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STATES\n\nSECURITIES AND EXCHANGE COMMISSION\n\nWashington, D.C. 20549\n\n____________________________\n\nFORM 10-K\n\n____________________________\n\n☒ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT of 1934\n\nFor the fiscal year ended December 31, 2025\n\nOR\n\n☐TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT of 1934\n\nCommission File No. 1-11859 \n\n____________________\n\nPEGASYSTEMS INC.\n\n(Exact name of Registrant as specified in its charter)\n\n____________________\n\nMassachusetts04-2787865\n\n(State or other jurisdiction of incorporation or organization)(IRS Employer Identification No.)\n\n225 Wyman Street, Waltham, MA 02451\n\n(Address of principal executive offices, including zip code)\n\n(617) 374-9600\n\n(Registrant’s telephone number, including area code)\n\n____________________\n\nSecurities registered pursuant to Section 12(b) of the Act:\n\nTitle of each classTrading symbol(s)Name of each exchange on which registered\n\nCommon Stock, $.01 par value per sharePEGANASDAQ Global Select Market\n\nSecurities registered pursuant to Section 12(g) of the Act:\n\nNone\n\n____________________\n\nIndicate by check mark if the Registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. Yes ☒ No ☐\n\nIndicate by check mark if the Registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Exchange Act. Yes ☐ No ☒\n\nIndicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports) and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐\n\nIndicate by check mark whether the Registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the Registrant was required to submit such files). Yes ☒ No ☐\n\nIndicate by check mark whether the Registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging company,” in Rule 12b-2 of the Exchange Act.\n\nLarge accelerated filer\n☒\nAccelerated filer☐Non-accelerated filer☐Smaller reporting company☐Emerging growth company☐\n\nIf an emerging growth company, indicate by check mark if the Registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐\n\nIndicate by check mark whether the registrant has filed a report on and attestation to its management’s assessment of the effectiveness of its internal control over financial reporting under Section 404(b) of the Sarbanes-Oxley Act (15 U.S.C. 7262(b)) by the registered public accounting firm that prepared or issued its audit report. ☒\n\nIf securities are registered pursuant to Section 12(b) of the Act, indicate by check mark whether the financial statements of the registrant included in the filing reflect the correction of an error to previously issued financial statements. □\n\nIndicate by check mark whether any of those error corrections are restatements that required a recovery analysis of incentive-based compensation received by any of the registrant’s executive officers during the relevant recovery period pursuant to §240.10D-1(b). □\n\nIndicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒\n\nThe aggregate market value of the Registrant’s common stock held by non-affiliates, based upon the closing price of the Registrant’s common stock on the NASDAQ Global Select Market of $54.13, on June 30, 2025 was approximately $5 billion.\n\nThere were 169,043,716 shares of the Registrant’s common stock, $0.01 par value per share, outstanding on January 30, 2026.\n\nDOCUMENTS INCORPORATED BY REFERENCE\n\nPortions of the Registrant’s definitive proxy statement related to its 2026 annual meeting of stockholders to be filed subsequently are incorporated by reference into Part III of this report.\n\nPEGASYSTEMS INC.\n\nANNUAL REPORT ON FORM 10-K\n\nTABLE OF CONTENTS\n\nItemPage\n\nPART I\n\n1Business\n[4](#iad3cbe814d7245e7b3a44ecafc971363_16)\n\n1ARisk Factors\n[10](#iad3cbe814d7245e7b3a44ecafc971363_19)\n\n1BUnresolved Staff Comments\n[20](#iad3cbe814d7245e7b3a44ecafc971363_37)\n\n1C\n\nCybersecurity\n\n[20](#iad3cbe814d7245e7b3a44ecafc971363_40)\n\n2Properties\n[22](#iad3cbe814d7245e7b3a44ecafc971363_43)\n\n3Legal Proceedings\n[22](#iad3cbe814d7245e7b3a44ecafc971363_46)\n\n4Mine Safety Disclosures\n[22](#iad3cbe814d7245e7b3a44ecafc971363_49)\n\nPART II\n\n5Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities\n[23](#iad3cbe814d7245e7b3a44ecafc971363_55)\n\n6\n[Reserved]\n\n[24](#iad3cbe814d7245e7b3a44ecafc971363_58)\n\n7Management’s