How Pegasystems makes money

Period

FY2025

How does Pegasystems make money? This Sankey traces every dollar of revenue through the income statement — into cost of revenue, R&D, SG&A, and taxes — and shows what's left as profit. Pick any fiscal year, recent quarter, or the trailing twelve months. Straight from SEC filings.

Pegasystems Inc. · FY2025 · year ended 2025-12-31

Revenue$1.7BGross profit$1.3B · 76%Cost of revenue$421M · 24%Operating income$263M · 15%Operating expenses$1.1B · 61%R&D$313M · 18%SG&A$149M · 9%Selling & marketing$579M · 33%Other opex$21M · 1%Pre-tax income$393M · 23%Other income$130M · 7%Net income$393M · 23%Pega Cloud$696M · 40%Subscription License$507M · 29%Maintenance$315M · 18%Consulting$228M · 13%

Each fiscal year from SEC filings. Percentages are share of revenue, so the green profit nodes read directly as gross / operating / net margin. Line items a company doesn't break out are derived from their siblings so the flows balance; small residuals show as “Other.” For informational purposes only.