EX-99.1 2 q32024_ex-991.htm EX-99.1 Document
展品99.1
q42019pegalogo.jpg
Pega Cloud的增長突顯2024年第三季度良好。
•年度合同价值（ACV）同比增长16％（在不变货币中为14％）
•Pega Cloud ACV年增長率為30％（按不變的貨幣計算為26％）
•2024年前九個月營運現金流達到25100萬美元，自由現金流達到24600萬美元
2024年10月23日，麻省劍橋。 - pegasystems inc（納斯達克：PEGA），領先的企業人工智能決策和工作流自動化平台提供商，公布了2024年第三季度的財務楐果。
“Pega GenAI Blueprint 正在引發巨大的興奮，並從根本上改變我們與客戶接觸的方式，”創始人兼CEO Alan Trefler 說道。"Pega 獨特的人工智能方法正在向客戶展示，他們如何能加速數位轉型，轉變為真正的自主企業。"
「看到年度合同價值（ACV）增長加速並持續強勁的自由現金流，讓人感到非常棒，」首席運營官兼首席財務官Ken Stillwell表示。「Pega Cloud增長的急劇加速表明我們的客戶致力於數位轉型。」
財務和績效指標 (1)
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調和ACV和恆定貨幣ACV
（數字以百萬為單位，除百分比外）2023年9月30日2024年9月30日
一年變動
ACV$1,169 $1,360 16 %
匯率期貨變動的影響— (28)
恆定貨幣 ACV
$1,169 $1,332 14 %
備註：恆定貨幣ACV是通過將2023年9月30日的匯率期貨應用於顯示的所有時期進行計算。
1 請參考本公告末尾的時間表 請參考本公告末尾的時間表 有關更多資訊，包括GAAP與非GAAP措施的調解，請參閱本公告末尾的時間表。
1
展品99.1
(續)
現金流增長
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(以千元為單位，除每股金額外)
除每股金額外，所有金額均以千元為單位
結束於三個月的期間
九月三十日，		九個月結束了
九月三十日，
20242023變化20242023變化
營業總收入$325,050 $334,643 (3)%$1,006,350 $958,383 5 %
凈利潤（虧損）-根據通用會計準則$(14,390)$(7,279)(98)%$(19,901)$(74,857)73 %
凈利潤-非通用會計準則$34,594 $37,595 (8)%$122,589 $58,018 111 %
每股稀釋後（虧損）-根據通用會計準則$(0.17)$(0.09)(89)%$(0.23)$(0.90)74 %
每股稀釋後盈利-非通用會計準則$0.39 $0.44 (11)%$1.38 $0.69 100 %
(以千美元計)結束於三個月的期間
九月三十日，		變化九個月結束了
九月三十日，		變化
2024202320242023
Pega Cloud$144,108 44 %$118,040 35 %$26,068 22 %$409,096 41 %$340,982 36 %$68,114 20 %
維護80,702 25 %83,538 25 %(2,836)(3)%242,047 24 %245,210 25 %(3,163)(1)%
訂閱服務224,810 69 %201,578 60 %23,232 12 %651,143 65 %586,192 61 %64,951 11 %
訂閱授權45,420 14 %74,342 22 %(28,922)(39)%193,405 19 %200,066 21 %(6,661)(3)%
訂閱270,230 83 %275,920 82 %(5,690)(2)%844,548 84 %786,258 82 %58,290 7 %
諮詢服務54,364 17 %55,976 17 %(1,612)(3)%160,451 16 %167,396 18 %(6,945)(4)%
永久許可證456 — %2,747 1 %(2,291)(83)%1,351 — %4,729 — %(3,378)(71)%
$325,050 100 %$334,643 100 %$(9,593)(3)%$1,006,350 100 %$958,383 100 %$47,967 5 %
