NiCE Reports 14% Year-Over-Year Cloud Revenue Growth for Fourth Quarter and 13% Growth for Full Year 2025

HOBOKEN, N.J.--( BUSINESS WIRE)--NiCE (NASDAQ: NICE) today announced results for the fourth quarter and full year ended December 31, 2025, as compared to the corresponding periods of the previous year.

Fourth Quarter 2025 Financial Highlights

GAAP

Non-GAAP

Total revenue was $786.5 million and increased 9%

Cloud revenue was $608.3 million and increased 14%

Operating income was $176.2 million and increased 14%

Operating income was $243.8 million and increased 7%

Operating margin was 22.4% compared to 21.4% last year

Operating margin was 31.0% compared to 31.5% last year

Diluted EPS was $2.41 and increased 57%

Diluted EPS was $3.24 and increased 7%

Net cash provided by operating activities was $179.7 million

Full Year 2025 Financial Highlights

GAAP

Non-GAAP

Total revenue was $2,945.4 million and increased 8%

Cloud revenue was $2,238.4 million and increased 13%

Operating income was $645.8 million and increased 18%

Operating income was $907.9 million and increased 7%

Operating margin was 21.9% compared to 20.0% last year

Operating margin was 30.8% compared to 31.1% last year

Diluted EPS was $9.67 and increased 43%

Diluted EPS was $12.30 and increased 11%

Net cash provided by operating activities was $716.5 million

“We’re pleased to report a strong fourth quarter and close to a transformative year for NiCE, reflecting disciplined execution and accelerating AI momentum,” said Scott Russell, CEO of NiCE. “For the full year, we delivered total revenue growth of 8% and cloud revenue growth of 13%, both at the high end of our guidance. Our strong cloud revenue growth was driven by continued momentum in our AI offerings, growing traction in the large enterprise segment, and robust performance across international markets. In the fourth quarter 2025, AI ARR increased 66% year over year to $328 million, and AI was included in 100% of our new seven-figure CXone deals for the full year 2025, underscoring strong enterprise demand for our AI-native platform.”

Mr. Russell continued, “As we enter 2026, we are building on this strength with strong bookings momentum, expanding backlog, and accelerating international growth. Together with Cognigy, NiCE is the only provider offering a fully AI-native CX platform that unifies voice, digital, and agentic AI at enterprise scale. AI is expanding our market opportunity beyond the contact center, and we are moving with speed and focus to capitalize on this generational shift — positioning NiCE to extend our market leadership in CX AI and accelerate cloud growth in 2026 and beyond.”

GAAP Financial Highlights for the Fourth Quarter and Full Year Ended December 31:

Revenues:

Fourth quarter 2025 total revenues increased 9% year over year to $786.5 million compared to $721.6 million for the fourth quarter of 2024.

Full year 2025 total revenues increased 8% to $2,945.4 million compared to $2,735.3 million for the full year 2024.

Gross Profit:

Fourth quarter 2025 gross profit was $513.9 million compared to $489.2 million for the fourth quarter of 2024. Fourth quarter 2025 gross margin was 65.3% compared to 67.8% for the fourth quarter of 2024.

Full year 2025 gross profit was $1,956.1 million compared to $1,825.7 million for the full year 2024. Full year 2025 gross margin was 66.4% compared to 66.7% for the full year 2024.

Operating Income:

Fourth quarter 2025 operating income increased 14% to $176.2 million compared to $154.3 million for the fourth quarter of 2024. Fourth quarter 2025 operating margin was 22.4% compared to 21.4% for the fourth quarter of 2024.

Full year 2025 operating income was $645.8 million compared to $546.0 million for the full year 2024. Full year 2025 operating margin was 21.9% compared to 20.0% for the full year 2024.

Net Income:

Fourth quarter 2025 net income increased 51% to $150.6 million compared to $99.5 million for the fourth quarter of 2024. Fourth quarter 2025 net income margin was 19.1% compared to 13.8% for the fourth quarter of 2024.

Full year 2025 net income was $612.1 million compared to $442.6 million for the full year 2024. Full year 2025 net income margin was 20.8% compared to 16.2% for the full year 2024.

Fully Diluted Earnings Per Share:

Fully diluted earnings per share for the fourth quarter of 2025 increased 57% to $2.41 compared to $1.54 in the fourth quarter of 2024.

