Agilysys lifts FY revenue, subscription growth outlook after Q1 results beat

Agilysys

27/07/2026 21:13

Overview
US hospitality software provider's fiscal Q1 revenue rose 14% yr/yr, beating analyst expectations
Adjusted EPS for fiscal Q1 beat analyst expectations
Company raised full-year revenue and subscription growth guidance

Outlook
Agilysys raises fiscal 2027 total revenue guidance to $368 mln-$373 mln
Company increases subscription revenue growth guidance to at least 32% for fiscal 2027
Agilysys maintains adjusted EBITDA guidance at 24% of revenue for fiscal 2027

Result Drivers
SUBSCRIPTION GROWTH - Co said 26% yr/yr increase in subscription revenue was a key driver of Q1 results
AI-ENABLED SOLUTIONS - Co said adoption of AI-powered features contributed to sales and adoption results
SALES MOMENTUM - Co said record Q1 sales period and project implementation progress drove backlog to record highs

Company press release: ID:nBwTtTgXa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$87.70 mln
$85.98 mln (8 Analysts)
Q1 Adjusted EPS
Beat
$0.49
$0.40 (8 Analysts)
Q1 Net Income
 
$9 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Agilysys Inc is $128.32, about 30.2% above its July 24 closing price of $98.54
The stock recently traded at 37 times the next 12-month earnings vs. a P/E of 33 three months ago

Reuters Recommended Reads
July 27 - UK's Quartix Technologies H1 revenue rises on subscription base, price increases
July 27 - Vodafone Q1 revenue rises on service growth, Three UK consolidation
July 27 - Government engagement with AI creates more uncertainty for investors, Bridgewater CIOs warn

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)