季度性分析師看漲
將於2024年10月24日（星期四）上午8:00（EDT）進行電話簇議和僅有音訊網絡廣播。
歡迎公眾和投資者撥打1 (800) 715-9871（國內）或 1 (646) 307-1963（國際）來參加看漲，並參加問答環節，並使用2282955會議ID，或通過 https://events.q4inc.com/attendee/813806779 進入www.pega.com，至少提前五分鐘登錄並在投資者部分點擊網頁轉播的icon。
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討論非依照通用會計原則的財務指標
我們的非GAAP財務指標應僅與我們按照GAAP編制的綜合基本報表一起閱讀。我們認為這些指標有助於投資者理解我們的核心營運結果和前景，這與管理層如何衡量和預測我們的表現相一致，而不受常常是一次性收費和其他非正常營運項目效果的影響。管理層使用這些指標來評估公司營運的表現並設立營運目標和獎勵。它們並不取代根據美國GAAP編制的財務指標。請參閱該 請參考本公告末尾的時間表 有關更多資訊，包括GAAP與非GAAP措施的調解，請參閱本公告末尾的時間表。
前瞻性聲明
本新聞稿中的某些陳述可能屬於「前瞻性陳述」，如《1995年私人證券訴訟改革法案》中所定義的。
詞彙如預期、預料、意圖、計畫、相信、將、可能、應該、估計、可能、目標、策略、打算、項目、預測、指引、可能、通常等，或此類詞彙的變體以及其他類似的表達方式可以識別出前瞻性陳述。這些陳述僅代表我們在做出陳述的日期的觀點，並基於當前的期望和假設。
前瞻性陳述涉及未來事件，且受到難以預測的風險和不確定因素影響，包括但不限於：
•我們未來的財務表現和業務計劃;
•我們的流動性和資本資源的充分性；
•繼續支付我們的季度分紅派息；
•營業收入確認的時機；
•我們產品和服務的需求變化，包括公共板塊的客戶間。
•依賴關鍵人員；
•依賴第三方服務提供商，包括託管提供商;
•遵守我們的債務義務和契約；
•我們可轉換債券和設限看漲交易的潛在影響；
•外匯貨幣兌換匯率；
•由於網絡攻擊可能產生的法律和財務責任，以及對我們聲譽的損害；
•安防漏洞和安防缺陷;
•我們保護知識產權的能力，保護此類權利所需的成本，對我們提出知識產權主張的第三方，以及對我們提出的其他相關索賠，包括相關成本、損害賠償以及其他可能對我們適用的救濟。
•我們與appian corp.的訴訟仍在進行中；
•我們的客戶保留率；以及
•管理我們的成長。
這些風險以及其他可能導致實際結果與此類前瞻性陳述不同的因素，詳見我們於2023年12月31日結束的一年度10-k表格第I部分及我們向美國證券交易委員會（“SEC”）提出的其他申報文件中進一步描述。
投資者應謹慎對待此類前瞻性陳述，並且不能保證此類陳述中包含的結果將會實現。儘管後續事件可能導致我們的觀點改變，但除非適用法律要求，我們不承諾並明確否認有義務就新資訊、未來事件或其他原因對這些前瞻性陳述進行公開更新或修訂。
本新聞稿中的任何前瞻性陳述均代表我們截至2024年10月23日的觀點。
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關於pegasystems
Pega提供強大的平台，賦予全球領先機構解鎖實時優化業務轉型成果的能力。客戶使用我們的企業人工智能決策和工作流自動化解決他們面臨的最迫切業務挑戰 - 從個性化互動到自動化服務再到流程優化。自1983年以來，我們構建了可伸縮靈活的架構，幫助企業滿足當今客戶需求，同時不斷進行轉型以迎接未來。想瞭解更多有關Pega（納斯達克：PEGA）如何賦予客戶「為改變而建」的能力，請訪問 www.pega.com。
Press contact:
Lisa Pintchman
VP, Corporate Communications
lisapintchman.rogers@pega.com
617-866-6022
Twitter: @pega
Investor contact:
Peter Welburn
VP, Corporate Development & Investor Relations
PegaInvestorRelations@pega.com
617-498-8968
All trademarks are the property of their respective owners.
