Amdocs

News Summary:

Amdocs Ltd recently reported its Q3 2023 earnings, showing record revenue of $1.236 billion, a 6.9% year-over-year increase in constant currency. The company's non-GAAP operating margin rose by 20 basis points from the previous year, and non-GAAP diluted EPS reached $1.57, exceeding guidance primarily due to a lower-than-anticipated tax rate. Amdocs also raised its guidance for fiscal year 2023, expecting approximately 7.6% year-over-year revenue growth in constant currency and non-GAAP diluted EPS growth between 11% and 12%. Around the same time, Amdocs Limited reported second quarter fiscal 2026 revenue of $1.17 billion, reflecting a 3.9% year-over-year increase as reported and 2.2% in constant currency. The company also announced the retirement of its long-serving CFO and appointed an internal successor, while projecting fiscal 2026 revenue growth of 2.6%-4.6% as reported and 2.0%-4.0% in constant currency. Previously, Amdocs achieved record annual revenue of $4.1 billion in fiscal 2019, driven by 10% growth in managed services. During this period, the company expanded its digital transformation initiatives, formed a strategic alliance with AT&T, launched Amdocs Media to monetize content, and acquired TTS Wireless to bolster 5G capabilities. Amdocs also reported a record 12-month backlog of $3.49 billion. This followed Amdocs Limited's first quarter fiscal 2026 results, which showed revenue reaching $1.16 billion, a 4.1% year-over-year increase (3.5% in constant currency), with European revenue climbing 17.1%. Managed services contributed $746 million, approximately 65% of total revenue. The company also introduced aOS, an agentic operating system for telecommunications, and set its fiscal 2026 revenue growth outlook at 1.5%-5.5% as reported and 1.0%-5.0% in constant currency. Earlier, for the quarter ended June 30, 2025, Amdocs Limited reported revenue of $1144.4 million, a decrease from $1250.1 million in the prior year period, though net income attributable to Amdocs Limited rose to $154.0 million from $140.3 million. The company phased out low-margin non-core business activities, completed three acquisitions totaling approximately $59.0 million in cash, and authorized up to $1.0 billion in additional share repurchases as of May 7, 2025.