Fully diluted earnings per share for the full year 2025 increased 43% to $9.67 compared to $6.76 for the full year 2024.

Cash Flow and Cash Balance:

Fourth quarter 2025 operating cash flow was $179.7 million and full year 2025 operating cash flow was $716.5 million.

In the fourth quarter 2025, $165.2 million was used for share repurchases and for the full year 2025, $488.9 million were used for share repurchases.

As of December 31, 2025, total cash and cash equivalents, and short-term investments were $417.4 million, with no outstanding debt.

Non-GAAP Financial Highlights for the Fourth Quarter and Full Year Ended December 31:

Revenues:

Fourth quarter 2025 non-GAAP total revenues increased 9% year over year to $786.5 million compared to $721.6 million for the fourth quarter of 2024.

Full year 2025 non-GAAP total revenues increased 8% to $2,945.4 million compared to $2,735.3 million for the full year 2024.

Gross Profit:

Fourth quarter 2025 non-GAAP gross profit was $544.9 million compared to $515.3 million for the fourth quarter of 2024. Fourth quarter 2025 non-GAAP gross margin was 69.3% compared to 71.4% for the fourth quarter of 2024.

Full year 2025 gross profit was $2,049.5 million compared to $1,942.7 million for the full year 2024. Full year 2025 non-GAAP gross margin was 69.6% compared to 71.0% for the full year 2024.

Operating Income:

Fourth quarter 2025 non-GAAP operating income was $243.8 million compared to $227.3 million for the fourth quarter of 2024. Fourth quarter 2025 non-GAAP operating margin was 31.0% compared to 31.5% for the fourth quarter of 2024.

Full year 2025 non-GAAP operating income was $907.9 million compared to $849.6 million for the full year 2024. Full year 2025 non-GAAP operating margin was 30.8% compared to 31.1% for the full year 2024.

Net Income:

Fourth quarter 2025 non-GAAP net income was $202.7 million compared to $195.8 million for the fourth quarter of 2024. Fourth quarter 2025 non-GAAP net income margin totaled 25.8% compared to 27.1% for the fourth quarter of 2024.

Full year 2025 non-GAAP net income was $778.8 million compared to $728.4 million for the full year 2024. Full year 2025 non-GAAP net income margin was 26.4% compared to 26.6% for the full year 2024.

Fully Diluted Earnings Per Share:

Fourth quarter 2025 non-GAAP fully diluted earnings per share was $3.24 compared to $3.02 for the fourth quarter of 2024.

Full year 2025 non-GAAP fully diluted earnings per share was $12.30 compared to $11.12 for the full year 2024.

Balance Sheet and Capital Return Update:

On February 18, 2026, NiCE entered into a secured Credit Agreement with certain lenders and JPMorgan Chase Bank, N.A., as administrative agent. The Credit Agreement provides for a $300 million revolving credit facility, and is subject to customary closing conditions. Unless terminated earlier, the commitments under the revolving credit facility will expire on February 17, 2029. The facility provides additional liquidity and optionality while maintaining a strong balance sheet.

On February 18, 2026, NiCE’s Board of Directors authorized a new $600 million share repurchase program. The execution of this program is subject to the issuance of the Company’s audited annual financial report for the year 2025. This authorization reflects the company’s conviction in its long-term growth opportunity and durability of its cash flow generation. Following this authorization, NiCE currently has approximately $1 billion of total remaining share repurchase capacity (including previously authorized share repurchased programs which were not fully exhausted).

The new share repurchase program has an indefinite term. Share repurchases under the program will be made from time to time in open market purchases, private transactions, or other transactions as permitted by securities laws and other legal requirements. The timing and amounts of any purchases will be based on market conditions and other factors including but not limited to price, regulatory requirements, and capital availability. The program does not require the purchase of any minimum dollar amount or number of shares, and the program may be modified, suspended, or discontinued at any time without further notice.

First Quarter and Full Year 2026 Guidance:

First-Quarter 2026:

First-quarter 2026 non-GAAP total revenues are expected to be in a range of $755 million to $765 million, representing 8.5% year over year growth at the midpoint.

First-quarter 2026 non-GAAP fully diluted earnings per share are expected to be in a range of $2.45 to $2.55.

