Pegasystems (PEGA) Q2 FY26 earnings call

Pegasystems navigated a challenging Q2 FY26 marked by significant market confusion around AI economics and internal go-to-market execution issues, leading to slower-than-anticipated ACV growth. Despite these headwinds, the company achieved record free cash flow and executed substantial share repurchases, demonstrating financial discipline. Management remains confident in its long-term strategy, emphasizing its differentiated AI approach for predictable outcomes and costs, and is focused on improving sales execution in the second half.