# PROGRESS SOFTWARE CORP /MA (PRGS)

Informational only - not investment advice.

CIK: 0000876167
SIC: 7372 Services-Prepackaged Software
SIC breadcrumb: [Services](/division/I/) > [Business Services](/major-group/73/) > [SIC 7372 Services-Prepackaged Software](/industry/7372/)
Latest 10-K filed: 2026-01-20
SEC page: https://www.sec.gov/edgar/browse/?CIK=876167
Filing source: https://www.sec.gov/Archives/edgar/data/876167/000087616726000008/prgs-20251130.htm

## At a glance

FY2025 · period end 2025-11-30 · filed 2026-01-20 · accession 0000876167-26-000008 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000876167.json

| Metric | Value | FY | Provenance |
| --- | ---: | ---: | --- |
| Revenue | 977,831,000 USD | 2025 | verified |
| Net income | 73,133,000 USD | 2025 | verified |
| Assets | 2,457,658,000 USD | 2025 | verified |
| Free cash flow | 229,485,000 USD | 2025 | computed |
| Net margin | 7.48% | 2025 | computed |
| Operating margin | 15.68% | 2025 | computed |
| Revenue YoY | +29.79% | 2025 | computed |
| ROE | 15.29% | 2025 | computed |

Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity.

No market price, no rating, no forecast on this site. Not investment advice.

### Peer percentile fingerprint

| Ratio | PRGS | Peer median | Percentile | N |
| --- | ---: | ---: | ---: | ---: |
| Net margin | 7.5% | 1.5% | 61 | 122 |
| Operating margin | 15.7% | 1.3% | 78 | 121 |
| Revenue growth | 29.8% | 13.5% | 90 | 124 |
| FCF margin | 23.5% | 19.3% | 66 | 120 |
| ROE | 15.3% | 2.0% | 76 | 112 |
| ROA | 3.0% | 0.9% | 61 | 124 |
| Liabilities / equity | 4.14 | 0.91 | 86 | 113 |
| Current ratio | 0.49 | 1.57 | 1 | 124 |

Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 7372 Services-Prepackaged Software, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking.

## Selected Fundamentals
| Metric | Value | Unit | FY | Filed |
| --- | ---: | --- | ---: | --- |
| Revenue | 977831000 | USD | 2025 | 2026-01-20 |
| Net income | 73133000 | USD | 2025 | 2026-01-20 |
| Assets | 2457658000 | USD | 2025 | 2026-01-20 |

## Financials

Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-01-20. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000876167.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Revenue | 405,341,000 | 389,154,000 | 378,981,000 | 413,298,000 | 442,150,000 | 531,313,000 | 602,013,000 | 694,439,000 | 753,409,000 | 977,831,000 |
| Net income | -55,726,000 | 29,021,000 | 49,670,000 | 26,400,000 | 79,722,000 | 78,420,000 | 95,069,000 | 70,197,000 | 68,438,000 | 73,133,000 |
| Operating income | -29,709,000 | 57,490,000 | 67,814,000 | 40,084,000 | 107,728,000 | 116,102,000 | 132,131,000 | 110,523,000 | 124,003,000 | 153,290,000 |
| Gross profit | 339,629,000 | 319,995,000 | 312,008,000 | 338,057,000 | 380,036,000 | 452,864,000 | 507,517,000 | 567,862,000 | 622,927,000 | 790,250,000 |
| Diluted EPS | -1.13 | 0.60 | 1.08 | 0.58 | 1.76 | 1.76 | 2.15 | 1.57 | 1.54 | 1.66 |
| Operating cash flow | 102,845,000 | 105,686,000 | 121,352,000 | 128,484,000 | 144,847,000 | 178,530,000 | 192,160,000 | 173,920,000 | 211,494,000 | 235,187,000 |
| Capital expenditures | 5,786,000 | 3,377,000 | 7,250,000 | 3,998,000 | 6,517,000 | 4,654,000 | 6,090,000 | 5,570,000 | 5,206,000 | 5,702,000 |
| Dividends paid | 0.00 | 24,127,000 | 25,789,000 | 27,760,000 | 29,900,000 | 31,561,000 | 31,063,000 | 31,554,000 | 31,460,000 | 786,000 |
| Share buybacks | 79,188,000 | 73,936,000 | 120,000,000 | 25,000,000 | 60,000,000 | 35,000,000 | 77,041,000 | 33,962,000 | 86,777,000 | 105,156,000 |
| Assets | 754,827,000 | 718,718,000 | 644,150,000 | 881,271,000 | 1,041,782,000 | 1,363,537,000 | 1,411,479,000 | 1,602,783,000 | 2,526,966,000 | 2,457,658,000 |
| Stockholders' equity | 442,729,000 | 404,381,000 | 324,002,000 | 330,282,000 | 346,013,000 | 412,489,000 | 398,504,000 | 459,715,000 | 438,788,000 | 478,349,000 |
| Cash and cash equivalents | 207,036,000 | 133,464,000 | 105,126,000 | 154,259,000 | 97,990,000 | 155,406,000 | 256,277,000 | 126,958,000 | 118,077,000 | 94,807,000 |
| Free cash flow | 97,059,000 | 102,309,000 | 114,102,000 | 124,486,000 | 138,330,000 | 173,876,000 | 186,070,000 | 168,350,000 | 206,288,000 | 229,485,000 |

