Amdocs Limited Reports Fourth Quarter Fiscal 2026 Results & Full Year Fiscal 2026 Results

What happened

Amdocs reported fiscal 2026 revenue of $4.70 billion, up 3.6% year over year. It announced an eight-year strategic aOS agreement with AT&T, entered the insurance industry by acquiring EIS, and initiated fiscal 2027 guidance plus fiscal 2028 expectations.

Confirmed

Global impact / market context

The AT&T agreement and EIS acquisition change Amdocs' revenue mix and customer base, which means the company depends less on traditional telecom software sales and more on long-term service contracts and a new insurance market.

Analyst inference

Amdocs' fiscal 2027 revenue outlook implies a decline of 17.9% to 14.3% as reported, but only 11% to 7% on a pro forma constant currency basis, which means reported figures are distorted by currency and acquisition accounting effects.

Analyst inference

What to watch

1. Free cash flow was $562 million, made up of $673 million cash from operations less $111 million in net capital spending and other items, which means cash available after investments. Confirmed
2. Management expects mid-single digit revenue growth and high-single digit earnings growth in fiscal 2028, with a steadily rising dividend, which means investors should watch whether those targets are met. Proposed
3. Restructuring charges of 130 cents per share cut GAAP diluted EPS to $4.68, so watch whether these one-time costs fade and whether profit per sale recovers as the EIS acquisition is absorbed. Analyst inference

Evidence

• accessnewswire.com