Matt Flick's questions to Agilysys Inc (AGYS) leadership • Q3 2025
Question
Matt Flick, on for Stephen Sheldon, asked about the outlook for gross margins, the definition of 'normalized' growth for professional services, and the planned pace and regional focus of the Marriott rollout.
Answer
CFO Dave Wood projected gross margins would remain around 63% with potential for incremental growth next year. He defined 'normalized' professional services growth as being in line with top-line revenue growth (e.g., 15-20%), unlike the recent accelerated growth from a large development project. President and CEO Ramesh Srinivasan reiterated that he could not share specifics on the Marriott rollout pace, only that pilot properties are expected in the second half of calendar 2025.