Amdocs(US:DOX)2025-05-07 22:25Q2 2025 Financial Performance - Revenue reached $1.13 billion, a 40% year-over-year increase on a pro forma constant currency basis[18] - Non-GAAP operating margin was 213%, up 290 basis points year-over-year[18] - Free cash flow was $156 million, or $181 million excluding restructuring payments[18] - Non-GAAP EPS was $1.78, exceeding guidance[18] - The 12-month backlog grew to $4.17 billion, a 35% year-over-year increase on a pro forma basis[18] Strategic Progress - Amdocs is expanding with new and existing customers in North America, including strengthened relationships with payment solutions, dealer commissions, and expanded IT services[20] - The company is achieving project milestones for major operators, such as progressing AT&T's mainframe-to-cloud migration and delivering a cloud-native platform in Japan[21] - Managed services achieved a record quarter, representing approximately 66% of total revenue in Q2 2025[23, 51] - Amdocs is focused on strategic growth domains, including accelerating the journey to the cloud, digitally transforming the customer experience, monetizing next-generation networks, delivering dynamic connected experiences, and simplifying the adoption of Generative AI[24] FY2025 Outlook - Amdocs is reiterating its FY2025 revenue growth outlook of 17%-37% year-over-year in pro forma constant currency[39] - The company is targeting a non-GAAP operating margin of 211%-217%, up 300 basis points year-over-year at the midpoint[39] - Free cash flow is projected to be between $710 million and $730 million, with a free cash flow yield of approximately 7%[39] - Amdocs is positioned for double-digit expected total shareholder returns in FY2025[39]