Progress Software reported fiscal Q4 2025 revenue of $138.7 million, representing 7% year-over-year growth driven by a 9% increase in subscription and support revenue to $100.2 million. Non-GAAP net income for the quarter was $18.4 million, or $0.57 per diluted share, compared with $0.51 in the year-ago period. For the full year, total revenue reached $544.3 million, up 8% from fiscal 2024, with subscription and support services accounting for 71% of total revenue. Annual recurring revenue (ARR) climbed 11% to $470 million, underscoring strong customer demand for Progress’s AI-powered digital experience and infrastructure offerings.

Management issued fiscal 2026 guidance calling for total revenue of $590 million to $605 million, reflecting growth of 8% to 11% year-over-year. Non-GAAP earnings per share are expected in the range of $2.18 to $2.25, up from $2.05 in fiscal 2025. The company plans to maintain its subscription renewal rate above 90% and anticipates ARR growth of 10% to 12%, driven by new customer acquisitions and expansion within its AI-enabled product lines. Operating margin is projected to expand by 50 to 100 basis points as productivity gains from recent cost-optimization initiatives take effect.

During the quarter, Progress completed the integration of ShareFile and Nuclia, positioning its unified secure file-sharing and AI search capabilities to cross-sell into an installed base of over 160,000 customer accounts. The company also launched four major feature updates to its Sitefinity digital experience platform, including low-code AI content personalization and enhanced analytics dashboards. Progress expects these product enhancements to accelerate enterprise adoption, particularly in regulated industries such as financial services and healthcare, where secure document management and advanced search are mission-critical.