4


PEGASYSTEMS INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share amounts)
Three Months Ended
September 30,		Nine Months Ended
September 30,
2024202320242023
Revenue
Subscription services$224,810 $201,578 $651,143 $586,192 
Subscription license45,420 74,342 193,405 200,066 
Consulting54,364 55,976 160,451 167,396 
Perpetual license456 2,747 1,351 4,729 
Total revenue325,050 334,643 1,006,350 958,383 
Cost of revenue
Subscription services36,868 35,906 108,930 109,553 
Subscription license384 629 1,504 1,971 
Consulting59,451 57,204 177,864 176,262 
Perpetual license3 24 12 51 
Total cost of revenue96,706 93,763 288,310 287,837 
Gross profit228,344 240,880 718,040 670,546 
Operating expenses
Selling and marketing127,669 131,598 395,125 425,253 
Research and development74,157 74,955 221,695 224,262 
General and administrative35,694 27,321 84,641 73,893 
Litigation settlement, net of recoveries— — 32,403 — 
Restructuring2,485 17,822 3,283 21,450 
Total operating expenses240,005 251,696 737,147 744,858 
(Loss) from operations(11,661)(10,816)(19,107)(74,312)
Foreign currency transaction (loss) gain(4,405)1,994 (7,230)(3,971)
Interest income6,769 2,532 18,835 5,831 
Interest expense(1,639)(1,533)(5,047)(5,229)
(Loss) on capped call transactions(689)(2,294)(667)(449)
Other income, net— 6,383 1,684 18,668 
(Loss) before provision for income taxes(11,625)(3,734)(11,532)(59,462)
Provision for income taxes2,765 3,545 8,369 15,395 
Net (loss)$(14,390)$(7,279)$(19,901)$(74,857)
(Loss) per share
Basic$(0.17)$(0.09)$(0.23)$(0.90)
Diluted$(0.17)$(0.09)$(0.23)$(0.90)
Weighted-average number of common shares outstanding
Basic85,625 83,336 85,018 82,996 
Diluted85,625 83,336 85,018 82,996 
5

PEGASYSTEMS INC.
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
September 30, 2024December 31, 2023
Assets
Current assets:
Cash and cash equivalents$287,649 $229,902 
Marketable securities415,341 193,436 
Total cash, cash equivalents, and marketable securities702,990 423,338 
Accounts receivable, net173,623 300,173 
Unbilled receivables, net157,281 237,379 
Other current assets85,186 68,137 
Total current assets1,119,080 1,029,027 
Long-term unbilled receivables, net77,576 85,402 
Goodwill81,568 81,611 
Other long-term assets301,008 314,696 
Total assets$1,579,232 $1,510,736 
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable$20,103 $11,290 
Accrued expenses41,236 39,941 
Accrued compensation and related expenses98,033 126,640 
Deferred revenue345,574 377,845 
Convertible senior notes, net501,225 — 
Other current liabilities18,372 21,343 
Total current liabilities1,024,543 577,059 
Long-term convertible senior notes, net— 499,368 
Long-term operating lease liabilities66,750 66,901 
Other long-term liabilities14,916 13,570 
Total liabilities1,106,209 1,156,898 
Total stockholders’ equity473,023 353,838 
Total liabilities and stockholders’ equity$1,579,232 $1,510,736 

PEGASYSTEMS INC.
UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Nine Months Ended
September 30,
20242023
Net (loss)$(19,901)$(74,857)
Adjustments to reconcile net (loss) to cash provided by operating activities
Non-cash items180,036 168,001 
Change in operating assets and liabilities, net90,562 44,776 
Cash provided by operating activities250,697 137,920 
Cash (used in) investing activities(215,999)(24,176)
Cash provided by (used in) financing activities26,949 (85,031)
Effect of exchange rate changes on cash, cash equivalents, and restricted cash4,591 (1,621)
Net increase in cash, cash equivalents, and restricted cash66,238 27,092 
Cash, cash equivalents, and restricted cash, beginning of period232,827 145,054 
Cash, cash equivalents, and restricted cash, end of period$299,065 $172,146 
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PEGASYSTEMS INC.
RECONCILIATION OF SELECTED GAAP AND NON-GAAP MEASURES
(in thousands, except percentages and per share amounts)
Three Months Ended
September 30,		Nine Months Ended
September 30,
20242023Change20242023Change
Net (loss) - GAAP$(14,390)$(7,279)(98)%$(19,901)$(74,857)73 %
Stock-based compensation (1)
37,213 31,299 108,218 110,083 
Restructuring2,485 17,822 3,283 21,450 
Legal fees9,863 6,748 14,214 11,066 
Litigation settlement, net of recoveries— — 32,403 — 
Amortization of intangible assets700 965 2,453 2,977 
Interest on convertible senior notes621 613 1,857 1,988 
Capped call transactions689 2,294 667 449 
Repurchases of convertible senior notes— — — (7,855)
Foreign currency transaction loss (gain)4,405 (1,994)7,230 3,971 
Other
— (5,814)(1,628)(10,285)
Income taxes (2)
(6,992)(7,059)(26,207)(969)
Net income - non-GAAP$34,594 $37,595 (8)%$122,589 $58,018 111 %
Diluted (loss) per share - GAAP$(0.17)$(0.09)(89)%$(0.23)$(0.90)74 %
non-GAAP adjustments0.56 0.53 1.61 1.59 
Diluted earnings per share - non-GAAP$0.39 $0.44 (11)%$1.38 $0.69 100 %
Diluted weighted-average number of common shares outstanding - GAAP85,625 83,336 3 %85,018 82,996 2 %
Stock-based compensation4,097 1,945 3,512 1,332 
Diluted weighted-average number of common shares outstanding - non-GAAP89,722 85,281 5 %88,530 84,328 5 %
Our non-GAAP financial measures reflect the following adjustments:
•Stock-based compensation: We have excluded stock-based compensation from our non-GAAP operating expenses and profitability measures. Although stock-based compensation is a key incentive offered to our employees, and we believe such compensation contributed to our revenues recognized during the periods presented and is expected to contribute to our future revenues, we continue to evaluate our business performance, excluding stock-based compensation.
•Restructuring: We have excluded restructuring from our non-GAAP financial measures. Restructuring fluctuates in amount and frequency and is significantly affected by the timing and size of our restructuring activities. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as these amounts are not representative of our core business operations and ongoing operational performance.
•Legal fees: Legal and related fees arising from proceedings outside the ordinary course of business. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as the types of events giving rise to them are not representative of our core business operations and ongoing operational performance.
•Litigation settlement, net of recoveries: Cost to settle litigation, net of insurance recoveries, arising from proceedings outside the ordinary course of business. See Note 15. Commitments and Contingencies in our Quarterly Report for the three months ended September 30, 2024 for additional information. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as the types of events giving rise to them are not representative of our core business operations and ongoing operational performance.
•Amortization of intangible assets: We have excluded the amortization of intangible assets from our non-GAAP operating expenses and profitability measures. Amortization of intangible assets fluctuates in amount and frequency and is significantly affected by the timing and size of acquisitions. Investors should note that intangible assets contributed to our revenues recognized during the periods presented and are expected to contribute to future revenues. Amortization of intangible assets is likely to recur in future periods. We believe excluding these amounts provides a useful comparison of our operational performance in different periods.
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•Interest on convertible senior notes: In February 2020, we issued convertible senior notes, due March 1, 2025, in a private placement. We believe that excluding the amortization of issuance costs provides a useful comparison of our operational performance in different periods.