Full-Year 2026:

Full-year 2026 non-GAAP total revenues are expected to be in a range of $3,170 million to $3,190 million, representing 8.0% year over year growth at the midpoint.

Full-year 2026 non-GAAP fully diluted earnings per share are expected to be in a range of $10.85 to $11.05.

The above full year 2026 guidance includes the expectation of 14.5%-15.0% year over year growth in cloud revenue.

Quarterly Results Conference Call

NiCE management will host its earnings conference call today, February 19, 2026, at 8:30 AM ET, 13:30 GMT, 15:30 Israel, to discuss the results and the company's outlook. A live webcast and replay will be available on the Investor Relations page of the Company’s website. To access, please register by clicking here: https://www.nice.com/investor-relations/upcoming-event.

Explanation of Non-GAAP measures

Non-GAAP financial measures are included in this press release. Non-GAAP financial measures consist of GAAP financial measures adjusted to exclude share-based compensation, amortization of acquired intangible assets, acquisition related expenses, amortization of discount on debt and the tax effect of the Non-GAAP adjustments.

The Company believes that these Non-GAAP financial measures, used in conjunction with the corresponding GAAP measures, provide investors with useful supplemental information about the ongoing financial performance of our business. Our management regularly uses our supplemental Non-GAAP financial measures internally to understand, manage and evaluate our business and to make financial, strategic and operating decisions. These Non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Our Non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. These Non-GAAP financial measures may differ materially from the Non-GAAP financial measures used by other companies. Reconciliation between results on a GAAP and Non-GAAP basis is provided in a table immediately following the Consolidated Statements of Income. The Company provides guidance only on a Non-GAAP basis. A reconciliation of guidance from a GAAP to Non-GAAP basis is not available due to the unpredictability and uncertainty associated with future events that would be reported in GAAP results and would require adjustments between GAAP and Non-GAAP financial measures, including the impact of future possible business acquisitions. Accordingly, a reconciliation of the guidance based on Non-GAAP financial measures to corresponding GAAP financial measures for future periods is not available without unreasonable effort.

About NiCE

NiCE (NASDAQ: NICE) is transforming the world with AI that puts people first. Our purpose-built AI-powered platforms automate engagements into proactive, safe, intelligent actions, empowering individuals and organizations to innovate and act, from interaction to resolution. Trusted by organizations throughout 150+ countries worldwide, NiCE’s platforms are widely adopted across industries connecting people, systems, and workflows to work smarter at scale, elevating performance across the organization, delivering proven measurable outcomes.

Trademark Note: NiCE and the NiCE logo are trademarks or registered trademarks of NICE. All other marks are trademarks of their respective owners. For a full list of NiCE trademarks, please see: http://www.nice.com/nice-trademarks.

Forward-Looking Statements

This press release contains forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements may be identified by words such as “believe”, “expect”, “seek”, “may”, “will”, “intend”, “should”, “project”, “anticipate”, “plan”, and similar expressions. Forward-looking statements are based on the current beliefs, expectations and assumptions of the Company’s management regarding the future of the Company’s business, performance, future plans and strategies, projections, anticipated events and trends, the economic environment, and other future conditions. Examples of forward-looking statements include guidance regarding the Company’s revenue and earnings and the growth of our cloud, analytics and artificial intelligence business.

Forward looking statements are inherently subject to significant uncertainties, contingencies, and risks, including, economic, competitive and other factors, which are difficult to predict and many of which are beyond the control of management. The Company cautions that these statements are not guarantees of future performance, and investors should not place undue reliance on them. There are or will be important known and unknown factors and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward-looking statements. These factors, include, but are not limited to, risks associated with changes in economic and business conditions, competition, successful execution of the Company’s growth strategy, success and growth of the Company’s cloud Software-as-a-Service business, difficulties in making additional acquisitions or effectively integrating acquired operations, products, technologies and personnel, the Company’s dependency on third-party cloud computing platform providers, hosting facilities and service partners, rapid changes in technology and market requirements, the implementation of AI capabilities in certain products and services; decline in demand for the Company's products; inability to timely develop and introduce new technologies, products and applications, loss of market share, cyber security attacks or other security incidents, privacy concerns and legislation impacting the Company’s business, changes in currency exchange rates and interest rates, the effects of additional tax liabilities resulting from our global operations, the effect of unexpected events or geo-political conditions, including those arising from political instability or armed conflict that may disrupt our business and the global economy, our ability to recruit and retain qualified personnel, the effect of newly enacted or modified laws, regulation or standards on the Company and our products, and various other factors and uncertainties discussed in our filings with the U.S. Securities and Exchange Commission (the “SEC”).