### Ratios

ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported.

| Metric | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| Net margin | -13.75% | 7.46% | 13.11% | 6.39% | 18.03% | 14.76% | 15.79% | 10.11% | 9.08% | 7.48% |
| Operating margin | -7.33% | 14.77% | 17.89% | 9.70% | 24.36% | 21.85% | 21.95% | 15.92% | 16.46% | 15.68% |
| Return on equity | -12.59% | 7.18% | 15.33% | 7.99% | 23.04% | 19.01% | 23.86% | 15.27% | 15.60% | 15.29% |
| Return on assets | -7.38% | 4.04% | 7.71% | 3.00% | 7.65% | 5.75% | 6.74% | 4.38% | 2.71% | 2.98% |
| Liabilities / equity | 0.70 | 0.78 | 0.99 | 1.67 | 2.01 | 2.31 | 2.54 | 2.49 | 4.76 | 4.14 |
| Current ratio | 1.65 | 1.27 | 1.24 | 1.18 | 0.91 | 1.05 | 1.34 | 0.94 | 0.81 | 0.49 |

## As-reported value updates

11 tracked differences above grepcent's stated thresholds were found between the earliest XBRL-filed value and the value currently on file for the same fiscal period.

Ledger: /company/PRGS/revisions/


## Quarterly

Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-06-30. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000876167.json.

Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived.

| Quarter | End date | Revenue | Net income | Diluted EPS | Method |
| --- | --- | ---: | ---: | ---: | --- |
| 2022-Q3 | 2022-08-31 |  |  | 0.50 | reported discrete quarter |
| 2023-Q1 | 2023-02-28 |  |  | 0.53 | reported discrete quarter |
| 2023-Q2 | 2023-05-31 |  |  | 0.27 | reported discrete quarter |
| 2023-Q3 | 2023-08-31 | 174,992,000 | 19,098,000 | 0.42 | reported discrete quarter |
| 2023-Q4 | 2023-11-30 | 176,970,000 | 15,335,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2024-Q1 | 2024-02-29 | 184,685,000 | 22,639,000 | 0.51 | reported discrete quarter |
| 2024-Q2 | 2024-05-31 | 175,077,000 | 16,188,000 | 0.37 | reported discrete quarter |
| 2024-Q3 | 2024-08-31 | 178,686,000 | 28,464,000 | 0.65 | reported discrete quarter |
| 2024-Q4 | 2024-11-30 | 214,961,000 | 1,147,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2025-Q1 | 2025-02-28 | 238,015,000 | 10,946,000 | 0.24 | reported discrete quarter |
| 2025-Q2 | 2025-05-31 | 237,355,000 | 17,029,000 | 0.39 | reported discrete quarter |
| 2025-Q3 | 2025-08-31 | 249,795,000 | 19,413,000 | 0.44 | reported discrete quarter |
| 2025-Q4 | 2025-11-30 | 252,666,000 | 25,745,000 |  | derived Q4 = FY annual - nine-month YTD |
| 2026-Q1 | 2026-02-28 | 247,799,000 | 22,813,000 | 0.53 | reported discrete quarter |
| 2026-Q2 | 2026-05-31 | 253,465,000 | 21,073,000 | 0.50 | reported discrete quarter |

## Filed narrative (10-K & 10-Q)

## Business

Verbatim Item 1 Business section from PRGS's latest 10-K: [/company/PRGS/business/](/company/PRGS/business/).

