da-kukDocebo (NASDAQ:DCBO) recently delivered beneficial guidance, and noted new customers like a Big 4 US-based bank and restructuring efforts. In combination with these net sales growth catalysts, the company has in place a stock repurchase program, which may trigger stock demand in 2024. There are several risks coming from new emerging AI technologies, demand for higher salaries, and net sales lower than expected. With that, I think that DCBO could be trading a bit higher. Docebo Docebo presents itse ...

Docebo Inc. (NASDAQ:DCBO) Q4 2023 Earnings Conference Call February 23, 2024 8:00 AM ET Company Participants Mike McCarthy - Vice President, Investor Relations Claudio Erba - Chief Executive Officer Alessio Artuffo - President and Chief Operating Officer Sukaran Mehta - Chief Financial Officer Conference Call Participants Ryan MacDonald - Needham Rob Young - Canaccord Genuity Suthan Sukumar - Stifel Josh Bear - Morgan Stanley Kevin Kumar - Goldman Sachs Richard Tse - National Bank Financial Operator Good mo ...

For the quarter ended December 2023, Docebo Inc. (DCBO) reported revenue of $49.28 million, up 26.5% over the same period last year. EPS came in at $0.25, compared to $0.10 in the year-ago quarter.The reported revenue represents a surprise of +1.69% over the Zacks Consensus Estimate of $48.46 million. With the consensus EPS estimate being $0.14, the EPS surprise was +78.57%.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street ...

| --- | --- | --- | --- | --- | |-------|-------|--------------------------------------------------|-------|-------| | | | | | | | | | | | | | | → | docebo® Investor Presentation \| February 2024 | | | | | | | | | | | | | | | 9 Disclaimer General This presentation is property of Docebo Inc. (the "Company", "Docebo", "us" or "we"). It cannot be circulated or forwarded without our consent. Any graphs, tables or other information demonstrating our historical performance or that of any other entity contained in ...

The S&P 500 reached a record high in January 2024 for the first time since January 2022, signaling the onset of a new bull market. That bull market actually started when the index reached its bear market low in October 2022. It has since advanced 40%, but history shows plenty of upside left. The S&P 500 returned an average of 169% during past bull markets.With that in mind, Morgan Stanley analyst Benjamin Swinburne has set a bull-case price target of $125 per share on Roku (ROKU -0.95%). That implies 75% up ...

Revenue Performance - Subscription revenue for Q4 2023 was $46.5 million, representing 94% of total revenue and an increase of 28% year-over-year[5] - Total revenue for Q4 2023 reached $49.3 million, a 27% increase compared to the same period last year[5] - Total revenue for the three months ended December 31, 2023, was $49.28 million, a 26.4% increase from $38.96 million in the same period of 2022[26] - Gross profit for the fiscal year ended December 31, 2023, was $146.34 million, up from $114.73 million in 2022, reflecting a growth of 27.5%[26] - Annual Recurring Revenue (ARR) as of December 31, 2023, was $194.3 million, up $37.2 million or 24% from $157.1 million in 2022[11] - Annual Recurring Revenue (ARR) increased to $194.3 million in 2023, representing a 23.7% growth compared to $157.1 million in 2022[32] Profitability Metrics - Adjusted EBITDA for Q4 2023 was $6.5 million, representing 13.2% of total revenue, compared to $2.3 million or 5.8% of total revenue in Q4 2022[5] - Adjusted EBITDA for Q4 2023 was $6,500,000, up from $2,260,000 in Q4 2022, reflecting a 187.2% increase and 13.2% of total revenue[35] - Net income for Q4 2023 was $3.2 million, or $0.10 per share, compared to $1.6 million, or $0.05 per share in the same quarter last year[5] - Net income for Q4 2023 was $3,222,000, compared to $1,600,000 in Q4 2022, representing a 101.4% increase[35] - Adjusted net income for the fiscal year 2023 was $21,159,000, significantly higher than $2,296,000 in 2022, marking an increase of 820.5%[39] Customer and Contract Metrics - The number of customers increased to 3,759 as of December 31, 2023, up from 3,394 at the end of 2022, marking a 10.8% growth[9] - Average Contract Value rose to $51,689 as of December 31, 2023, an increase of 11.7% from $46,288 in 2022[11] - Average Contract Value rose to $51.7 thousand in 2023, an increase of 11.7% from $46.3 thousand in 2022[32] - The Net Dollar Retention Rate as of December 31, 2023, was 104%, down from 109% in 2022[11] - Net Dollar Retention Rate decreased to 104% in 2023, down from 109% in 2022, indicating a 5% decline[32] Cash Flow and Working Capital - Free Cash Flow for Q4 2023 was $7.0 million, representing 14.2% of total revenue, compared to $2.0 million or 5.1% of total revenue in Q4 2022[5] - Free cash flow for Q4 2023 was $7,004,000, compared to $1,972,000 in Q4 2022, indicating a 254.5% increase and 14.2% of total revenue[45] - Cash flow from operating activities for the fiscal year 2023 was $15,964,000, compared to $2,288,000 in 2022, reflecting a significant increase[43] - Working capital decreased to $21.5 million in 2023 from $178.7 million in 2022, a decline of 88.0%[40] - Free cash flow as a percentage of total revenue for the fiscal year 2023 was 11.1%, up from 0.8% in 2022[45] Balance Sheet Highlights - Cash and cash equivalents decreased by 66.7% to $71.95 million as of December 31, 2023, compared to $216.29 million in 2022[28] - Total assets fell by 44.2% to $158.38 million in 2023 from $283.67 million in 2022[28] - Total liabilities increased by 17.7% to $107.65 million in 2023, up from $91.46 million in 2022[28] Strategic Initiatives - The company plans to expand its use of AI across its platform and enter new markets as part of its growth strategy[18] Shareholder Information - The weighted average number of common shares for Q4 2023 was 31,900,115 (basic) and 32,858,853 (diluted), down from 33,087,982 and 34,064,465 respectively in Q4 2022[39] - Share-based compensation for the fiscal year 2023 was $6,049,000, an increase from $4,834,000 in 2022, representing a 25.2% rise[39] Other Financial Metrics - Operating income for the three months ended December 31, 2023, was $1.08 million, compared to a loss of $0.075 million in the same period of 2022[26] - Acquisition-related compensation paid in Q4 2023 was $669,000, while transaction-related expenses paid were $90,000[45]

