Pegasystems Inc. reported its financial results for the second quarter of 2025, highlighting a total revenue increase to $384.5 million, a 9% rise compared to $351.2 million in the same period the previous year. The company also noted a significant growth in its Annual Contract Value $(ACV.SI)$, which rose by 16% year over year, and Pega Cloud ACV, which increased by 28% in the same period. Net income on a non-GAAP basis reached $50.2 million, up from $45.8 million the year before, marking a 9% increase. Pegasystems achieved a diluted earnings per share of $0.17 on a GAAP basis, a substantial increase from $0.04 in the prior year. The company cited its AI strategy as a key driver of these results. Additionally, Pega Cloud backlog saw a 30% year-over-year increase. Cash flow from operations and free cash flow both showed growth of over 30% year over year.