## Risk Factors

Verbatim Item 1A Risk Factors from PRGS's latest 10-K: [/company/PRGS/risk-factors/](/company/PRGS/risk-factors/).

## Latest quarter (10-Q)

Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/876167/000087616726000078/prgs-20260531.htm

Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-06-30
Report date: 2026-05-31

Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q may contain information that are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, as amended; Section 21E of the Securities Exchange Act of 1934, as amended; and the Private Securities Litigation Reform Act of 1995. Whenever we use words such as "believe," "may," "could," "would," "might," "should," "expect," "intend," "plan," "estimate," "target," "anticipate" and negatives and derivatives of these or similar expressions, or when we make statements concerning future financial results, product offerings, or other events that have not yet occurred, we are making forward-looking statements. Actual future results may differ materially from those contained in or implied by our forward-looking statements due to various factors which are more fully described in Part I, Item 1A. Risk Factors in our 2025 Annual Report as well as any risk factors described in Part II, Item 1A of this Quarterly Report on Form 10-Q. Although we have sought to identify the most significant risks to our business, we cannot predict whether, or to what extent, any of such risks may be realized. We also cannot assure you that we have identified all possible issues that we might face. We undertake no obligation to update any forward-looking statements that we make.

Overview

Progress Software Corporation ("Progress," the "Company," "we," "us," or "our") provides software products that enable our customers to develop, deploy and manage responsible AI-powered applications and digital experiences.    

Critical Accounting Policies

Management's discussion and analysis of financial condition and results of operations are based upon our consolidated financial statements, which have been prepared in accordance with GAAP. We make estimates and assumptions in the preparation of our consolidated financial statements that affect the reported amounts of assets and liabilities, revenue and expenses and related disclosures of contingent assets and liabilities. We base our estimates on historical experience and various other assumptions that are believed to be reasonable under the circumstances. However, actual results may differ from these estimates. The most significant estimates relate to revenue recognition, loss contingencies and the MOVEit Vulnerability, and business combinations. For further information regarding the application of these and other accounting policies, see Note 1, Nature of Business and Summary of Significant Accounting Policies to our Consolidated Financial Statements in Item 8 of our 2025 Annual Report. There have been no significant changes to our critical accounting policies and estimates since our 2025 Annual Report.

19

Use of Constant Currency

Revenue from our international operations has historically represented a substantial portion of our total revenue. As a result, our revenue results have been impacted, and we expect will continue to be impacted, by fluctuations in foreign currency exchange rates. For example, if the local currencies of our foreign subsidiaries strengthen, our consolidated results stated in U.S. Dollars are positively impacted.

As exchange rates are an important factor in understanding period to period comparisons, we believe the presentation of revenue growth rates on a constant currency basis enhances the understanding of our revenue results and evaluation of our performance in comparison to prior periods. The constant currency information presented is calculated by translating current period results using prior period weighted average foreign currency exchange rates. These results should be considered in addition to, not as a substitute for, results reported in accordance with accounting principles generally accepted in the United States of America.

Results of Operations

Revenue

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Revenue","$","253,465","","","$","237,355","","","7","%","","6","%"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","Six Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Revenue","$","501,264","","","$","475,370","","","5","%","","4","%"]]
[[/GREPCENT_TABLE]]

Total revenue increased in the second quarter of fiscal year 2026 as compared to the same period last year primarily due to increases in license sales as well as a positive impact from foreign currency exchange, while maintenance, SaaS, and professional services were essentially unchanged from prior periods.

