Descartes Systems Group Full Year 2025 Earnings: In Line With Expectations

Simply Wall St

March 07, 2025

Descartes Systems Group (TSE:DSG) Full Year 2025 Results

Key Financial Results

Revenue: US$651.0m (up 14% from FY 2024).
Net income: US$143.3m (up 24% from FY 2024).
Profit margin: 22% (up from 20% in FY 2024). The increase in margin was driven by higher revenue.
EPS: US$1.68 (up from US$1.36 in FY 2024).

revenue-and-expenses-breakdown — TSX:DSG Revenue and Expenses Breakdown March 7th 2025

All figures shown in the chart above are for the trailing 12 month (TTM) period

Descartes Systems Group Meets Expectations

Revenue was in line with analyst estimates. Earnings per share (EPS) was also in line with analyst expectations.

The primary driver behind last 12 months revenue was the United States segment contributing a total revenue of US$439.1m (67% of total revenue). The largest operating expense was Research & Development (R&D) costs, amounting to US$95.5m (27% of total expenses). Explore how DSG's revenue and expenses shape its earnings.

Looking ahead, revenue is forecast to grow 9.7% p.a. on average during the next 3 years, compared to a 15% growth forecast for the Software industry in Canada.

Performance of the Canadian Software industry.

The company's shares are down 8.7% from a week ago.

Risk Analysis

It is worth noting though that we have found 1 warning sign for Descartes Systems Group that you need to take into consideration.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.