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EPAM Systems Raises 2025 Revenue and Profit Forecasts on Strong AI-Driven Demand

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EPAM Systems boosted its annual revenue and profit outlook on Thursday, driven by robust demand for its software services as companies continue heavy investments in artificial intelligence technologies. The company also exceeded second-quarter earnings expectations, pushing its shares up over 5% in premarket trading.

The software provider, known for its consulting, cloud, AI transformation, and engineering services, reported broad-based revenue growth across key industry sectors including financial services, healthcare, software, and consumer goods, as well as across global regions.

“As our clients prioritize their AI-readiness and preparatory actions, they are increasingly turning to us to build out their data and AI foundation,” said Chief Revenue Officer Balazs Fejes, who is set to become CEO in September.

EPAM now projects 2025 annual revenue growth between 13% and 15%, revised upward from a previous range of 11.5% to 14.5%. Analysts had expected 13.4%, according to LSEG data. The company also raised its adjusted earnings per share forecast to between $10.96 and $11.12, surpassing the prior guidance of $10.70 to $10.95 and analysts’ estimate of $10.85.

For the third quarter, EPAM anticipates revenue of $1.37 billion to $1.38 billion and adjusted earnings per share between $2.98 and $3.06, both above market expectations.

In Q2, the company posted revenue of $1.35 billion, an 18% increase year-over-year that beat estimates of $1.33 billion. Adjusted earnings per share of $2.77 also surpassed the forecast of $2.61.

EPAM Systems Lifts 2025 Outlook, Names New CEO as Shares Surge 10%

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EPAM Systems raised its annual revenue and earnings forecast on Thursday and announced a major leadership transition, sending its stock up about 10% in premarket trading.

The IT services and consulting firm said founder and long-time CEO Arkadiy Dobkin will become executive chairman effective September 1, while current Chief Revenue Officer Balazs Fejes will take over as the new Chief Executive Officer.

Financial Highlights:

  • 2025 revenue growth is now projected at 11.5% to 14.5%, up from the previous 10% to 14% range.

  • Full-year adjusted EPS forecast increased to $10.70–$10.95, from $10.45–$10.75.

  • Q1 revenue: $1.30 billion vs. $1.28 billion expected (LSEG data)

  • Q1 adjusted EPS: $2.41 vs. $2.27 expected

Strategic and Market Context:

  • EPAM’s diversified IT consulting services have helped it outperform peers during a cautious tech spending environment.

  • Larger rivals such as Accenture and IBM have recently faced setbacks due to U.S. federal contract cutbacks amid Trump administration spending reductions.

  • EPAM’s recent acquisition of FD Technologies’ consulting unit is strengthening its positioning in AI-driven financial services.

Looking Ahead:

  • The company also issued a second-quarter forecast that topped Wall Street expectations for both revenue and profit.

  • The leadership transition comes at a time when EPAM is shifting deeper into AI and digital transformation services, and the company says the change is aimed at accelerating innovation and global growth.