•Capped call transactions: We have excluded gains and losses related to our capped call transactions held at fair value under U.S. GAAP. The capped call transactions are expected to reduce common stock dilution and/or offset any potential cash payments we must make, other than for principal and interest, upon conversion of the convertible senior notes. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as the types of events giving rise to them are not representative of our core business operations and ongoing operational performance.
•Repurchases of convertible senior notes: We have excluded gains from the repurchases of Convertible Senior Notes. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as the types of events giving rise to them are not representative of our core business operations and ongoing operational performance.
•Foreign currency transaction loss (gain): We have excluded foreign currency transaction gains and losses from our non-GAAP profitability measures. Foreign currency transaction gains and losses fluctuate in amount and frequency and are significantly affected by foreign exchange market rates. Foreign currency transaction gains and losses are likely to recur in future periods. We believe excluding these amounts provides a useful comparison of our operational performance in different periods.
•Other: We have excluded gains and losses from our venture investments and expenses incurred due to the cancellation of in-person sales and marketing events. We believe excluding these amounts from our non-GAAP financial measures is useful to investors as the types of events giving rise to them are not representative of our core business operations and ongoing operational performance.
•Diluted weighted-average number of common shares outstanding:
•Stock-based compensation: In periods of non-GAAP income, we have included the dilutive impact of stock-based compensation in our non-GAAP weighted-average shares. In periods of GAAP loss, these shares would have been excluded from our GAAP results as they would be anti-dilutive for GAAP. We believe including the dilutive effect of stock-based compensation in our non-GAAP financial measures in periods of income is helpful to investors as this provides a useful comparison of our operational performance in different periods.
(1) Stock-based compensation:
Three Months Ended
September 30,		Nine Months Ended
September 30,
2024202320242023
Cost of revenue$6,894 $6,410 $20,558 $22,497 
Selling and marketing14,169 10,401 41,621 43,410 
Research and development7,308 7,375 22,779 24,286 
General and administrative8,842 7,113 23,260 19,890 
$37,213 $31,299 $108,218 $110,083 
Income tax benefit$(512)$(316)$(1,377)$(1,569)
(2) Effective income tax rates:
Nine Months Ended
September 30,
20242023
GAAP(73)%(26)%
non-GAAP22 %22 %
Our GAAP effective income tax rate is subject to significant fluctuations due to several factors, including our stock-based compensation plans, research and development tax credits, gains and losses on our capped call transactions, and the valuation allowance on our deferred tax assets in the U.S. and U.K. We determine our non-GAAP income tax rate using applicable rates in taxing jurisdictions and assessing certain factors, including historical and forecasted earnings by jurisdiction, discrete items, and ability to realize tax assets. We believe it is beneficial for our management to review our non-GAAP results consistent with our annual plan's effective income tax rate as established at the beginning of each year, given tax rate volatility. See Note 13. Income Taxes in our Quarterly Report for the three months ended September 30, 2024 for additional information.
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PEGASYSTEMS INC.
RECONCILIATION OF FREE CASH FLOW (1) AND OTHER METRICS
(in thousands, except percentages)

Nine Months Ended
September 30,
Change
20242023
Cash provided by operating activities$250,697 $137,920 82 %
Investment in property and equipment(4,921)(14,271)
Free cash flow (1)
$245,776 $123,649 99 %
Supplemental information (2)
Litigation settlement, net of recoveries$32,403 $— 
Legal fees
9,232 5,867 
Restructuring4,214 21,576 
Interest on convertible senior notes3,767 4,134 
Income taxes
32,246 7,913 
$81,862 $39,490 
(1) Our non-GAAP free cash flow is defined as cash provided by operating activities less investment in property and equipment. Investment in property and equipment fluctuates in amount and frequency and is significantly affected by the timing and size of investments in our facilities. We provide information on free cash flow to enable investors to assess our ability to generate cash without incurring additional external financings. This information is not a substitute for financial measures prepared under U.S. GAAP.
