EPAM's AI Revenue Soars, Guidance Trimmed

EPAMs Q1 results showcase robust growth, with revenue hitting $1.4 billion, a 7.6% year-over-year increase, and pure AI revenues surging by nearly 20% to $125 million. The company is on track to meet its $600 million full-year AI target, despite macro challenges. Growth was widespread, led by financial services (11.5%) and software hi-tech (10.9%), with EMEA excelling with double-digit gains. Profitability improved, with a 14.3% non-GAAP operating margin and 18.7% increase in adjusted earnings per share to $2.86. AI demand remains strong, with over 80% of top clients in initiatives and more than 100 new AI-native projects launched. However, full-year revenue growth guidance was trimmed to 4-6.5% organically (2.5-5%), citing higher energy prices and decision delays. The AI pipeline remains strong, with large vendor consolidation deals and partnerships like Anthropic for enterprise AI. Support the show:Get a discount at https://solipillow.com/discount/dnn. Advertise on DNN:[email protected] This is an automated, high-level news summary based on public reporting.Report issues to [email protected]. View sources & latest updates:https://sources.thednn.ai/8963e90ef70e472e