Hospitality software firm Agilysys posted $82.9M in Q4 revenue, beating estimates of $81.6M, driven by higher-margin recurring sales.
Agilysys reported fiscal fourth-quarter revenue of $82.9M, up 12% year-over-year and exceeding analyst expectations of $81.6M. The beat was fueled by a rise in recurring revenue, which climbed to $54.4M and comprised 65.5% of total revenue.
The company’s prior-year Q4 revenue stood at $74.0M, with recurring revenue accounting for a smaller share. Analysts had anticipated a modest increase, but the stronger-than-expected mix of subscription and recurring sales drove the outperformance.
Shares of Agilysys jumped 16% following the earnings release, reflecting investor confidence in the company’s revenue growth and margin expansion.