CSG Systems International Reports Fourth Quarter and Full Year 2025 Results

Company sees growth in SaaS and related solutions, announces 6% increase in quarterly dividend

Feb. 4, 2026 at 4:07pm

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CSG (NASDAQ: CSGS) today reported results for the quarter and year ended December 31, 2025, including total revenue of $323.1 million for Q4 2025 and $1.22 billion for the full year 2025, representing increases of 2.0% and 2.2% respectively compared to the prior year periods. The company saw growth in its SaaS and related solutions, but also experienced lower GAAP operating income and EPS due to the impact of merger transaction-related costs and higher stock-based compensation. CSG also announced a 6% increase in its quarterly cash dividend to $0.34 per share.

Why it matters

CSG's results highlight the company's ability to drive growth in its core SaaS and solutions business, even as it navigates the complexities of a major merger transaction. The dividend increase signals confidence in the company's financial position and commitment to returning capital to shareholders. However, the lower GAAP profitability metrics raise questions about the near-term impact of the merger on the company's operations.

The details

For the fourth quarter of 2025, CSG reported total revenue of $323.1 million, a 2.0% increase compared to Q4 2024. Full year 2025 revenue was $1.22 billion, up 2.2% from 2024. The increases were driven by continued growth in the company's SaaS and related solutions. GAAP operating income was $29.1 million in Q4 2025, down from $42.3 million in the prior year quarter, and $118.7 million for the full year 2025, down from $131.3 million in 2024. The declines were attributed to merger transaction-related costs and higher stock-based compensation. GAAP EPS was $0.25 in Q4 2025 and $1.98 for the full year, compared to $1.21 and $3.03 respectively in the prior year periods.

  • CSG entered into a merger agreement with NEC Corporation on October 29, 2025.
  • CSG's stockholders approved the merger on January 30, 2026.
  • The merger is expected to close by the end of 2026.

The players

CSG

An American software and services company that provides customer experience, billing, and payment solutions to companies across various industries.

NEC Corporation

A Japanese multinational information technology and electronics company that has agreed to acquire CSG.

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The takeaway

CSG's results demonstrate its ability to grow its core SaaS and solutions business, though the near-term impact of the pending merger with NEC Corporation remains to be seen. The dividend increase signals confidence in the company's financial position, but the lower GAAP profitability metrics raise questions about the transaction's short-term effects on operations.