Software Licenses Revenue

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Software licenses","$","68,979","","","$","50,795","","","36","%","","34","%"],["As a percentage of total revenue","27","%","","21","%"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","Six Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Software licenses","$","136,560","","","$","109,240","","","25","%","","22","%"],["As a percentage of total revenue","27","%","","23","%"]]
[[/GREPCENT_TABLE]]

Software licenses revenue increased in the second quarter of fiscal year 2026 primarily due to increases in our DataDirect, Chef, and MarkLogic product offerings. Software licenses revenue increased in the first six months of fiscal year 2026 primarily due to increases in our DataDirect, MarkLogic, and OpenEdge product offerings.

20

Maintenance, SaaS, and Professional Services Revenue

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Maintenance","$","101,222","","","$","103,491","","","(2)","%","","(4)","%"],["As a percentage of total revenue","40","%","","44","%"],["SaaS","73,005","","","72,105","","","1","%","","1","%"],["As a percentage of total revenue","29","%","","30","%"],["Professional services","10,259","","","10,964","","","(6)","%","","(7)","%"],["As a percentage of total revenue","4","%","","5","%"],["Total maintenance, SaaS, and professional services","$","184,486","","","$","186,560","","","(1)","%","","(2)","%"],["As a percentage of total revenue","73","%","","79","%"]]
[[/GREPCENT_TABLE]]

[[GREPCENT_TABLE]]
[["","Six Months Ended","","Percentage Change"],["(in thousands)","May 31, 2026","","May 31, 2025","","As Reported","","Constant Currency"],["Maintenance","$","201,561","","","$","203,026","","","(1)","%","","(3)","%"],["As a percentage of total revenue","40","%","","43","%"],["SaaS","143,466","","","141,515","","","1","%","","1","%"],["As a percentage of total revenue","29","%","","30","%"],["Professional services","19,677","","","21,589","","","(9)","%","","(10)","%"],["As a percentage of total revenue","4","%","","5","%"],["Total maintenance, SaaS, and professional services","$","364,704","","","$","366,130","","","\u2014","%","","(2)","%"],["As a percentage of total revenue","73","%","","77","%"]]
[[/GREPCENT_TABLE]]

Maintenance and SaaS revenue were essentially unchanged from prior periods. Professional services revenue decreased across multiple product offerings as compared to the same periods last year.

Cost of Software Licenses

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["Cost of software licenses","$","3,675","","","$","2,987","","","23","%","","$","6,688","","","$","5,912","","","13","%"],["As a percentage of software licenses revenue","5","%","","6","%","","","","5","%","","5","%"]]
[[/GREPCENT_TABLE]]

Cost of software licenses consists primarily of royalties, electronic software distribution, duplication, and packaging. Cost of software licenses as a percentage of software license revenue varies from period to period depending upon the relative product mix. The increases in the second quarter and first six months of fiscal year 2026 compared to the same periods last year were related to increased royalty costs.

21

Cost of Maintenance, SaaS, and Professional Services

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["Cost of maintenance, SaaS, and professional services","$","32,259","","","$","33,764","","","(4)","%","","$","64,359","","","$","66,648","","","(3)","%"],["As a percentage of maintenance, SaaS, and professional services revenue","17","%","","18","%","","","","18","%","","18","%"]]
[[/GREPCENT_TABLE]]

Cost of maintenance, SaaS, and professional services consist primarily of hosting costs, and personnel-related costs attributable to customer support, cloud operations, consulting, and education. The decreases in all periods shown are primarily due to decreased contractors and headcount related costs in fiscal year 2026.

Amortization of Acquired Intangibles – Costs of Revenue

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["Amortization of acquired intangibles","$","8,938","","","$","10,537","","","(15)","%","","$","17,689","","","$","20,959","","","(16)","%"],["As a percentage of total revenue","4","%","","4","%","","","","4","%","","4","%"]]
[[/GREPCENT_TABLE]]

Amortization of acquired intangibles included in costs of revenue primarily represents the amortization of the value assigned to technology-related intangible assets obtained in business combinations. The year-over-year decreases in all periods shown are due to the run-off of existing intangible assets over the period.

