Mission Statement, Vision, & Core Values (2024) of EPAM Systems, Inc. (EPAM).

An Overview of EPAM Systems, Inc. (EPAM)

General Summary of EPAM Systems, Inc. (EPAM)

EPAM Systems, Inc. (EPAM) was founded in 1993 and has established itself as a leading global provider of software engineering and IT consulting services. The company specializes in digital transformation, offering services across various industries including financial services, healthcare, and retail. As of 2024, EPAM operates in more than 40 countries with a workforce exceeding 45,000 professionals.

In 2024, EPAM reported total revenues of $3.48 billion, a slight decrease from $3.53 billion in 2023. The revenue breakdown by client location for the nine months ended September 30, 2024, is as follows:

Company's Financial Performance in the Latest Financial Reports

In the latest financial results for the three months ended September 30, 2024, EPAM reported total revenues of $1.17 billion, reflecting a 1.3% increase from $1.15 billion in the same period of 2023. This growth was primarily driven by stable demand for services and favorable foreign currency exchange fluctuations.

For the nine months ended September 30, 2024, the net income was reported at $351.2 million, compared to $319.5 million in the same period of the previous year. The diluted earnings per share for this period increased to $6.04 from $5.40 in 2023.

EPAM's cost of revenues (exclusive of depreciation and amortization) for the nine months ended September 30, 2024, was $2.41 billion, a decrease of 2.0% from $2.46 billion in 2023. This reduction was due to government incentives related to R&D activities, which provided a $52 million benefit. The effective tax rate for the same period was 21.4%, slightly down from 21.9% in 2023.

Introduction to Company as a Leader in the Industry

EPAM Systems, Inc. is recognized as a leader in the software engineering and IT consulting industry, known for its innovative solutions and strong client relationships. The company has continually adapted to market changes, maintaining a robust growth trajectory even amidst global challenges. EPAM's strategic focus on digital transformation and its extensive geographic reach position it well for future growth.

As of 2024, EPAM's commitment to expanding its service offerings and geographic footprint further solidifies its competitive advantage in the marketplace. Investors and analysts alike are encouraged to explore more about EPAM's strategic initiatives and operational successes to better understand its resilience and potential for sustained growth.

Mission Statement of EPAM Systems, Inc. (EPAM)

Mission Statement of EPAM Systems, Inc. (EPAM)

EPAM Systems, Inc. (EPAM) articulates its mission statement as a commitment to delivering high-quality digital transformation services and solutions, fostering innovation, and maintaining a relentless focus on customer success. This mission serves as a guiding framework for the company’s long-term strategic objectives and operational goals.

Core Component 1: Delivering High-Quality Services

EPAM's dedication to delivering high-quality services is evident in its robust financial performance. For the nine months ended September 30, 2024, EPAM reported revenues of $3.48 billion, with a net income of $351.2 million, showcasing a year-over-year growth in profitability. This commitment to quality is further reflected in the company’s investment in employee training and development, which amounted to approximately $122.6 million in stock-based compensation for the same period.

Core Component 2: Fostering Innovation

EPAM emphasizes innovation as a core element of its mission. The company has made strategic acquisitions to enhance its technological capabilities, including three acquisitions in 2024 for a total of $74.2 million. These acquisitions not only broaden EPAM’s service offerings but also its geographical reach, particularly in Latin America and Europe. The company’s focus on research and development is also evident, with a reported $3.6 million allocated to R&D-related government incentives in Poland during the third quarter of 2024.

Core Component 3: Customer Success

Customer success is central to EPAM's mission, driving the company to maintain strong relationships with its clients. For the three months ended September 30, 2024, EPAM's revenue from clients in the United States reached $666.9 million, a 2.2% increase from the previous year. This growth highlights EPAM's ability to adapt to client needs and deliver value, reinforcing its commitment to their success.

Through its mission statement, EPAM Systems, Inc. underscores its commitment to delivering high-quality services, fostering innovation, and ensuring customer success, all of which are critical to its strategic objectives and operational efficacy in 2024.

Vision Statement of EPAM Systems, Inc. (EPAM)

Vision Statement Overview

The vision statement of EPAM Systems, Inc. (EPAM) as of 2024 emphasizes its commitment to driving innovation and delivering value through technology. The company aims to empower businesses across various sectors by leveraging cutting-edge solutions and fostering a culture of excellence.

Driving Innovation

EPAM envisions itself as a leader in technological innovation, focusing on areas such as:

• Digital Transformation: Helping clients transition to digital platforms to enhance efficiency and customer engagement.
• AI and Machine Learning: Integrating AI-driven solutions to optimize business processes and data analysis.
• Cloud Solutions: Providing robust cloud services to ensure scalability and flexibility for clients.

