To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Q3'26 Quarterly Results November 20, 2025 This presentation and associated commentary contain forward-looking statements regarding Veeva's expected future performance and, in particular, includes guidance, provided as of November 20, 2025, about Veeva's expected future financial results. Estimating guidance accurately for future periods is difficult. It involves assumptions and internal estimates that may prove to be incorrect and is based on plans that may change. Hence, there is a significant risk that ac ...

Core Insights - Veeva Systems Inc. reported total revenues of $811.2 million for the third quarter of fiscal 2026, representing a 16% increase year over year. Subscription services revenues were $682.5 million, up 17% year over year [1][9] - The company is on track to achieve its 2030 revenue run-rate goal of $6 billion, with strong performance across its business segments [2][9] - Veeva AI is advancing rapidly, with early adopter projects showing significant value in specialized AI applications for the life sciences industry [2] Financial Performance - Total revenues for the third quarter were $811.2 million, up from $699.2 million a year ago, marking a 16% increase [9] - Subscription services revenues increased to $682.5 million from $580.9 million, a 17% year-over-year growth [9] - Operating income for the third quarter was $240.9 million, a 33% increase from $181.4 million year over year [9] - Non-GAAP operating income was $364.9 million, up 20% from $304.0 million year over year [9] - Net income for the third quarter was $236.2 million, a 27% increase from $185.8 million year over year [9] - Non-GAAP net income was $345.1 million, up 20% from $288.3 million year over year [9] - Fully diluted net income per share was $1.40, compared to $1.13 a year ago, while non-GAAP fully diluted net income per share was $2.04, up from $1.75 [9] Strategic Developments - Veeva AI is set to release its first specialized AI agents for CRM and commercial content in early December, with additional agents planned for 2026 [9] - The company added 23 new customers to its Vault CRM platform, bringing the total to 115 customers live, including a significant rollout in Japan for a top 20 biopharma [9] - Veeva Development Cloud has been selected as the enterprise standard by three top 20 biopharmas, indicating strong demand for its applications [9] Guidance and Outlook - Veeva provided guidance for its fiscal fourth quarter ending January 31, 2026, expecting total revenues between $807 million and $810 million [3] - For the full fiscal year ending January 31, 2026, Veeva expects total revenues between $3,166 million and $3,169 million [3]

Financial Performance - Total revenues for Q3 2026 were $811.2 million, representing a 16% increase year over year from $699.2 million[3] - Subscription services revenues for Q3 2026 reached $682.5 million, up 17% year over year from $580.9 million[3] - Operating income for Q3 2026 was $240.9 million, a 33% increase from $181.4 million in the same quarter last year[3] - Non-GAAP operating income for Q3 2026 was $364.9 million, up 20% from $304.0 million year over year[3] - Net income for Q3 2026 was $236.2 million, reflecting a 27% increase from $185.8 million in Q3 2025[3] - Non-GAAP net income for Q3 2026 was $345.1 million, an increase of 20% from $288.3 million year over year[3] - Total revenues for the three months ended October 31, 2025, were $811,236,000, representing a 16% increase from $699,207,000 in the same period of 2024[17] - Subscription services revenue increased to $682,498,000 for the three months ended October 31, 2025, up 17.5% from $580,850,000 in 2024[17] - Net income for the nine months ended October 31, 2025, was $664,702,000, a 28.2% increase compared to $518,513,000 for the same period in 2024[20] - Operating income for the three months ended October 31, 2025, was $240,853,000, up 32.8% from $181,353,000 in 2024[17] - Diluted net income per share for the three months ended October 31, 2025, was $1.40, compared to $1.13 in 2024, representing a 23.9% increase[17] - Non-GAAP net income for the nine months ended October 31, 2025, was $1,006,343,000, up from $802,551,000 in 2024, reflecting a growth of 25.4%[29] Cash Flow and Expenses - Cash flows from operating activities for the nine months ended October 31, 2025, totaled $1,308,378,000, compared to $1,020,507,000 in 2024, reflecting a 28.2% increase[20] - Cash, cash equivalents, and restricted cash at the end of the period were $1,662,315,000, up from $1,046,689,000 in 2024[20] - Stock-based compensation expenses for the nine months ended October 31, 2025, amounted to $354,444,000, compared to $322,146,000 in 2024, reflecting a 10% increase[20] - Net cash provided by operating activities on a GAAP basis for the three months ended October 31, 2025, was $192,787,000, compared to $164,117,000 for the same period in 2024, representing a year-over-year increase of 17.4%[26] - Non-GAAP net cash provided by operating activities for the nine months ended October 31, 2025, was $1,285,076,000, up from $1,015,347,000 in 2024, reflecting a growth of 26.5%[26] Research and Development - Research and development expenses for the three months ended October 31, 2025, were $191,883,000, an increase of 11.3% from $172,411,000 in 2024[17] - Research and development expense on a GAAP basis for the three months ended October 31, 2025, was $191,883,000, compared to $172,411,000 in 2024, reflecting an increase of 11.4%[29] Guidance and Future Outlook - Guidance for Q4 2026 includes total revenues between $807 million and $810 million, with non-GAAP fully diluted net income per share expected to be approximately $1.92[8] - The company is on track to achieve a $6 billion revenue run-rate goal by 2030[3] Product Development - Veeva AI is set to release its first agents for CRM and commercial content in early December 2025, with additional agents planned for 2026[5] - Veeva Development Cloud applications were selected as the enterprise standard by three top 20 biopharmas in Q3 2026[5] Operating Expenses and Margins - Total operating expenses for the nine months ended October 31, 2025, were $1,120,325,000, compared to $1,004,076,000 in 2024, marking a 11.6% increase[17] - Operating margin on a non-GAAP basis for the three months ended October 31, 2025, was 45.0%, compared to 43.5% in 2024, indicating an improvement of 1.5 percentage points[29] - Sales and marketing expense on a GAAP basis for the three months ended October 31, 2025, was $110,552,000, an increase from $98,695,000 in 2024, representing a growth of 12.8%[29] - Gross margin on subscription services revenues on a non-GAAP basis increased to 87.0% for the nine months ended October 31, 2025, compared to 86.2% in 2024[26]

