Agilysys Experiences Strong Subscription Growth, Sales Momentum Despite EBITDA Miss
ByAinvest
Wednesday, Jul 23, 2025 10:33 am ET1min read
AGYS--
The company achieved $76.7 million in revenue, surpassing the anticipated $74.35 million, marking a 3.16% positive surprise. Subscription revenue grew by 44% YoY, while professional services revenue increased by 16% YoY. Sales remained strong throughout the quarter, including point of sale (POS) products compared to the prior year [1].
Agilysys exited Q1 FY25 with a record backlog and maintained strong sales momentum in both its Property Management System (PMS) and POS segments. The company's record backlog and strong sales momentum support continued growth potential [1].
TipRanks analyst Mayank Tandon maintains a Buy rating and a target price of $130 for Agilysys, reflecting the company's strong financial performance and optimistic earnings guidance [2].
References:
[1] https://fxdailyreport.com/agilysys-inc-nasdaq-agys-misses-earning-expectations/
[2] https://www.investing.com/news/analyst-ratings/needham-reiterates-buy-rating-on-agilysys-stock-maintains-130-price-target-93CH-4145509
Agilysys reported strong Q1 FY25 results with significant growth in subscription revenue and robust professional services revenue. Despite missing EBITDA due to one-time expenses, the company reaffirmed its FY26 revenue and EBITDA guidance and increased its subscription growth outlook. The strong sales momentum in PMS and POS segments, coupled with a record backlog, supports continued growth potential. TipRanks analyst Mayank Tandon maintains a Buy rating and a target price of $130 for Agilysys.
Agilysys Inc. (NASDAQ: AGYS) reported its first-quarter fiscal 2025 (Q1 FY25) results, showcasing significant growth in subscription revenue and robust professional services revenue. Despite missing its EBITDA target due to one-time expenses related to its annual user conference, the company reaffirmed its fiscal year 2026 (FY26) revenue and EBITDA guidance. Furthermore, Agilysys increased its subscription revenue growth outlook to 27% year-over-year (YoY) from the previous 25% [1].The company achieved $76.7 million in revenue, surpassing the anticipated $74.35 million, marking a 3.16% positive surprise. Subscription revenue grew by 44% YoY, while professional services revenue increased by 16% YoY. Sales remained strong throughout the quarter, including point of sale (POS) products compared to the prior year [1].
Agilysys exited Q1 FY25 with a record backlog and maintained strong sales momentum in both its Property Management System (PMS) and POS segments. The company's record backlog and strong sales momentum support continued growth potential [1].
TipRanks analyst Mayank Tandon maintains a Buy rating and a target price of $130 for Agilysys, reflecting the company's strong financial performance and optimistic earnings guidance [2].
References:
[1] https://fxdailyreport.com/agilysys-inc-nasdaq-agys-misses-earning-expectations/
[2] https://www.investing.com/news/analyst-ratings/needham-reiterates-buy-rating-on-agilysys-stock-maintains-130-price-target-93CH-4145509
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