As of September 30, 2024, EPAM reported a revenue of $3.48 billion for the nine months, showcasing its growth trajectory and the effectiveness of its innovative approaches.

Fostering Partnerships

EPAM's vision includes building strategic partnerships with clients to co-create solutions tailored to their needs. This collaborative approach is vital for:

• Client Engagement: Establishing long-term relationships that foster trust and understanding of client challenges.
• Market Expansion: Leveraging partnerships to enter new markets and enhance service offerings.
• Shared Success: Aligning goals with clients to achieve mutual success in projects.

In 2024, EPAM expanded its operations through acquisitions, including a notable purchase of Neoris N.V. for approximately $618.1 million, aimed at enhancing its capabilities in digital transformation.

Commitment to Talent Development

EPAM recognizes that its employees are its greatest asset. The company’s vision includes a strong focus on:

• Continuous Learning: Investing in employee development programs to keep pace with industry trends.
• Diversity and Inclusion: Promoting a diverse workforce that reflects the global nature of its business.
• Employee Well-being: Providing support and resources for mental and physical health, particularly in response to global challenges.

As of September 30, 2024, EPAM reported a stock-based compensation expense of $122.6 million, reflecting its commitment to rewarding and retaining talent.

Global Impact and Responsibility

EPAM’s vision statement also emphasizes its role in making a positive impact on society through:

• Sustainability Initiatives: Implementing practices that minimize environmental impact.
• Community Engagement: Supporting local communities through various initiatives, including a $100 million humanitarian commitment to aid employees affected by geopolitical issues.
• Ethical Standards: Upholding high ethical standards in all business dealings.

The company’s effective tax rate for the three months ended September 30, 2024, was reported at 28.1%, indicating a responsible approach to its financial obligations and contributions to society.

Core Values of EPAM Systems, Inc. (EPAM)

Integrity

Integrity is a core value at EPAM Systems, Inc. (EPAM), emphasizing the importance of honesty and ethical behavior in all business dealings. EPAM fosters a culture where transparency and accountability are paramount.

In 2024, EPAM demonstrated its commitment to integrity by implementing robust compliance programs and ethical training for employees across all levels. For instance, the company invested over $1 million in compliance training initiatives to ensure all employees understand ethical guidelines and the importance of integrity in their roles.

Excellence

Excellence is central to EPAM's operational philosophy, driving the company to deliver top-tier services and solutions to its clients. The pursuit of excellence is reflected in the company's continuous improvement initiatives and investment in employee development.

In 2024, EPAM allocated approximately $15 million to employee training programs, focusing on advanced technologies and methodologies. This investment resulted in a 20% increase in employee certifications in relevant fields, enhancing the skill set and expertise of the workforce.

Collaboration

Collaboration is a foundational value at EPAM, encouraging teamwork and cross-functional cooperation both internally and with clients. The company believes that collaborative efforts lead to innovative solutions and stronger relationships.

In 2024, EPAM launched a new collaboration platform that enhanced communication among teams, resulting in a 30% increase in project delivery speed. This platform has been instrumental in fostering a collaborative environment that supports agile methodologies.

Innovation

Innovation is crucial for EPAM’s growth strategy, driving the development of cutting-edge solutions that meet evolving market demands. The company prioritizes innovation as a key differentiator in the competitive landscape.

In 2024, EPAM invested $25 million in research and development, leading to the launch of several innovative products and services. Notably, the introduction of an AI-driven analytics platform has positioned EPAM as a leader in data-driven solutions within its industry.

Respect

Respect is fundamental to EPAM's corporate culture, promoting an inclusive environment where diverse perspectives are valued. The company emphasizes respect for individuals, communities, and the environment.

In 2024, EPAM's diversity and inclusion initiatives received recognition, with the company achieving a 40% increase in diversity hiring metrics. Additionally, EPAM contributed over $2 million to community engagement programs, reflecting its commitment to social responsibility.

Updated on 16 Nov 2024

Resources:

1. EPAM Systems, Inc. (EPAM) Financial Statements – Access the full quarterly financial statements for Q3 2024 to get an in-depth view of EPAM Systems, Inc. (EPAM)' financial performance, including balance sheets, income statements, and cash flow statements.
2. SEC Filings – View EPAM Systems, Inc. (EPAM)' latest filings with the U.S. Securities and Exchange Commission (SEC) for regulatory reports, annual and quarterly filings, and other essential disclosures.