Revenue flow

Margins

Stage	PEGA	% of rev	RL	% of rev	Gap · A − B
Revenue	$393M	100.00%	$2.0B	100.00%	RL ×4.98
Gross profit	$290M	73.60%	$1.4B	73.69%	RL +0.1pp
Operating income	$15M	3.78%	$342M	17.47%	RL +13.7pp
Pre-tax income	$18M	4.52%	$342M	17.46%	RL +12.9pp
Net income	$14M	3.58%	$262M	13.38%	RL +9.8pp

Stage	PEGA	RL	Gap · A − B
Revenue	$393M100.00%	$2.0B100.00%	RL ×4.98
Gross profit	73.60%$290M	73.69%$1.4B	RL +0.1pp
Operating income	3.78%$15M	17.47%$342M	RL +13.7pp
Pre-tax income	4.52%$18M	17.46%$342M	RL +12.9pp
Net income