Is BPM Dead? Pega Says “No” Also
I missed the news from a week ago that Pegasystems had reported 4th Quarter and Fiscal Year 2012 numbers. Revenue was up 25% for the fourth quarter, year-over-year. Fourth quarter net income was $20M, compared to a loss of nearly $2M last year. Revenue overall in 2012 was up 11% over 2011, and net income doubled.
That’s a strong showing for a big player in the BPM space. And in Pega’s case, we’re seeing real numbers, thanks to their public company status. Revenue last year was $467 million, approaching the half-billion dollar mark. How does Pega feel going forward?
“We anticipate our growth momentum to continue as we move into 2013, with forecasted annual revenues targeting $510 million and forecasted net income of approximately $33.2 million or $0.83 per diluted share on a GAAP basis, or $48.1 million or $1.20 per diluted share on a Non-GAAP basis. Similar to years past, we expect 2013 will be back-end loaded, and therefore revenue for the first half of 2013 is anticipated to be about 45% of annual guidance,” concluded Mr. Trefler.
They’re reasonably confident, but not too cocky about the go-forward prospects. About as you’d expect for a public company.
So, with one hard number in, we know the BPM software market is at least $500million in size. But we still don’t know how big it really is, because so many of the other numbers are opaque. Here’s hoping that someday we get BPM numbers from IBM, Appian, Intalio, Bosch, Oracle, etc.