Agilysys, Inc. operates as a developer and marketer of software-enabled solutions and services to the hospitality industry in North America, Europe, the ...
Agilysys, Inc. (NASDAQ: AGYS) is a technology company that develops and markets software-enabled solutions and services specifically for the hospitality industry. With a history dating back to 1932, the company was formed through the merger of Standard Radio and Pioneer, becoming Pioneer-Standard Electronics in 1963, and later renamed Agilysys in ...Agilysys, Inc. (NASDAQ: AGYS) is a technology company that develops and markets software-enabled solutions and services specifically for the hospitality industry. With a history dating back to 1932, the company was formed through the merger of Standard Radio and Pioneer, becoming Pioneer-Standard Electronics in 1963, and later renamed Agilysys in 2003. Headquartered in Alpharetta, Georgia, Agilysys operates across North America, Europe, Asia-Pacific, and India, serving a diverse clientele including hotels, resorts, casinos, corporate dining, restaurants, stadiums, and cruise lines. The company's core offerings include its Hospitality Experience Cloud, which integrates property management systems (PMS), point-of-sale (POS), inventory and procurement, and guest engagement tools. Key products include InfoGenesis POS, IG Kiosk, IG KDS (kitchen display system), IG OnDemand, IG Fly, IG Quick Pay, IG Smart Menu, and digital menu boards. For hospitality and leisure, Agilysys provides LMS, Versa, and Stay (a cloud-native SaaS PMS), along with solutions like Book, Express Kiosk, Spa, Golf, Sales and Catering, and Loyalty programs. In inventory and procurement, it offers Eatec and Stratton Warren System. The company also provides professional services, cloud applications, support, and maintenance. Financially, Agilysys has shown strong performance with a market cap of approximately $3.06 billion, a gross profit margin of 62.3%, and a net profit margin of 13% as of the latest TTM. The company emphasizes innovation, recently introducing over 30 AI-powered features. Under the leadership of CEO Ramesh Srinivasan since 2017, Agilysys focuses on maximizing 'Return on Experience' for its clients. With a workforce of 2,413 employees, the company continues to expand its global footprint and enhance its product ecosystem to drive operational efficiency and guest satisfaction.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$319.3M
+15.8%
+5.7%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$38.8M
+67.0%
-26.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+61.9%
-0.9%
-1.4%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+12.6%
+53.4%
-27.8%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+12.1%
+44.2%
-30.8%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$68.1M
+30.2%
-79.3%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
+21.3%
+12.4%
-80.5%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
5.8%
-67.0%
-6.5%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.47x
+32.3%
+18.3%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Good day, ladies and gentlemen, and welcome to the Agilysys 2026 Fourth Quarter and Full Fiscal Year Conference Call. As a reminder, today's conference may be recorded. I would now like to turn the conference over to Jessica Hennessy, Vice President of Operations and Investor Relations at Agilysys. You may begin.
Jessica Hennessy: Thank you, Victor, and good afternoon, everybody. Thank you for joining the Agilysys 2026 Fourth Quarter and Full Fiscal Year Conference Call. We will get started in just a minute with management's comments. But before doing so, let me read the safe harbor language. Some statements made on today's call will be predictive and are intended to be made as forward-looking within the safe harbor protections of the U.S. Private Securities Litigation Reform Act of 1995, including statements regarding our financial guidance. Although the company believes that its forward-looking statements are based on reasonable assumptions, such statements are subject to risks and uncertainties that could cause results to differ materially. Important factors that could cause actual results to vary materially from these forward-looking statements include our ability to achieve the provided guidance levels, increased implementation and operational efficiencies, the company's ability to maintain retention rates, utilize AI to continue to increase competitive advantages and the risks set forth in the company's reports on Form 10-K and 10-Q and other reports filed with the Securities and Exchange Commission. As a reminder, any references to record financial and business levels during this call refer only to the time period after Agilysys made the transformation to an entirely hospitality-focused software solutions company in fiscal year 2014. With that, I'd now like to turn the call over to Mr. Ramesh Srinivasan, President and CEO of Agilysys. Ramesh, please go ahead.
Ramesh Srinivasan: Thank you, Jess. Good evening. Welcome to the fiscal 2026 Fourth Quarter and Full Year Earnings Call. Joining Jess and me on the call today at our Alpharetta, Atlanta (sic) [ Georgia ] headquarters is Dave Wood, our CFO. Fiscal 2026 Q4 was an excellent overall business quarter for Agilysys, including with respect to sales, revenue and profitability, each of which set a new quarter record. We measure sales and selling success in annual contract value terms and fiscal 2026 fourth quarter was the highest sales quarter on record. All sales and backlog values mentioned here for Q4 and full fiscal year 2026 do not include anything from the Marriott Property Management System, PMS project. Fiscal 2026, the year ending March 2026 was a record global sales year overall. It was a record best sales year and well more than double the previous year sales level for the managed foodservices (sic) [ Foodservice Management ], FSM vertical, a record best sales year for international sales. A record sales year by a good distance for subscription SaaS sales, 29% higher than …
