For the quarter ended September 2025, Docebo Inc. (DCBO) reported revenue of $61.62 million, up 11.2% over the same period last year. EPS came in at $0.34, compared to $0.27 in the year-ago quarter.The reported revenue represents a surprise of +0.9% over the Zacks Consensus Estimate of $61.07 million. With the consensus EPS estimate being $0.33, the EPS surprise was +3.03%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine t ...

Financial Data and Key Metrics Changes - Docebo's Annual Recurring Revenue (ARR) increased by $2.5 million sequentially, reflecting a year-over-year growth of 14% when excluding the Dayforce business [5][7] - The company achieved a 20% EBITDA margin, marking a significant milestone in its financial performance [39][64] Business Line Data and Key Metrics Changes - The mid-market business exceeded performance expectations, benefiting from leadership changes and improved processes [7][8] - Core business retention improved, contributing positively to overall performance despite accelerated churn with Dayforce [8][32] Market Data and Key Metrics Changes - EMEA performance exceeded expectations with significant new customer acquisitions during the quarter [8] - The company is seeing increased interest in its offerings from state and local government sectors, driven by its FedRAMP certification [11][12] Company Strategy and Development Direction - Docebo is focusing on diversifying its revenue streams and enhancing its product offerings, particularly in AI capabilities [28][29] - The company is investing in partnerships with system integrators like Deloitte and Accenture to enhance its market penetration and support complex implementations [60][84] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the pipeline for federal contracts despite the government shutdown, indicating that it has not significantly impacted their business [11][17] - The company anticipates continued growth in the mid-market and enterprise segments, with expectations for a strong Q4 [19][78] Other Important Information - The Dayforce wind-down is expected to reduce its contribution to total revenues to approximately 3.5-4.5% in 2026 and become immaterial thereafter [25] - The introduction of AI credits is seen as a potential driver for future revenue growth and customer retention [81] Q&A Session Summary Question: Can you unpack the components of ARR growth? - Management confirmed a $2.5 million sequential increase in ARR, with a 14% growth year-over-year excluding Dayforce [5][7] Question: How is the FedRAMP initiative progressing? - The company has secured two new federal customers earlier than expected, indicating strong momentum in this area [10][11] Question: What is the outlook for the enterprise segment? - The enterprise segment continues to grow, with notable wins and expectations for a strong Q4 [19][78] Question: Can you provide details on the Dayforce wind-down? - The Dayforce contribution to revenues is expected to decline significantly over the next few years, with ongoing growth in other areas [25][44] Question: How is AI being integrated into the product offerings? - AI capabilities are being infused throughout the product, with a focus on enhancing customer experience and retention [28][29] Question: What is the impact of the AWS contract roll-off on ARR? - The AWS contract is expected to result in a $4 million hit to ARR, effective December 31 [74] Question: How are partnerships with system integrators evolving? - The company is strengthening relationships with major system integrators to enhance market presence and support complex implementations [60][84]

Docebo Inc. (DCBO) came out with quarterly earnings of $0.34 per share, beating the Zacks Consensus Estimate of $0.33 per share. This compares to earnings of $0.27 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +3.03%. A quarter ago, it was expected that this company would post earnings of $0.2 per share when it actually produced earnings of $0.29, delivering a surprise of +45%.Over the last four quarters, the company has sur ...

November 2025 Investor Presentation Note: All financials presented are in US$ unless otherwise noted. This presentation shall not constitute an offer to sell or the solicitation of an offer to buy securities, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction. All references in this presentation to dollars or "US$" or "$" are ...

Core Insights - Docebo Inc. reported strong financial results for Q3 2025, exceeding expectations due to its AI-First platform strategy and growing partnerships in federal and SLED markets [2][5][8] Financial Highlights - Subscription revenue reached $58.0 million, a 10% increase year-over-year, accounting for 94% of total revenue [5][12] - Total revenue was $61.6 million, reflecting an 11% increase from the previous year [5][12] - Gross profit was $49.5 million, representing 80.3% of total revenue, compared to 81.1% in the prior year [5][12] - Net income increased to $6.1 million, or $0.21 per share, up from $5.0 million, or $0.16 per share, in the same period last year [5][12] - Adjusted Net Income was $9.9 million, or Adjusted Earnings per share of $0.34, compared to $8.3 million, or $0.27 per share, in the prior year [5][12] - Annual Recurring Revenue (ARR) was $235.6 million, a 10.1% increase year-over-year [5][12] - Adjusted EBITDA was $12.4 million, representing 20.1% of total revenue, compared to 15.7% in the prior year [5][12] Customer Updates - Notable new customers include a global provider in industrial and environmental services with over 200,000 employees, and the Latvian School of Public Administration, which serves over 60,000 employees [4][10] - Docebo also secured contracts with Amazon Health and the U.S. Department of Energy, highlighting its growing presence in government and education sectors [10] Financial Outlook - For Q4 2025, management expects subscription revenue growth to align with total revenue growth [8][11] - Revised guidance for the fiscal year ending December 31, 2025, anticipates total revenue growth of approximately 11.40% and subscription revenue growth of 11.75% [11]