Discussion and Analysis of Financial Condition and Results of Operations\n[24](#iad3cbe814d7245e7b3a44ecafc971363_61)\n\n7AQuantitative and Qualitative Disclosures about Market Risk\n[33](#iad3cbe814d7245e7b3a44ecafc971363_115)\n\n8Financial Statements and Supplementary Data\n[34](#iad3cbe814d7245e7b3a44ecafc971363_118)\n\n9Changes in and Disagreements with Accountants on Accounting and Financial Disclosure\n[67](#iad3cbe814d7245e7b3a44ecafc971363_214)\n\n9AControls and Procedures\n[67](#iad3cbe814d7245e7b3a44ecafc971363_217)\n\n9BOther Information\n[67](#iad3cbe814d7245e7b3a44ecafc971363_220)\n\n9C\n\nDisclosure Regarding Foreign Jurisdictions that Prevent Inspections\n\n[67](#iad3cbe814d7245e7b3a44ecafc971363_226)\n\nPART III\n\n10\nDirectors, Executive Officers and Corporate Governance\n\n[68](#iad3cbe814d7245e7b3a44ecafc971363_232)\n\n11Executive Compensation\n[68](#iad3cbe814d7245e7b3a44ecafc971363_235)\n\n12Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters\n[68](#iad3cbe814d7245e7b3a44ecafc971363_238)\n\n13Certain Relationships and Related Transactions, and Director Independence\n[68](#iad3cbe814d7245e7b3a44ecafc971363_241)\n\n14\nPrincipal Accountant Fees and Services\n\n[68](#iad3cbe814d7245e7b3a44ecafc971363_244)\n\nPART IV\n\n15\nExhibits and Financial Statement Schedules\n\n[69](#iad3cbe814d7245e7b3a44ecafc971363_250)\n\n16Form 10-K Summary\n[71](#iad3cbe814d7245e7b3a44ecafc971363_262)\n\nSignatures\n[72](#iad3cbe814d7245e7b3a44ecafc971363_265)\n\n2\n\nPART I\n\nFORWARD-LOOKING STATEMENTS\n\nThis Annual Report on Form 10-K (“Annual Report”), including without limitation, “Item 1. Business,” “Item 1A. Risk Factors,” “Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities,” and “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations,” along with other reports that we have filed with the Securities and Exchange Commission (“SEC”), external documents, and oral presentations, contains or incorporates forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including our plans for growing our business, the sufficiency of our capital, our position and estimates relating to tax, and legal proceedings.\n\nWords such as expects, anticipates, intends, plans, believes, will, could, should, estimates, may, targets, strategies, intends to, projects, positions, forecasts, guidance, likely, and usually or variations of such words and other similar expressions identify forward-looking statements. These statements represent our views only as of the date the statement was made and are based on current expectations and assumptions.\n\nForward-looking statements deal with future events and are subject to risks and uncertainties that are difficult to predict, including, but not limited to:\n\n•our future financial performance and business plans;\n\n•the adequacy of our liquidity and capital resources;\n\n•the successful execution of investments in artificial intelligence;\n\n•reliance on key personnel;\n\n•potential legal and financial liabilities, as well as damage to our reputation, due to cyber-attacks;\n\n•security breaches and security flaws;\n\n•our ability to protect our intellectual property rights, costs associated with defending such rights, intellectual property rights claims, and other related claims by third parties against us, including related costs, damages, and other relief that may be granted against us;\n\n•our ongoing litigation with Appian Corp. and associated legal proceedings; and\n\n•management of our growth.\n\nThese risks and others that may cause actual results to differ materially from those expressed in such forward-looking statements are described further in “Item 1A. Risk Factors” of this Annual Report and other filings we make with the SEC.\n\nInvestors are cautioned not to place undue reliance on such forward-looking statements, and there are no assurances that the results included in such statements will be achieved. Although subsequent events may cause our view to change, except as required by applicable law, we do not undertake and expressly disclaim any obligation to publicly update or revise these forward-looking statements, whether as the result of new information, future events, or otherwise. The forward-looking statements in this Annual Report represent our views as of February 10, 2026.\n\n3"}