Contradictions Unveiled: PROS Holdings' 2025 Q2 Earnings Call Highlights Diverging Strategies in Growth and AI Monetization

Earnings and revenue growth strategy, impact of economic conditions on sales environment, subscription revenue growth and forecasting, AI integration and monetization strategy, alignment between marketing and sales in building the top-of-funnel are the key contradictions discussed in PROS Holdings' latest 2025Q2 earnings call.



Strong Financial Performance:
- PROS Holdings, Inc. reported a 12% growth in subscription revenue, reaching $73.3 million, and an overall 8% increase in total revenue to $88.7 million for Q2 2025.
- The company improved adjusted EBITDA by 42% year-over-year to $7.4 million.
- These results were driven by strong customer adoption of PROS' AI-powered solutions and strategic product offerings, even in a challenging macroeconomic environment.

Market Recognition and Product Innovation:
- PROS was named a leader in the 2025 CPQ Buyers Guide by ISG, marking its fourth consecutive leadership designation in just three quarters.
- The introduction of PROS AI agents and enhancements in the CPQ and airline industry solutions contributed to this recognition.
- The company's ongoing innovation and leadership in AI have positioned PROS at the forefront of intelligent commerce, driving market demand for its solutions.

Expansion in Key Industries:
- PROS saw new customer wins in various B2B industries, including manufacturing, life sciences, and auto parts distribution, thereby expanding its market reach.
- The company's offerings in Smart CPQ and Smart POM were particularly successful, empowering enterprises with advanced commercial strategies.
- This growth is attributed to the value proposition of PROS' solutions in optimizing win strategies across diverse industry sectors.

Investment in Partnerships for Growth:
- PROS announced a new partnership with Commerce (formerly known as BigCommerce) to combine pricing, CPQ, and e-commerce solutions.
- This strategic partnership is expected to increase PROS' distribution through expanded go-to-market efforts and reseller relationships.
- The focus on platform partnerships aims to leverage partners' demand flow and directly impact PROS' revenue growth potential.