Tech firm PROS Holdings beats Q2 Adjusted EPS estimates

PROS Holdings

31/07/2025 21:51

Overview

PROS Q2 subscription rev grows 12% yr/yr to $73.3 mln

Adjusted EPS for Q2 beats analyst expectations, per LSEG data

Co raises full-year outlook for subscription revenue and ARR

Outlook

PROS Holdings raises full-year subscription revenue outlook to $295.5 to $297.5 mln

Company expects full-year subscription ARR between $310.0 mln and $313.0 mln

PROS Holdings forecasts Q3 total revenue of $90.5 to $91.5 mln

Company anticipates full-year adjusted EBITDA between $42 mln and $44 mln

Result Drivers

SUBSCRIPTION REVENUE - Subscription revenue increased 12% yr/yr to $73.3 mln, driving overall revenue growth

GROSS MARGIN EXPANSION - Subscription gross margin expanded by more than 50 basis points yr/yr, achieving a non-GAAP margin of 80%

CUSTOMER EXPANSION - Welcomed new customers and expanded platform adoption among existing clients, indicating strong demand for AI-powered solutions

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EPS
Beat
$0.13
$0.06 (8 Analysts)
Q2 EPS
-$0.1
Q2 Subscription Gross Margin
79.0%
Q2 Subscription Adjusted Gross Margin
80.0%
Q2 Subscription Revenue
$73.30 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "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 Pros Holdings Inc is $25.00, about 36.6% above its July 30 closing price of $15.84

The stock recently traded at 22 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release: ID:nBw5gqPYja

(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.)