You are encouraged to carefully review the section entitled “Risk Factors” in our latest Annual Report on Form 20-F and our other filings with the SEC for additional information regarding these and other factors and uncertainties that could affect our future performance. The forward-looking statements contained in this press release speak only as of the date hereof, and the Company undertakes no obligation to update or revise them, whether as a result of new information, future developments or otherwise, except as required by law.

###

NICE LTD. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

U.S. dollars in thousands

December 31,

2025

2024

Unaudited

Audited

ASSETS

CURRENT ASSETS:

Cash and cash equivalents

379,388

481,712

Short-term investments

38,010

1,139,996

Trade receivables

737,954

643,985

Prepaid expenses and other current assets

223,780

239,080

Total current assets

1,379,132

2,504,773

LONG-TERM ASSETS:

Property and equipment, net

189,395

185,292

Deferred tax assets

198,213

219,232

Other intangible assets, net

587,599

231,346

Operating lease right-of-use assets

78,064

93,083

Goodwill

2,440,532

1,849,668

Prepaid expenses and other long-term assets

233,095

212,512

Total long-term assets

3,726,898

2,791,133

TOTAL ASSETS

5,106,030

5,295,906

LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES:

Trade payables

100,782

110,603

Deferred revenues and advances from customers

303,911

299,367

Current maturities of operating leases

13,742

12,554

Debt

458,791

Accrued expenses and other liabilities

469,192

593,109

Total current liabilities

887,627

1,474,424

LONG-TERM LIABILITIES:

Deferred revenues and advances from customers

61,392

66,289

Operating leases

75,059

92,258

Deferred tax liabilities

109,993

1,965

Other long-term liabilities

95,431

57,807

Total long-term liabilities

341,875

218,319

SHAREHOLDERS' EQUITY

Nice Ltd's equity

3,876,528

3,589,742

Non-controlling interests

13,421

Total shareholders' equity

3,876,528

3,603,163

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

5,106,030

5,295,906

NICE LTD. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME

U.S. dollars in thousands (except per share amounts)

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Unaudited

Audited

Unaudited

Audited

Revenue:

Cloud

608,334

533,947

2,238,421

1,984,160

Services

140,600

149,650

559,989

596,031

Product

37,562

38,003

146,989

155,081

Total revenue

786,496

721,600

2,945,399

2,735,272

Cost of revenue:

Cloud

215,370

180,110

770,476

699,713

Services

52,219

47,009

193,934

184,410

Product

5,054

5,267

24,844

25,401

Total cost of revenue

272,643

232,386

989,254

909,524

Gross profit

513,853

489,214

1,956,145

1,825,748

Operating expenses:

Research and development, net

91,123

94,753

360,450

360,607

Selling and marketing

168,035

176,813

661,132

642,251

General and administrative

78,472

63,336

288,805

276,936

Total operating expenses

337,630

334,902

1,310,387

1,279,794

Operating income

176,223

154,312

645,758

545,954

Financial and other income, net

(6,453

)

(16,938

)

(58,259

)

(58,872

)

Income before tax

182,676

171,250

704,017

604,826

Taxes on income

32,122

71,741

91,916

162,238

Net income

150,554

99,509

612,101

442,588

Earnings per share:

Basic

2.44

1.56

9.82

6.97

Diluted

2.41

1.54

9.67

6.76

Weighted average shares outstanding:

Basic

61,802

63,720

62,333

63,483

Diluted

62,576

64,802

63,323

65,506

NICE LTD. AND SUBSIDIARIES

CONSOLIDATED CASH FLOW STATEMENTS

U.S. dollars in thousands

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Unaudited

Audited

Unaudited

Audited

Operating Activities

Net income

150,554

99,509

612,101

442,588

Adjustments to reconcile net income to net cash provided by operating activities:

Depreciation and amortization

62,073

48,776

199,044

205,020

Share-based compensation

29,565

48,185

146,046

182,067

Amortization of premium and discount and accrued interest on marketable securities

(66

)

(3,135

)

1,468

(9,861

)

Deferred taxes, net

19,792

(1,312

)