Financial Data and Key Metrics Changes - Net ARR added during the quarter was $10.1 million, reflecting a solid growth in ARR of 26% year-over-year [49][80] - Total revenue for Q3 grew to $46.5 million, an increase of 26% from the prior year, exceeding guidance [79] - Subscription revenue increased by 27% to $43.6 million, representing 94% of total revenue [79][62] - Adjusted EBITDA margin was reported at 9.7%, above the guided range of 7.5% to 8% [111] - Gross profit margin improved by 40 basis points year-over-year to 81.1% [81] Business Line Data and Key Metrics Changes - ACV for new customers increased to approximately $70,500 from $61,000 in the previous quarter, driven by enterprise customer expansion [69] - Enterprise customers with deal values over $100,000 in ARR accounted for approximately 55% of gross ARR generated in Q3 [69] - Customer retention metrics held relatively flat from the previous quarter, indicating stability in customer relationships [70][38] Market Data and Key Metrics Changes - The U.S. market was more active compared to Europe, which experienced seasonal slowdowns [50] - The company is seeing significant opportunities in the public sector, with ongoing progress towards FedRAMP certification expected to be completed in 2024 [102][76] - The government sector is being targeted through partnerships with system integrators, enhancing the company's reach in this market [71][76] Company Strategy and Development Direction - The company is focused on driving growth through selective M&A and efficient capital return to shareholders [54] - There is a strategic emphasis on expanding partnerships with system integrators and technology companies to broaden market reach [71] - The company aims to enhance its product offerings and capabilities, particularly in the enterprise and government sectors [32][78] Management's Comments on Operating Environment and Future Outlook - Management noted that larger, more complex deals are taking time to finalize, but the enterprise pipeline remains strong [63] - The company is confident in its ability to continue driving sustainable long-term growth despite macroeconomic challenges [78] - There is an expectation for total revenues in Q4 to range between $48.3 million and $48.5 million, indicating continued growth [86] Other Important Information - The company reported a net income of $4 million for Q3, down from $10.3 million in the same quarter last year [84] - The company repurchased a total of 1,333,361 common shares for cancellation at an average price of $38.43 [85] - The launch of new platform updates, including the Docebo Community Hub and Docebo Learning Site, is aimed at enhancing customer engagement and learning experiences [89][52] Q&A Session Summary Question: Can you provide insights on the enterprise sales cycles and pipeline shape? - Management highlighted that they are navigating complexities in enterprise deals, focusing on sales mastery and customer training as primary use cases [28][30] Question: What is the status of SMB churn and its impact on metrics? - Management indicated that SMB customers are cautious, but the focus remains on mid-market and enterprise segments where retention metrics are stronger [34][36] Question: Can you provide a sneak preview of NRR for Q4? - Management stated that gross retention is holding flat, with strong upsell and cross-sell motions observed during the quarter [132] Question: What is driving the expansion into internal enterprise opportunities? - Management noted a shift in decision-making dynamics, with CFOs and CIOs increasingly involved in selecting technology solutions that meet both internal and external needs [127][139]

