$DOCU (-3.89%)

🔹 Revenue: $800.6M (Est. $779.78M) 🟢; +9% YoY

🔹 Adj EPS: $0.92 (Est. $0.85) 🟢; -5% YoY

Guidance:

🔹 Q3 Revenue: $804M–$808M (Est. $794M) 🟢; UP +7% YoY

🔹 FY26 Revenue: $3.19B–$3.20B (Est. $3.16B) 🟢; UP +7% YoY

Other Metrics:

🔹 Subscription Revenue: $784.4M; UP +9% YoY

🔹 Professional Services & Other: $16.2M; DOWN -13% YoY

🔹 Billings: $818M; UP +13% YoY

🔹 Gross Margin: 79.3% GAAP vs 82.0% Non-GAAP (flat YoY)

🔹 Net Cash From Ops: $246.1M vs $220.2M LY

🔹 Free Cash Flow: $217.6M vs $197.9M LY

🔹 Share Repurchases: $201.5M

🔹 Cash & Investments: $1.1B

🔹 Non-GAAP Operating Margin Outlook: 28.6–29.6% FY26

CEO Commentary:

🔸 “Q2 was an outstanding quarter, with AI innovation launches and go-to-market changes driving strong performance across eSignature, CLM, and IAM.”

🔸 “These results delivered one of Docusign’s highest growth and profitability quarters in recent years.”

Strategic Highlights:

🔹 Expanded AI-powered Intelligent Agreement Management (IAM) capabilities (Agreement Prep, Navigator Custom Extractions, Maestro Workflow Templates).

🔹 Partnered with CLEAR for biometric ID verification.

🔹 Recognized by IDC as leader in AI-enabled Buy-Side CLM Applications.

🔹 Board changes: Mike Rosenbaum (Guidewire CEO) joined; James Beer named incoming Board Chair.

$DOCU (-3.89%)

🔹 Revenue: $763.7M (Est. $749.19M) 🟢; +8% YoY

🔹 EPS (Non-GAAP): $0.90 (Est. $0.81) 🟢

Q2 Guidance

🔹 Revenue: $777M–$781M (Est. $775.58M) 🟢

🔹 Subscription Revenue: $760M–$764M

🔹 Billings: $757M–$767M

🔸 Non-GAAP Gross Margin: 80.5%–81.5%

🔸 Non-GAAP Operating Margin: 26.5%–27.5%

🔸 Diluted Share Count: 210M–215M

FY26 Guidance

🔹 Revenue: $3.151B–$3.163B (Est. $3.14B) 🟢

🔹 Subscription Revenue: $3.083B–$3.095B

🔹 Billings: $3.285B–$3.339B

🔸 Non-GAAP Gross Margin: 80.7%–81.7%

🔸 Non-GAAP Operating Margin: 27.8%–28.8%

🔸 Diluted Share Count: 210M–215M

Other Key Q1 Metrics:

🔹 Subscription Revenue: $746.2M; UP +8% YoY

🔹 Professional Services & Other Revenue: $17.5M; DOWN -4% YoY

🔹 Billings: $739.6M; UP +4% YoY

🔹 Free Cash Flow: $227.8M (vs. $232.1M YoY)

🔹 Operating Cash Flow: $251.4M (vs. $254.8M YoY)

🔹 Non-GAAP Gross Margin: 82.3% (vs. 82.0% YoY)

🔹 Cash, Equivalents & Investments: $1.1B

🔹 Share Repurchases: $183.4M (vs. $149.1M YoY)

Strategic Highlights & Product Expansion

🔸 Surpassed 10,000 customers using Intelligent Agreement Management (IAM)

🔸 AI-powered innovation through Docusign Iris, the core engine behind IAM

🔸 AI Contract Agents to launch later in 2025 to optimize contract lifecycle management

🔸 Agreement Desk, AI-Assisted Review, and Agreement Prep enhance pre-signature collaboration

🔸 CLEAR Identity Verification integration and Obligation Management Dashboard expanding post-signature services

🔸 New CLM connector for Coupa live in Coupa App Marketplace

Corporate Updates

🔸 Stock repurchase program increased by $1.0B; total remaining authorization now up to $1.4B

🔸 Repurchases will be made based on market conditions and capital allocation priorities

🔸 Management notes guidance excludes FX headwinds and potential macro uncertainty

$DOCU (-3.89%) DocuSign Inc. reported earnings

Q3 FY2025 results ended on October 31st 2024

- Revenue: $754.8M, +8% YoY

- Net Income: $62.4M vs $38.8M YoY

- Billings: $752.3M, +9% YoY

- Non-GAAP Operating Margin: 29.6% vs 26.8% YoY

CEO Allan Thygesen: "Docusign delivered powerful new innovation for customers highlighted by new capabilities to its Intelligent Agreement Management ("IAM") platform. In Q3, early IAM momentum outpaced expectations, and we continued to drive improvement in our core business with strong revenue growth and operating profit."

🌱Revenue & Growth

- Subscription revenue: $734.7M, +8% YoY

- Professional services revenue: $20.1M, +11% YoY

- Over 1.6M customers globally

- Operating in over 180 countries

💰Profits & Financials

- GAAP Gross Margin: 79.3% vs 79.6% YoY

- Non-GAAP Gross Margin: 82.5% vs 83.0% YoY

- Operating Cash Flow: $234.3M vs $264.2M YoY

- Free Cash Flow: $210.7M vs $240.3M YoY

- Cash and investments: $1.1B

📌Business Highlights

- Released Docusign Navigator with Lexion's AI capabilities

- Launched global expansion of IAM with Maestro and App Center

- Released CLM Connector for SAP Ariba

- Named Leader in Gartner Magic Quadrant for CLM for 5th year

- Integrated with Microsoft 365 Copilot

- Held first Docusign Discover 2024 ecosystem event

🔮Future Outlook

Q4 FY2025:

- Revenue: $758M-$762M

- Subscription revenue: $741M-$745M

- Non-GAAP Operating margin: 27.5%-28.5%

FY2025:

- Revenue: $2.959B-$2.963B

- Non-GAAP Operating margin: 29.5%-29.7%

- Billings: $3.056B-$3.066B