Canada's Constellation Software Q3 revenue slightly beats estimates on acquisitions

Constellation Software

06/11/2026 22:19

Overview
Canada vertical market software firm's Q3 revenue rose 19%, slightly beating analyst expectations
Net income attributable to common shareholders was nearly flat year-over-year
Free cash flow available to shareholders fell 16% from a year earlier

Outlook
Company did not provide specific financial guidance for upcoming quarters or full year in its press release

Result Drivers
ACQUISITIONS - Co said revenue growth was mainly driven by acquisitions, with organic growth contributing 2% in the qtr
ACQUISITION SPENDING - Co completed acquisitions totaling $609 mln in the qtr, including deferred payments

Company press release: ID:nGNX7GjMgx

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q3 Revenue
Slight Beat*
$3.51 bln
$3.50 bln (8 Analysts)
Q3 EPS
 
$10.01
 
Q3 Free Cash Flow available to shareholders 
 
$443 mln
 
Q3 Operating Cash Flow
 
$717 mln
 
*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 2 "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 Constellation Software Inc. is C$3,950.00, about 12.5% above its November 5 closing price of C$3,511.69
The stock recently traded at 19 times the next 12-month earnings vs. a P/E of 16 three months ago

Reuters Recommended Reads
Nov 4 - Canada's Lumine Group Q3 revenue jumps 55% on acquisitions, organic growth
Nov 4 - Figma's Q3 revenue jumps 43% and beats estimates; raises FY revenue outlook
Nov 4 - Canada's Kinaxis Q3 SaaS revenue rises, lifts 2026 outlook

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.)