Stock Analysis

Descartes Systems Group Third Quarter 2025 Earnings: Beats Expectations

TSX:DSG
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Descartes Systems Group (TSE:DSG) Third Quarter 2025 Results

Key Financial Results

  • Revenue: US$168.8m (up 17% from 3Q 2024).
  • Net income: US$36.6m (up 37% from 3Q 2024).
  • Profit margin: 22% (up from 18% in 3Q 2024). The increase in margin was driven by higher revenue.
  • EPS: US$0.43 (up from US$0.31 in 3Q 2024).
earnings-and-revenue-growth
TSX:DSG Earnings and Revenue Growth December 5th 2024

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

Descartes Systems Group Revenues and Earnings Beat Expectations

Revenue exceeded analyst estimates by 2.5%. Earnings per share (EPS) also surpassed analyst estimates by 2.6%.

Looking ahead, revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 16% growth forecast for the Software industry in Canada.

Performance of the Canadian Software industry.

The company's shares are up 3.4% 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.