EPAM Systems, a prominent software entity, has recently upgraded its annual profit predictions, outperforming market anticipations. This optimistic adjustment is attributed to the escalating demand for cloud solutions, a trend that has gained momentum as businesses transition towards digital methodologies.
EPAM’s shares have seen a 6% boost in premarket trading, reflecting the market’s confidence in the company’s potential, following a third-quarter financial performance that surpassed analyst expectations.
EPAM now anticipates a 2023 profit ranging from $10.31 to $10.39, up from the prior forecast of $9.90 to $10.10, and surpassing the $10.04 estimate according to LSEG data. In terms of revenue, the firm reported a robust $1.15 billion for the quarter, in line with expectations, while earnings per share reached $2.73, outdoing the predicted $2.56.
On the strategic front, EPAM has strengthened its cloud capabilities through key partnerships with Amazon Web Services and Google Cloud, both of which are experiencing heightened demand due to the integration of AI services. In tandem, the company has streamlined its operations, launching a cost optimization program in the third quarter, projected to yield over $100 million in annualized savings.
