PRGS

Progress Software Corporation

HALAL — SCREEN DOES NOT PASSstock

Is PRGS Halal?

Application, infrastructure and developer software — generally permissible activity, but current debt/assets screen fails.

What You Should Know

Progress Software's May 31, 2026 Form 10-Q reports assets of $2,345.623 million, debt and convertible notes of $1,292.147 million, cash of $102.978 million, broad receivables of $220.645 million and quarterly revenue of $253.465 million. Debt/assets is 55.09%, liquidity/assets is 4.39%, receivables plus cash/assets is 13.80% and interest income and other, net is a conservative upper bound of 0.09% of revenue. Debt fails the examined limits; no universal prohibited-revenue numerator is disclosed.

⚠️ Concerns

  • Debt/assets is 55.09%, above examined 33.333% limits
  • Acquisition-related term debt and convertible notes
  • Large goodwill and acquired-intangible balances
  • Interest income and other, net is a conservative upper bound; no fixed purification percentage asserted
  • Enterprise and developer customer end uses require qualitative review

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-05-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
55.09%Above limit
Below 33.333% under FTSE Yasaar

1,292.147 / 2,345.623

Cash + interest-bearing securities / assets
4.39%Within limit
Below 33.333% under FTSE Yasaar

102.978 / 2,345.623

Receivables + cash / assets
13.80%Within limit
Below 50% under FTSE Yasaar

323.623 / 2,345.623

Non-compliant income / revenue (upper bound)
0.09%Within limit
No more than 5% under FTSE Yasaar

0.233 / 253.465

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Debt/assets is 55.09%, above the examined debt limit; liquidity/assets is 4.39%, receivables-plus-cash/assets is 13.80% and the income upper bound is 0.09%.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Debt/assets is 55.09%, above the examined MSCI total-assets debt limit; this is not an index-membership claim.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Debt/assets is 55.09%, above the examined Malaysia 33% limit; this is not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

A licensed historical market-cap series is not stored; the debt screen fails independently.

Business-activity disclosure

Progress provides application-development, infrastructure, monitoring and data-connectivity software. The software activity is generally permissible, while customer sectors and downstream use are not reduced to a universal prohibited-revenue numerator.

Limitation: The filing does not classify customer and product use by a universal Sharia category; activity remains qualitative.

Purification

Interest income and other, net is used as a conservative upper bound; ZakatInvest does not prescribe a scholar-approved purification percentage.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Progress Software's May 31, 2026 Form 10-Q.
  • Long-term debt of $850.000 million plus convertible senior notes of $442.147 million are included; operating lease liabilities are excluded.
  • Cash and cash equivalents are $102.978 million; no separately identified interest-bearing securities balance is added.
  • Accounts receivable of $125.209 million plus current and non-current unbilled receivables of $95.436 million are used; second-quarter revenue is $253.465 million.
  • Interest income and other, net is $0.233 million and is used as a conservative upper bound rather than a fixed purification percentage.
  • Application, infrastructure and developer software are generally permissible, but no universal prohibited-revenue numerator is disclosed.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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