EPAM Clocks 50% Revenue Growth In Q1 Amid Global Disruptions

EPAM Systems, Inc EPAM reported first-quarter FY22 revenue growth of 50.1% year-on-year to $1.17 billion, beating the consensus of $1.06 billion. Acquisitions completed in the last twelve months contributed 9.9% to revenue growth.
Non-GAAP income from operations was $188.7 million, up 37.8% Y/Y. The non-GAAP operating margin contracted 140 bps to 16.1%.
Non-GAAP EPS of $2.49 beat the consensus of $1.74.
EPAM used $(51.8) million in operating cash flow. EPAM held $1.31 billion in cash and equivalents.
CEO Arkadiy Dobkin said, "Our successful track record in adapting the Company to global disruptions gives me confidence that despite the deeply personal impact the war has had on EPAM, we will execute through this near-term challenge and emerge as a more diverse, more resilient and more relevant global company."
Outlook: For Q2, EPAM expects revenues of at least $1.14 billion (consensus $1.09 billion) and non-GAAP EPS of at least $1.70 (consensus $1.71).
Previously, EPAM shared FY22 revenue guidance of at least $5.15 billion and non-GAAP EPS of $11.36 - $11.69.
Price Action: EPAM shares traded higher by 14.3% at $357.27 on the last check Thursday.

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