Sales and Marketing

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["Sales and marketing","$","54,341","","","$","49,677","","","9","%","","$","106,338","","","$","100,973","","","5","%"],["As a percentage of total revenue","21","%","","21","%","","","","21","%","","21","%"]]
[[/GREPCENT_TABLE]]

Sales and marketing expenses increased in all periods presented due to increased personnel-related costs, partially offset by lower marketing and sales events costs. These costs as a percentage of total revenue were 21% in all periods presented.

Product Development

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["Product development","$","48,840","","","$","46,570","","","5","%","","$","99,314","","","$","92,945","","","7","%"],["As a percentage of total revenue","19","%","","20","%","","","","20","%","","20","%"]]
[[/GREPCENT_TABLE]]

Product development expenses increased in all periods presented primarily due to increased personnel-related costs.

22

General and Administrative

[[GREPCENT_TABLE]]
[["","Three Months Ended","","Six Months Ended"],["(in thousands)","May 31, 2026","","May 31, 2025","","Percentage Change","","May 31, 2026","","May 31, 2025","","Percentage Change"],["General and administrative","$","32,236","","","$","25,637","","","26","%","","$","58,740","","","$","51,260","","","15","%"],["As a percentage of total revenue","13","%","","11","%","","","","12","%","","11","%"]]
[[/GREPCENT_TABLE]]

General and administrative expenses include the costs of our finance, human resources, leg

[Excerpt truncated for page length; source filing is linked above.]

## Latest 10-K MD&A (excerpt)

Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/876167/000087616726000008/prgs-20251130.htm
Complete FY 2025 MD&A: /company/PRGS/mda/fy2025/

Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Published MD&A gate trimmed front/tail over-capture.
Confidence: high
Filing date: 2026-01-20
Report date: 2025-11-30

Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations

The following Management's Discussion and Analysis of Financial Condition and Results of Operations ("MD&A") is intended to help the reader understand the results of operations and financial condition of Progress Software Corporation. MD&A is provided as a supplement to, and should be read in conjunction with, our consolidated financial statements and the accompanying Notes to Financial Statements in Part II, Item 8 of this Form 10-K. This section generally discusses the results of our operations for the year ended November 30, 2025 compared to the year ended November 30, 2024. For a discussion of the year ended November 30, 2024 compared to the year ended November 30, 2023, please refer to Part II, Item 7, "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our Annual Report on Form 10-K for the year ended November 30, 2024.

Forward-Looking Statements

Certain statements below about anticipated results and our products and markets are forward-looking statements that are based on our current plans and assumptions. Important information about the bases for these plans and assumptions and factors that may cause our actual results to differ materially from these statements is contained below and in Part I, Item 1A. "Risk Factors" of this Annual Report on Form 10-K.

Use of Constant Currency

Revenue from our international operations has historically represented a substantial portion of our total revenue. As a result, our revenue results have been impacted, and we expect will continue to be impacted, by fluctuations in foreign currency exchange rates. For example, if the local currencies of our foreign subsidiaries strengthen, our consolidated results stated in U.S. Dollars are positively impacted.

As exchange rates are an important factor in understanding period to period comparisons, we believe the presentation of revenue growth rates on a constant currency basis enhances the understanding of our revenue results and evaluation of our performance in comparison to prior periods. The constant currency information presented is calculated by translating current period results using prior period weighted average foreign currency exchange rates. These results should be considered in addition to, not as a substitute for, results reported in accordance with accounting principles generally accepted in the United States of America ("GAAP").

Overview

Progress Software Corporation ("Progress," the "Company," "we," "us," or "our") provides software products that enable our customers to develop, deploy and manage responsible AI-powered applications and digital experiences.

A key element of our strategy is centered on the goal of building and maintaining leading products and tools enterprises need to build, deploy, and manage modern, strategic business applications. We offer our products and tools to both new customers and partners, as well as our existing partner and customer ecosystems.

Our organizational philosophy and operating principles focus primarily on customer and partner retention and success, and a streamlined operating approach to drive predictable and stable recurring revenue and high levels of profitability.

We are pursuing a total growth strategy driven by accretive acquisitions of businesses and products that meet our strict strategic, financial, and operating criteria, which help to further our goal of providing stockholder returns. In April 2019, we acquired Ipswitch; in October 2020, we acquired Chef Software; in November 2021, we acquired Kemp Technologies; in February 2023, we acquired MarkLogic; in October 2024, we acquired ShareFile; and in June 2025, we acquired Nuclia.