Company Overview - Docebo has 3,679 customers [23] - The company's Annual Recurring Revenue (ARR) is US$182 million [24] - Docebo has over 800 employees [25] - The company has 8 offices globally [26] Financial Highlights - Recurring revenues account for 94% of the company's total revenues [25] - The Recurring Revenue Compound Annual Growth Rate (CAGR) is 52% between fiscal year 2016 and fiscal year 2022 [27] - As of September 30, 2023, the ARR growth is 26% [81] - The company's Net Dollar Retention Rate is 109% in 2022 [83] Growth Strategy - The company is focused on expanding into external use cases, with 65% of ARR tied to external/hybrid use cases [74]

Financial Data and Key Metrics Changes - Total revenues for Q2 grew to $43.6 million, an increase of 25% from the prior year, exceeding the guided range of $42.9 million to $43.2 million [15] - Subscription revenues were $40.8 million, representing 94% of total revenue for the quarter and an increase of 28% from the prior year [15] - Annual recurring revenue was $172.9 million, an increase of 25% [15] - Adjusted EBITDA performance was $3.1 million for Q2, or 7% of revenue, above the guided range of 5.5% to 6.5% [17] - The company reported a net loss of $5.7 million for Q2, compared to a net loss of $2.1 million for Q2 2022 [17] - Gross profit margin improved by 70 basis points year-over-year to 81% of revenue [36] Business Line Data and Key Metrics Changes - The average contract value increased over 8% to $48,100 from around $44,500 at the end of Q2 2022 [27] - ACV for new customers in the quarter was about $61,000 compared to $50,000 in Q1 [27] - The commercial segment (SMB) experienced some churn due to cautious spending in the macro environment, but gross retention remained relatively flat [28][91] Market Data and Key Metrics Changes - Activities in the U.S. are beginning to pick up, while Europe remains flat [3] - The company is expanding its presence in the government vertical, with successful wins at municipal, provincial, and state levels [4] - The healthcare vertical saw notable wins, including a deal with the Royal College of Physicians and Surgeons of Canada [9] Company Strategy and Development Direction - The capital allocation strategy focuses on selective mergers and acquisitions and efficient return of capital to shareholders [5] - The company is working towards becoming FedRAMP compliant to expand its customer base to federal and state government customers [24] - The acquisition of Edugo aims to enhance capabilities in AI and learning automation [23] Management's Comments on Operating Environment and Future Outlook - Management noted ongoing macroeconomic challenges but emphasized that learning solutions are a strategic necessity for customers [6] - The company expects subscription revenue to be 2 to 3 percentage points higher than overall company revenue in the next quarter [18] - Management expressed confidence in the enterprise segment's stabilization and the potential for growth in the government sector [22] Other Important Information - The company generated positive free cash flow of $7 million and earned $2.4 million in interest income [60] - The company completed two tuck-in acquisitions during the quarter [5] - R&D investments in Q2 were $8.8 million, or 20.2% of revenue, with expectations to increase to around 19% in the next quarter [37] Q&A Session Summary Question: What is the opportunity in the public sector? - Management highlighted the public sector as a resilient market with less competition and a significant opportunity for growth, especially as customers transition from legacy systems [46][49] Question: Are there any other one-time items affecting guidance? - Management confirmed that the large tech deal was a healthy 7-figure project and indicated that the pipeline includes other large deals, although timing remains uncertain [50][72] Question: How is the company addressing churn in the SMB space? - Management acknowledged some churn in the SMB market but noted that gross retention remained flat as the focus shifts to mid-market and enterprise customers [91] Question: What are the expectations for R&D as a percentage of revenue? - Management expects R&D to tick up in the short term due to investments in AI and compliance but anticipates stabilization at around 19% to 20% in the long term [106] Question: How is the company leveraging system integrators? - Management emphasized the importance of partnerships with system integrators to penetrate the enterprise market and enhance credibility in the public sector [124]

Docebo Inc. (NASDAQ:DCBO) Q1 2023 Earnings Conference Call May 11, 2023 8:00 AM ET Company Participants Mike McCarthy – Vice President-Investor Relations Claudio Erba – Chief Executive Officer Alessio Artuffo – President and Chief Operating Officer Sukaran Mehta – Chief Financial Officer Conference Call Participants Robert Young – Canaccord Genuity Josh Baer – Morgan Stanley Suthan Sukumar – Stifel Daniel Chan – TD Cowen Stephanie Price – CIBC Christian Sgro – Eight Capital Gavin Fairweather – Cormark Marti ...