Group 1 - The core thesis for investing in Docebo (NASDAQ: DCBO) is based on the belief that the business can sustain long-term growth due to its large Total Addressable Market (TAM) [1] - The investment strategy focuses on identifying undervalued companies with significant long-term growth potential, combining value investing principles with a long-term growth perspective [1] - The approach emphasizes purchasing quality companies at a discount to their intrinsic value and holding them to allow for compounding of earnings and shareholder returns [1]

Docebo (DCBO) FY Conference Summary Company Overview - Docebo is a global cloud-based learning technology software company that has transitioned towards an AI-first positioning. It is dual-listed, having started its public journey in Canada with a TSX listing and is now also listed in the US [2][4]. Key Financial Performance - Docebo reported Q2 earnings, beating and raising revenue guidance by approximately 1%. This follows a previous reduction in guidance due to macroeconomic weakness observed in sectors such as manufacturing, retail, and automotive, which constituted about one-third of the pipeline [4][14]. - The company experienced strong performance in the mid-market segment, particularly with contracts valued between $50,000 to $100,000, indicating a return to spending confidence among customers [6][8]. - The enterprise segment continues to face elongated sales cycles, with no significant change from Q1 to Q2 [9][10]. Market Dynamics - The macroeconomic environment has shown signs of improvement, particularly in the mid-market, which contributed to the raised guidance. Factors influencing this include favorable foreign exchange rates and stronger professional services [13][14]. - Docebo's international footprint is significant, with 25-30% of revenue coming from foreign markets, primarily in Europe rather than Canada [15][16]. Customer Segments and Retention - Smaller clients, which make up about 20% of the overall business, are considered stable despite having lower gross retention compared to mid-market and enterprise clients. These customers typically have low acquisition costs and quick sales cycles [19][20]. - The company is focusing on larger enterprise clients, with ongoing opportunities in its pipeline, particularly in H2, which is traditionally stronger for enterprise sales [8][9]. Strategic Partnerships and Competition - Docebo has partnerships with major technology vendors, including AWS and Google. AWS is transitioning to an internal system after a successful collaboration, while Google is adopting Docebo for its learning management needs due to its scalability and security features [21][26][29]. - The competitive landscape in the FedRAMP space is limited, with only a few vendors approved, which positions Docebo favorably for government contracts [56][59]. Growth Opportunities - The company is exploring various use cases across different sectors, including quick-service restaurants (QSR) and federal government contracts. The QSR sector is particularly attractive due to high employee turnover and the need for effective training solutions [50][51][53]. - Docebo's recent FedRAMP approval has accelerated its pipeline development, with expectations to secure more substantial government contracts starting in 2026 [61][63]. Product Development and Innovation - Docebo is actively rolling out AI-driven products, including Docebo Creator and Harmony Search, aimed at enhancing user experience and productivity [72][73]. - The company is balancing the need for innovation with maintaining EBITDA margins, targeting a gradual increase to 25% EBITDA margins over the next three years [78][79]. Capital Allocation Strategy - Docebo is focused on reinvesting cash into growth avenues, strategic share buybacks, and pursuing M&A opportunities when favorable conditions arise [82][83]. Conclusion - Docebo is navigating a complex macroeconomic landscape while capitalizing on growth opportunities in both the mid-market and enterprise segments. The company's strategic focus on AI innovation and government contracts positions it well for future growth, despite challenges in the enterprise sales cycle and competition in the learning management system space.

Core Insights - Docebo Inc. reported quarterly earnings of $0.29 per share, exceeding the Zacks Consensus Estimate of $0.20 per share, and showing an increase from $0.26 per share a year ago, resulting in an earnings surprise of +45.00% [1] - The company achieved revenues of $60.73 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 2.91% and up from $53.05 million year-over-year [2] - Docebo has outperformed consensus EPS estimates three times in the last four quarters and has topped revenue estimates four times in the same period [2] Financial Performance - The earnings surprise of +45.00% for the recent quarter follows a previous surprise of +28.57% when actual earnings were $0.27 against an expectation of $0.21 [1] - The current consensus EPS estimate for the upcoming quarter is $0.26, with expected revenues of $59.99 million, and for the current fiscal year, the consensus EPS is $1.07 on revenues of $237.46 million [7] Market Position - Docebo shares have declined approximately 35.1% since the beginning of the year, contrasting with the S&P 500's gain of 7.8% [3] - The Zacks Industry Rank places the Internet - Software sector in the top 33% of over 250 Zacks industries, indicating a favorable outlook compared to the bottom 50% [8] Future Outlook - The sustainability of Docebo's stock price movement will largely depend on management's commentary during the earnings call and the trends in earnings estimate revisions [3][4] - The estimate revisions trend for Docebo was mixed prior to the earnings release, resulting in a Zacks Rank 3 (Hold), suggesting the stock is expected to perform in line with the market in the near future [6]

