10-K annual report · filed Feb 28, 2025

EPAM Systems (EPAM) FY2024 10-K Annual Report

Short answer

EPAM Systems (EPAM) filed its fiscal 2024 10-K annual report with the SEC on Feb 28, 2025. It reported revenue of $4.7B (+0.8% year over year) and net income of $455M.

  • Top risk flagged: Regulatory risk: Uncertainty in revenue recognition due to judgment in estimating variable consideration under U.S. GAAP revenue recognition rules

FY2024 key financial metrics · XBRL

Revenue
$4.7B
+0.8% YoY
Net income
$455M
+9.0% YoY
Operating margin
11.5%
+0.8 pp YoY
EPS (diluted)
$7.84
+11.0% YoY
ROE
12.5%
+0.5 pp YoY
Operating cash flow
$559M
−0.6% YoY

Source: XBRL data from the EPAM Systems (EPAM) FY2024 10-K on SEC EDGAR. USD.

EPAM Systems FY2024 10-K analysis

AI summary of each section, grounded in the filing text

Business Overview

  • Core business: global digital engineering and AI-enabled transformation services with strategy and experience consulting integration
  • New emphasis on AI/GenAI platforms like EPAM AI/RUN™ and innovation initiatives such as DIALX Lab for advanced AI-driven solutions
  • Strategic shift enhancing AI capabilities and cloud migration services to accelerate client digital transformation and innovation velocity
  • Client retention strong with 65.4% revenues from clients ≥5 years; top 5 clients contribute 15.8% revenue in 2024, slightly down from prior years
  • Noteworthy growth in multidisciplinary teams and proprietary global delivery platform supporting scalable agile software and technology transformation

Management Discussion & Analysis

  • Sufficient cash, cash equivalents, and short-term investments expected to cover operating and capital expenditures for at least 12 months
  • Geopolitical risks including Ukraine invasion may disrupt financial markets, increasing cost of capital, and adversely affect business and liquidity
  • Potential need for additional funds through equity or debt issuance, risking dilution or restrictive covenants
  • No material off-balance sheet obligations or contingent liabilities reported in this section

Risk Factors

  • Regulatory risk: Uncertainty in revenue recognition due to judgment in estimating variable consideration under U.S. GAAP revenue recognition rules
  • Geopolitical risk: Revenue impact from exit and sale of Russian holdings, reducing CEE region revenues from $22.9M in 2023 to immaterial in 2024
  • Operational risk: Reliance on fixed-price contracts for maintenance/support with revenue recognized ratably, subject to risks in estimating progress and deliverables
  • Market disruption risk: Growth in Financial Services vertical to 21.6% of revenues in 2024 vs. declines in Consumer Goods, Retail & Travel, Software & Hi-Tech verticals
  • Financial risk: Client concentration decreased in 2024, with top client revenues as % of total declining, reducing dependency risk

Generated from the filing text; verify against the original. How to read a 10-K

Other EPAM Systems annual reports

Ask about this 10-K

Compare years, dig into a risk factor or check the numbers against insider trades and fund holders.