10,495

(40,261

)

Changes in operating assets and liabilities:

Trade Receivables, net

(23,107

)

(20,993

)

(75,792

)

(61,025

)

Prepaid expenses and other current assets

7,354

(2,625

)

40,744

25,040

Operating lease right-of-use assets

3,226

3,025

14,361

12,951

Trade payables

4,687

39,319

(15,124

)

43,965

Accrued expenses and other current liabilities

(30,393

)

63,507

(175,149

)

41,952

Deferred revenue

(41,882

)

(19,138

)

(22,833

)

3,049

Realized gain on marketable securities, net

(4,463

)

Operating lease liabilities

(2,731

)

(2,767

)

(16,309

)

(13,291

)

Amortization of discount on debt

430

1,210

1,834

Change in fair value of contingent consideration

(3,054

)

(3,054

)

Other

584

(205

)

750

1,667

Net cash provided by operating activities

179,656

249,522

716,549

832,641

Investing Activities

Purchase of property and equipment

(3,416

)

(7,567

)

(18,920

)

(34,962

)

Purchase of Investments

(4,228

)

(362,822

)

(93,272

)

(938,154

)

Proceeds from sales of marketable investments

792

1,002,100

512,556

Proceeds from maturities of marketable investments

3,374

77,086

200,972

192,776

Capitalization of internal use software costs

(20,262

)

(16,819

)

(74,828

)

(64,805

)

Payments for business acquisitions, net of cash acquired

(29,509

)

(20,309

)

(856,092

)

(64,816

)

Net cash provided by (used in) investing activities

(53,249

)

(330,431

)

159,960

(397,405

)

Financing Activities

Proceeds from issuance of shares upon exercise of options

723

1,109

3,063

Purchase of treasury shares

(165,192

)

(95,156

)

(488,911

)

(369,196

)

Dividends paid to noncontrolling interest

(355

)

(3,036

)

Purchase of subsidiaries shares from non-controlling interest

(36,466

)

Repayment of debt

(460,000

)

(87,435

)

Net cash used in financing activities

(165,106

)

(94,788

)

(984,268

)

(456,604

)

Effect of exchange rates on cash and cash equivalents

535

(8,174

)

4,734

(6,914

)

Net change in cash, cash equivalents and restricted cash

(38,164

)

(183,871

)

(103,025

)

(28,282

)

Cash, cash equivalents and restricted cash, beginning of period

420,171

668,903

485,032

513,314

Cash, cash equivalents and restricted cash, end of period

382,007

485,032

382,007

485,032

Reconciliation of cash, cash equivalents and restricted cash reported in the consolidated balance sheet:

Cash and cash equivalents

379,388

481,712

379,388

481,712

Restricted cash included in other current assets

2,619

3,320

2,619

3,320

Total cash, cash equivalents and restricted cash shown in the statement of cash flows

382,007

485,032

382,007

485,032

NICE LTD. AND SUBSIDIARIES

RECONCILIATION OF GAAP TO NON-GAAP RESULTS

U.S. dollars in thousands (except per share amounts)

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

GAAP revenues

786,496

721,600

2,945,399

2,735,272

Non-GAAP revenues

786,496

721,600

2,945,399

2,735,272

GAAP cost of revenue

272,643

232,386

989,254

909,524

Amortization of acquired intangible assets on cost of cloud

(27,151

)

(19,592

)

(72,933

)

(93,370

)

Amortization of acquired intangible assets on cost of product

(410

)

Cost of cloud revenue adjustment (1,2)

(2,211

)

(3,520

)

(11,592

)

(12,549

)

Cost of services revenue adjustment (1)

(1,725

)

(2,966

)

(8,852

)

(10,472

)

Cost of product revenue adjustment (1)

(18

)

(108

)

Non-GAAP cost of revenue

241,614

206,290

895,870

792,615

GAAP gross profit

513,853

489,214

1,956,145

1,825,748

Gross profit adjustments

31,029

26,096

93,384

116,909

Non-GAAP gross profit

544,882

515,310

2,049,529

1,942,657

GAAP operating expenses

337,630

334,902

1,310,387

1,279,794

Research and development (1,2)

(3,879

)

(6,461

)

(16,512

)

(28,822

)

Sales and marketing (1,2)

(8,610

)

(15,565

)

(50,739

)

