Pegasystems (PEGA) Citi’s 2026 Global TMT Conference summary

Market environment and performance

• Annual contract value (ACV) growth is expected to be around 10%, below the initial 15% target due to a slower pipeline build and aggressive ramp expectations in the back half of the year.

• Pipeline conversion cycles are long, with most deals requiring multiple quarters to close, limiting short-term acceleration.

• Execution in late 2025 and early 2026 was not optimal, impacting the ability to level bookings and pipeline throughout the year.

Sales strategy and execution

• Shifted from an account management focus to a more outbound, hunter-driven sales approach, emphasizing new contacts and meetings.

• Instrumented activity metrics and embedded them into sales forecasts to drive consistent client engagement.

• Sales teams are adapting to the new approach, with increased early engagement and awareness across management levels.

• Growth will depend on expanding into new workflows and use cases, both within existing clients and through new logos.

Product innovation and AI integration

• Released Infinity '26, an AI-native platform, and Infinity Studio to accelerate application development and reduce required expertise.

• Blueprint tool enables clients to visualize and design workflows, which can be rapidly developed in Infinity Studio with AI assistance.

• Internal tests showed a reduction in development time from 2,000 hours to 45 hours for demo applications.

• Focus remains on making the platform intuitive to minimize reliance on specialists and forward-deployed engineers.