Progress Software (PRGS) Q2 earnings: Taking a look at key metrics versus estimates

Progress Software reported $237.36 million in revenue for the quarter ended May 2025, representing a year-over-year increase of 35.6%. EPS of $1.40 for the same period compares to $1.09 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $237.84 million, representing a surprise of -0.21%. The company delivered an EPS surprise of +7.69%, with the consensus EPS estimate being $1.30.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.

Here is how Progress Software performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

• Revenue- services (SaaS and professional services): $80.04 million compared to the $52.7 million average estimate based on three analysts. The reported number represents a change of +330.4% year over year.

• Revenue- maintenance: $99.54 million compared to the $111.65 million average estimate based on three analysts. The reported number represents a change of -2.9% year over year.

• Revenue- maintenance and services (Maintenance, SaaS and professional services): $186.56 million versus $167.92 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +54.1% change.

• Revenue- software licenses: $50.8 million versus $70.2 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a -5.9% change.

Shares of Progress Software have returned +3.6% over the past month versus the Zacks S&P 500 composite's +4.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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