3.2% | -2.9% | |
| Q1 2017 | +3.5% | +3.7% | +10.0% | |
| Q4 2016 | +4.3% | +7.1% | +7.7% | |
| Q3 2016 | -1.6% | +1.6% | +1.2% | |
| Q2 2016 | -5.0% | -4.9% | +0.8% | |
| Q1 2016 | +0.5% | — | — | |
| Q4 2015 | +8.7% | — | — | |
| Q3 2015 | -8.9% | — | — | |
| Q2 2015 | -5.0% | — | — | |
| Q1 2015 | -0.8% | — | — | |
| Q4 2014 | +6.9% | — | — | |
| Q3 2014 | -2.4% | — | — | |
| Q2 2014 | +5.1% | — | — | |
| Q1 2014 | +6.3% | — | — | |
| Q4 2013 | -7.6% | — | — | |
| Q3 2013 | -1.5% | — | — | |
| Q2 2013 | +7.1% | — | — | |
| Q1 2013 | -0.1% | — | — | |
| Q4 2012 | +4.4% | — | — | |
| Q3 2012 | +8.1% | — | — | |
| Q2 2012 | +4.4% | — | — | |
| Q1 2012 | -11.8% | — | — | |
| Q4 2011 | +8.0% | — | — | |
| Q3 2011 | — | — | — | |
| Q2 2011 | — | — | — | |
| Q1 2011 | — | — | — | |
| Q4 2010 | — | — | — | |
| Q3 2010 | — | — | — | |
| Q2 2010 | — | — | — | |
| Q1 2010 | — | — | — |
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