(2) The supplemental information discloses items that affect our cash flows and are considered by management not to be representative of our core business operations and ongoing operational performance.
•Litigation settlement, net of recoveries: Cost to settle litigation, net of insurance recoveries, arising from proceedings outside the ordinary course of business. See Note 15. Commitments and Contingencies in our Quarterly Report for the three months ended September 30, 2024 for additional information.
•Legal fees: Legal and related fees arising from proceedings outside the ordinary course of business.
•Restructuring: Restructuring fluctuates in amount and frequency and is significantly affected by the timing and size of our restructuring activities.
•Interest on convertible senior notes: In February 2020, we issued convertible senior notes, due March 1, 2025, in a private placement. The convertible senior notes accrue interest at an annual rate of 0.75%, payable semi-annually in arrears on March 1 and September 1.
•Income taxes: Direct income taxes paid net of refunds received.
PEGASYSTEMS INC.
ANNUAL CONTRACT VALUE
(in thousands, except percentages)

Annual contract value (“ACV”) - ACV represents the annualized value of our active contracts as of the measurement date. The contract's total value is divided by its duration in years to calculate ACV. ACV is a performance measure that we believe provides useful information to our management and investors.
September 30, 2024September 30, 2023Change
Constant Currency Change
Pega Cloud$640,574 $494,571 $146,003 30 %26 %
Maintenance
306,753 319,250 (12,497)(4)%(6)%
Subscription services
947,327 813,821 133,506 16 %14 %
Subscription license
412,678 355,055 57,623 16 %15 %
$1,360,005 $1,168,876 $191,129 16 %14 %
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PEGASYSTEMS INC.
BACKLOG
(in thousands, except percentages)

Remaining performance obligations (“Backlog”) - Expected future revenue from existing non-cancellable contracts:
As of September 30, 2024:
Subscription servicesSubscription licensePerpetual licenseConsultingTotal
Pega CloudMaintenance
1 year or less
$495,637 $188,905 $38,175 $2,252 $54,203 $779,172 53 %
1-2 years
310,020 63,701 9,686 317 3,062 386,786 26 %
2-3 years
146,877 26,436 3,046 — 2,008 178,367 12 %
Greater than 3 years
112,002 18,854 102 — — 130,958 9 %
$1,064,536 $297,896 $51,009 $2,569 $59,273 $1,475,283 100 %
% of Total73 %20 %3 %— %4 %100 %
Change since September 30, 2023
$221,777 $(9,387)$(12,956)$(4,694)$15,176 $209,916 
26 %(3)%(20)%(65)%34 %17 %
As of September 30, 2023:
Subscription servicesSubscription licensePerpetual licenseConsultingTotal
Pega CloudMaintenance
1 year or less
$391,324 $202,610 $48,427 $4,567 $39,335 $686,263 54 %
1-2 years
239,787 58,610 4,356 2,696 3,662 309,111 24 %
2-3 years
121,778 28,585 8,518 — 1,100 159,981 13 %
Greater than 3 years
89,870 17,478 2,664 — — 110,012 9 %
$842,759 $307,283 $63,965 $7,263 $44,097 $1,265,367 100 %
% of Total67 %24 %5 %1 %3 %100 %

PEGASYSTEMS INC.
RECONCILIATION OF GAAP BACKLOG AND CONSTANT CURRENCY BACKLOG
(in millions, except percentages)
September 30, 2023September 30, 20241 Year Growth Rate
Backlog - GAAP$1,265 $1,475 17 %
Impact of changes in foreign exchange rates— (43)
Constant currency backlog
$1,265 $1,432 13 %
Note: Constant currency Backlog is calculated by applying the September 30, 2023 foreign exchange rates to all periods shown.
10