Oct 29 (Reuters) - Tyler Technologies ( TYL ) beat Wall

Street expectations for third-quarter revenue on Wednesday,

benefiting from strong demand for its software-based services as

customers look to digitize their operations and shift work to

the cloud.

Tyler has been benefiting from a transition to a

software subscription business model as it looks to aid its

public sector customers in streamlining operations with the

cloud.

"Leading sales indicators remain steady, reflecting a

healthy new business pipeline supported by a resilient budget

environment and sustained demand for digital modernization," CEO

Lynn Moore said in a statement.

The company reported revenue of $595.9 million for the

third quarter ended September 30, beating estimates of $594.4

million, according to data compiled by LSEG.

It reported net income per share of $1.93 in the quarter,

compared with a profit of $1.74 per share a year ago.

Tyler raised the lower end of its annual forecast

revenue to between $2.34 billion and $2.36 billion, compared

with its prior projection of between $2.33 billion and $2.36

billion.