Our capital allocation policy emphasizes accretive M&A, which we believe allows us to expand our business and drive significant stockholder returns. We also utilize share repurchases to return capital to stockholders. We currently intend to continue to repurchase our shares in sufficient quantities to offset dilution from our equity plans and may elect to conduct additional repurchases based on market conditions and other factors.

We expect to continue to pursue acquisitions meeting our financial criteria that are designed to expand our business and drive significant stockholder returns. As a result, our expected uses of cash could change, our cash position could be reduced, and we may incur additional debt obligations to the extent we complete additional acquisitions. However, we currently believe that existing cash balances, together with funds generated from operations and amounts available under our Credit Facility, will be sufficient to finance our operations and meet our foreseeable cash requirements, including stock repurchases, through at least the next twelve months.

24

Results of Operations

Business Development

On October 31, 2024, we acquired ShareFile from Cloud Software Group, Inc. As a result of this acquisition, we recorded $96.2 million of deferred revenue and $464.0 million of intangible assets, as further described in Note 5, Business Combinations, in Part II, Item 8 of this Form 10-K. During fiscal 2025, the revenue from ShareFile was $261.6 million. We expect to recognize additional Software-as-a-Service ("SaaS") revenue, as well as increased amortization expense and interest expense, in future periods as a result of this acquisition.

Fiscal Year 2025 Compared to Fiscal Year 2024

Revenue

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended","","Percentage Change"],["(in thousands)","November 30, 2025","","November 30, 2024","","As Reported","","Constant Currency"],["Revenue","$","977,831","","","$","753,409","","","30","%","","29","%"]]
[[/GREPCENT_TABLE]]

Total revenue increased as compared to the same period last year primarily due to our acquisition of ShareFile in the fourth quarter of fiscal year 2024. ShareFile revenue in fiscal year 2025 was $261.6 million. With an acquisition date of November 2024, ShareFile only contributed one month of revenue in fiscal year 2024 totaling $21.1 million.

Software Licenses Revenue

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended","","Percentage Change"],["(in thousands)","November 30, 2025","","November 30, 2024","","As Reported","","Constant Currency"],["Software licenses","$","237,887","","","$","249,331","","","(5)","%","","(5)","%"],["As a percentage of total revenue","24","%","","33","%"]]
[[/GREPCENT_TABLE]]

Software licenses revenue decreased by $11.4 million as compared to the same period last year primarily due to timing of multi-year subscription renewals in our DataDirect product offering.

Maintenance, SaaS, and Professional Services Revenue

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended","","Percentage Change"],["(in thousands)","November 30, 2025","","November 30, 2024","","As Reported","","Constant Currency"],["Maintenance","$","410,174","","","$","410,556","","","\u2014","%","","(1)","%"],["As a percentage of total revenue","42","%","","55","%"],["SaaS","$","287,928","","","$","44,564","","","546","%","","546","%"],["As a percentage of total revenue","29","%","","6","%"],["Professional services","$","41,842","","","$","48,958","","","(15)","%","","(15)","%"],["As a percentage of total revenue","4","%","","6","%"],["Total maintenance, SaaS, and professional services revenue","$","739,944","","","$","504,078","","","47","%","","46","%"],["As a percentage of total revenue","76","%","","67","%"]]
[[/GREPCENT_TABLE]]

Maintenance revenue remained relatively flat as compared to the same period last year. SaaS revenue increased as compared to the same period last year due to our acquisition of ShareFile. Professional services revenue decreased compared to the same period last year primarily due to a decrease in MarkLogic professional services revenue.

25

Cost of Software Licenses

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["Cost of software licenses","$","12,605","","","$","10,942","","","15","%"],["As a percentage of software license revenue","5","%","","4","%"]]
[[/GREPCENT_TABLE]]

Cost of software licenses consists primarily of royalties, electronic software distribution, duplication, and packaging. Cost of software licenses as a percentage of software licenses revenue varies from period to period depending upon the relative product mix. The increase as compared to the same period last year was primarily due to increased hardware sales.

