Shares of Sapiens International Corp NV (SPNS) soared over 5% in Tuesday's intraday trading, propelled by the company's better-than-expected fourth quarter earnings results and an upbeat outlook that fueled investor optimism.
The insurance software solutions provider reported non-GAAP earnings per share of $0.37 for the fourth quarter of 2024, beating analysts' consensus estimate of $0.36. Revenue increased 2.6% year-over-year to $134.3 million, narrowly missing expectations of $135.79 million.
For the full year 2024, Sapiens posted a 5.4% rise in revenue to $542.4 million, reflecting new customer wins and expansion with existing clients across key regions. The company is forecasting 2025 revenue in the range of $553 million to $558 million, along with non-GAAP operating profit between $98 million and $102 million.
Roni Al-Dor, President and CEO of Sapiens, expressed optimism about the company's growth prospects, driven by its cloud strategy, scalable SaaS platform, and integration of AI capabilities. "We are well positioned to deepen relationships with existing customers, capture additional market share, and strengthen growth across all regions," he stated.
Investors cheered the solid financial performance and the company's efforts to future-proof its offerings through investments in advanced data analytics and AI integration. The stock's surge underscores market confidence in Sapiens' ability to capitalize on the evolving insurance technology landscape.
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