Epam Systems (EPAM) FY2019 results: revenue $2.3 billion, up 24.5% on the year
Epam Systems, Inc. (EPAM) reported revenue of $2.3 billion for fiscal 2019, the year ended 31 December 2019, up 24.5% on the year before. Net income was $261 million, up 8.7%, and diluted earnings per share $4.53. The figures are the company's own, from the 10-K it filed with the SEC on 2 March 2020.
Revenue
$2.3 billion
+24.5% on the year
FY2012FY2019
Operating margin
13.2%
13.3% a year earlier
FY2012FY2019
Net income
$261 million
+8.7% on the year
FY2012FY2019
Diluted EPS
$4.53
+6.8% on the year
FY2012FY2019
this yearthe year beforeHover a bar for its figure.
The year in brief
Income statement (profit and loss)
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Revenue
2,294
1,843
1,450
+24.5%
Cost of revenue
1,488
1,187
921
+25.4%
Gross profit
806
656
529
+22.8%
Gross margin
35.1%
35.6%
36.5%
Selling, general and administrative
457
374
328
+22.4%
Operating income
303
246
173
+23.2%
Operating margin
13.2%
13.3%
11.9%
Pre-tax income
300
250
174
+19.9%
Income tax
38.5
9.5
102
+304.2%
Effective tax rate
12.8%
3.8%
58.3%
Net income
261
240
72.8
+8.7%
Net margin
11.4%
13.0%
5.0%
Diluted EPS
$4.53
$4.24
$1.32
+6.8%
$ million except per share. Read moreFree cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.
Cash flow
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Operating cash flow
287
292
193
-1.6%
Capital expenditure
99.3
37.6
29.8
+164.3%
Free cash flow
188
255
163
-26.1%
Free cash flow margin
8.2%
13.8%
11.2%
Cash from investing
-145
-112
-36.2
Cash from financing
20.4
23.0
49.7
-11.5%
Depreciation and amortisation
45.3
36.6
28.6
+23.7%
Share-based compensation
72.0
59.2
52.4
+21.7%
Diluted shares, weighted
58m
57m
55m
+1.8%
Shares outstanding at period end
55m
54m
53m
+2.0%
Balance sheet
$ million
FY2019
FY2018
FY2017
On the year
Last 8 years
Shareholders' equity
1,596
1,263
975
+26.4%
Debt
25.1
25.0
25.0
+0.2%
Operating lease liabilities
181
0.0
n/a
Other liabilities
442
324
250
+36.4%
Total liabilities and equity
2,244
1,612
1,250
+39.2%
Fixed assets
165
103
86.4
+61.0%
Goodwill
195
167
120
+16.9%
Intangible assets
56.3
57.1
44.5
-1.4%
Cash and equivalents
937
771
583
+21.5%
Receivables
n/a
0.0
266
Other assets
891
515
152
+73.1%
Total assets
2,244
1,612
1,250
+39.2%
10-K for the year ended 31 December 2019, filed 2 March 2020: the filing.