Financial Data and Key Metrics Changes - Docebo reported a strong performance in Q2 2025, with a notable increase in customer count above $100,000, ramping up to 23% from 16% in the previous quarter, attributed to new customer acquisitions and expansions [74][75]. - The company experienced a favorable foreign exchange impact, contributing 1% to total revenues and 2% to subscription revenues [21]. Business Line Data and Key Metrics Changes - The mid-market segment showed significant strength, with technology, healthcare, and financial services sectors contributing to this growth [6][8]. - The percentage of new customers using two or more use cases decreased to 65%, down from 70-80% in the previous year, indicating a shift in customer purchasing behavior [9][10]. Market Data and Key Metrics Changes - The government sector, particularly after achieving FedRAMP certification, is expected to unlock a total addressable market of $2.7 billion across federal, state, and local agencies [27][28]. - The company is currently penetrating about 10 states in the government sector, with a 10% penetration rate, indicating substantial growth potential [31]. Company Strategy and Development Direction - Docebo is transitioning to an AI-first learning platform, with the launch of Harmony, which enhances user experience through advanced AI capabilities [41][42]. - The company is focusing on integrating sales and customer success functions to improve execution efficiency and customer value [55][56]. Management's Comments on Operating Environment and Future Outlook - Management noted that while there are elongated sales cycles in the enterprise space, the mid-market sector continues to perform strongly, and they expect this trend to persist [21][70]. - The company anticipates meaningful contributions from the federal sector in 2026, driven by recent certifications and a growing pipeline [28][90]. Other Important Information - Docebo is actively investing in headcount and R&D to accelerate its AI roadmap, while also engaging in share buybacks when shares are deemed attractively valued [85][86]. - The company is leveraging its existing customer base to introduce new products like Harmony without immediate monetization, focusing on building usage and value first [66][67]. Q&A Session Summary Question: Strength in the mid-market segment - Management confirmed strong performance in the mid-market, particularly in technology, healthcare, and financial services, and expressed optimism about continued strength in future quarters [6][8]. Question: Decrease in multi-use case adoption - Management explained that the decrease in customers using multiple use cases is due to a strategic approach to penetrate organizations with fewer use cases initially, allowing for trust-building and future expansion [10][11]. Question: FedRAMP certification impact - The achievement of FedRAMP certification is expected to significantly enhance the government pipeline, with management expressing excitement about potential deals in 2026 [27][28]. Question: New CRO's impact on sales - Management indicated that the new CRO is already making an impact by focusing on short-term wins and improving execution efficiency, with a long-term view of blending sales and customer success functions [32][35]. Question: AI innovation and monetization - Management highlighted the transition to an AI-first platform with the launch of Harmony, emphasizing the importance of delivering value before monetization strategies are implemented [41][66]. Question: Capital allocation priorities - Management outlined three areas for cash deployment: investing in business growth, share buybacks, and potential M&A opportunities, emphasizing a strategic approach to capital allocation [85][86].

Company Overview - Docebo's Annual Recurring Revenue (ARR) reached $2331 million as of June 30, 2025[18] - Subscription revenues accounted for 94% of the total revenue for the three months ended June 30, 2025[18] - The company boasts a customer base of 3,978 as of December 31, 2024[18] - Docebo experienced a 36% Subscription Revenue Compound Annual Growth Rate (CAGR) between fiscal year 2020 and fiscal year 2024[19] Market Opportunity - The total addressable market (TAM) for global learning is estimated at ~$30 billion, with customer experience (CX) accounting for 62% (~$185 billion) and employee experience (EX) for 38% (~$115 billion)[25] - The US Federal Government TAM is estimated at $12 billion, while the US SLED (State and Local Government Education) TAM is ~$27 billion[28] Financial Performance - Docebo generated approximately $60 million in cash since 2016 while growing ARR to $2331 million by the end of Q2 2025[103] - In Q2 2025, the subscription revenue growth was 145%[98] - The Adjusted EBITDA margin for Q2 2025 was 152%[102] - The Free Cash Flow margin for Q2 2025 was 187%[102] Customer Success - Brooks Automation reduced training costs by 20% using Docebo[63] - One customer training program saw 600,000+ registered users globally[66] - Another customer saved $15 million in training costs over 3 years[67]