(57,891

)

General and administrative (1,2)

(14,771

)

(21,628

)

(73,722

)

(81,042

)

Amortization of acquired intangible assets

(9,293

)

(6,263

)

(27,801

)

(22,087

)

Valuation adjustment on acquired deferred commission

Change in fair value of contingent consideration

3,054

Non-GAAP operating expenses

301,077

288,039

1,141,613

1,093,030

GAAP financial and other income, net

(6,453

)

(16,938

)

(58,259

)

(58,872

)

Amortization of discount on debt

(430

)

(1,210

)

(1,834

)

Realized gain on marketable securities, net

4,463

(115

)

Non-GAAP financial and other income, net

(6,453

)

(17,368

)

(55,006

)

(60,821

)

GAAP taxes on income

32,122

71,741

91,916

162,238

Tax adjustments re non-GAAP adjustments

15,429

(22,878

)

92,192

19,787

Non-GAAP taxes on income

47,551

48,863

184,108

182,025

GAAP net income

150,554

99,509

612,101

442,588

Amortization of acquired intangible assets

36,444

25,855

100,734

115,867

Valuation adjustment on acquired deferred commission

(24

)

Share-based compensation (1)

31,138

49,720

152,358

187,717

Acquisition related expenses (2)

438

9,066

3,167

Amortization of discount on debt

430

1,210

1,834

Realized gain on marketable securities, net

(4,463

)

Change in fair value of contingent consideration

(3,054

)

(2,939

)

Tax adjustments re non-GAAP adjustments

(15,429

)

22,878

(92,192

)

(19,787

)

Non-GAAP net income

202,707

195,776

778,814

728,423

GAAP diluted earnings per share

2.41

1.54

9.67

6.76

Non-GAAP diluted earnings per share

3.24

3.02

12.30

11.12

Shares used in computing GAAP diluted earnings per share

62,576

64,802

63,323

65,506

Shares used in computing non-GAAP diluted earnings per share

62,576

64,802

63,323

65,506

NICE LTD. AND SUBSIDIARIES

RECONCILIATION OF GAAP TO NON-GAAP RESULTS (continued)

U.S. dollars in thousands

)

Share-based compensation

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Cost of cloud revenue

2,211

3,520

11,592

12,487

Cost of services revenue

1,725

2,966

8,852

10,472

Cost of product revenue

(58

)

108

Research and development

3,879

6,461

16,512

28,492

Sales and marketing

8,610

15,554

50,729

57,230

General and administrative

14,771

21,201

64,666

78,928

31,138

49,720

152,358

187,717

)

Acquisition related expenses

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Cost of cloud revenue

Research and development

330

Sales and marketing

661

General and administrative

427

9,056

2,114

438

9,066

3,167

NICE LTD. AND SUBSIDIARIES

RECONCILIATION OF GAAP NET INCOME TO NON-GAAP EBITDA

U.S. dollars in thousands

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Unaudited

Audited

Unaudited

Audited

GAAP net income

150,554

99,509

612,101

442,588

Non-GAAP adjustments:

Depreciation and amortization

62,073

48,776

199,044

205,020

Share-based compensation

29,565

48,185

146,046

182,067

Financial and other income, net

(6,453

)

(16,938

)

(58,259

)

(58,872

)

Acquisition related expenses

438

9,066

3,167

Change in fair value of contingent consideration

(3,054

)

(3,054

)

Valuation adjustment on acquired deferred commission

(24

)

Taxes on income

32,122

71,741

91,916

162,238

Non-GAAP EBITDA

267,861

248,657

999,914

933,130

NICE LTD. AND SUBSIDIARIES

NON-GAAP RECONCILIATION - FREE CASH FLOW FROM CONTINUING OPERATIONS

U.S. dollars in thousands

Quarter ended

Year to date

December 31,

2025

2024

2025

2024

Unaudited

Audited

Unaudited

Audited

Net cash provided by operating activities

179,656

249,522

716,549

832,641

(3,416

)

(7,567

)

(18,920

)

(34,962

)

(20,262

)

(16,819

)

(74,828

)

(64,805

)

Free Cash Flow (a)

155,978

225,136

622,801

732,874

(a) Free cash flow from continuing operations is defined as operating cash flows from continuing operations less capital expenditures of the continuing operations and less capitalization of internal use software costs.