Cost of Maintenance, SaaS, and Professional Services

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["Cost of maintenance, SaaS, and professional services","$","133,750","","","$","90,318","","","48","%"],["As a percentage of maintenance, SaaS, and professional services revenue","18","%","","18","%"]]
[[/GREPCENT_TABLE]]

Cost of maintenance, SaaS, and professional services consists primarily of costs of hosting, personnel costs for providing customer support, consulting, and education. The increase year-over-year was primarily due to increased headcount and hosting costs resulting from our acquisition of ShareFile, partially offset by decreased contractors and outside services costs.

Amortization of Acquired Intangibles - Costs of Revenue

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["Amortization of acquired intangibles","$","41,226","","","$","29,222","","","41","%"],["As a percentage of total revenue","4","%","","4","%"]]
[[/GREPCENT_TABLE]]

Amortization of acquired intangibles included in costs of revenue primarily represents the amortization of the value assigned to technology-related intangible assets obtained in business combinations. The year-over-year increase was due to the acquisitions of ShareFile and Nuclia.

Sales and Marketing

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["Sales and marketing","$","211,013","","","$","164,570","","","28","%"],["As a percentage of total revenue","22","%","","22","%"]]
[[/GREPCENT_TABLE]]

Sales and marketing expenses increased in fiscal year 2025 due to increased personnel related costs, increased marketing and sales events costs, and increased contractors and outside services costs, each associated with our acquisition of ShareFile.

Product Development

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["Product development","$","192,265","","","$","146,342","","","31","%"],["As a percentage of total revenue","20","%","","19","%"]]
[[/GREPCENT_TABLE]]

Product development expenses increased in fiscal year 2025 primarily due to increased personnel related costs, as well as an increase in contractors and outside services costs, each associated with our acquisition of ShareFile.

26

General and Administrative

[[GREPCENT_TABLE]]
[["","Fiscal Year Ended"],["(in thousands)","November 30, 2025","","November 30, 2024","","Percentage Change"],["General and administrative","$","108,215","","","$","89,518","","","21","%"],["As a percentage of total revenue","11","%","","12","%"]]
[[/GREPCENT_TABLE]]

General and administrative expenses include the costs of our finance, human resources, legal, information systems, and administrative departments. General and administrative expenses increased in fiscal year 2025 primarily due to higher personnel related costs, contractors and outside services, and other general and administrative costs, each associated with our acquisition of ShareFile.

Amortization of Acquired Intangibles - Operating Expenses

[Excerpt truncated for page length; the complete text is on the linked full-MD&A page.]

Read the full FY 2025 MD&A: /company/PRGS/mda/fy2025/
All MD&A years: /company/PRGS/mda/


## MD&A history

Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page.

- [FY 2024 MD&A](/company/PRGS/mda/fy2024/): filed 2025-01-21; accession 0000876167-25-000010 (https://www.sec.gov/Archives/edgar/data/876167/000087616725000010/prgs-20241130.htm)
- [FY 2023 MD&A](/company/PRGS/mda/fy2023/): filed 2024-01-26; accession 0000876167-24-000031 (https://www.sec.gov/Archives/edgar/data/876167/000087616724000031/prgs-20231130.htm)
- [FY 2022 MD&A](/company/PRGS/mda/fy2022/): filed 2023-01-27; accession 0000876167-23-000036 (https://www.sec.gov/Archives/edgar/data/876167/000087616723000036/prgs-20221130.htm)
- [FY 2021 MD&A](/company/PRGS/mda/fy2021/): filed 2022-01-27; accession 0000876167-22-000038 (https://www.sec.gov/Archives/edgar/data/876167/000087616722000038/prgs-20211130.htm)




## Macro cross-references

Indicators mapped to this company's SIC classification (industry 7372 Services-Prepackaged Software) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim.

- [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm
- [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private
- [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity

Macro-to-micro threads including this sector: [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/).

All macro indicators: /indicators/


## For LLMs & downloads

Markdown twin: /company/PRGS.md · JSON record: /company/PRGS.json · verified financials: /company/PRGS/financials.json / /company/PRGS/financials.csv · machine TOC for the whole site: /llms.txt