To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.If you have an ad-blocker enabled you may be blocked from proceeding. Please disable your ad-blocker and refresh. ...

Core Viewpoint - Veeva Systems (VEEV) is expected to report quarterly earnings of $1.95 per share, an increase of 11.4% year-over-year, with revenues projected at $791.88 million, reflecting a 13.3% increase compared to the same period last year [1]. Earnings Estimates - The consensus EPS estimate has been revised downward by 0.1% over the past 30 days, indicating a collective reassessment by analysts [2]. - Revisions to earnings estimates are crucial indicators for predicting investor actions regarding the stock, with empirical research showing a strong correlation between these trends and short-term price performance [3]. Revenue Projections - Analysts project 'Revenues- Subscription services' to reach $671.02 million, indicating a year-over-year change of +15.5% [5]. - The consensus for 'Revenues- Professional services and other' is $120.86 million, reflecting a year-over-year change of +2.1% [5]. - 'Revenues- Professional services and other- Veeva R&D Solutions' is forecasted to be $74.66 million, showing a +3% change from the previous year [5]. - 'Revenues- Subscription services- Veeva R&D Solutions' is expected to reach $361.28 million, indicating a +19.4% change year-over-year [6]. - 'Revenues- Subscription services- Veeva Commercial Solutions' is projected at $309.72 million, reflecting an +11.3% change from the prior year [6]. - The estimate for 'Revenues- Professional services and other- Veeva Commercial Solutions' stands at $46.26 million, indicating a +0.9% change year-over-year [7]. Gross Margin Estimates - The estimated 'Non-GAAP Gross Margin- Professional Services and other' is projected at 31.8%, down from 33.5% reported in the same quarter last year [7]. - The collective assessment suggests a 'Non-GAAP Gross Margin- Subscription services' of 85.9%, slightly lower than the 86.2% reported in the same quarter last year [8]. Stock Performance - Veeva shares have shown a return of +3.4% over the past month, outperforming the Zacks S&P 500 composite's +1.5% change [8]. - With a Zacks Rank 2 (Buy), VEEV is expected to outperform the overall market in the near future [8].

Core Insights - Veeva Systems Inc. is recognized as a leading digital health stock, particularly in the life sciences sector [1] - The company announced that its Veeva Basics solution has been adopted by over 100 biotech firms, indicating strong market demand and scalability [2][5] - New capabilities include LIMS Basics for laboratory oversight and PromoMats Basics for content lifecycle management, enhancing operational efficiency for users [3][4] Company Overview - Veeva Systems Inc. operates as a cloud-software company focused on providing solutions for life sciences organizations, including clinical, regulatory, quality, and commercial platforms [6] - The Veeva Basics solution is built on the Vault Platform, allowing biotech firms to implement best practices quickly and transition smoothly to a full Vault solution [2][4] Market Position - The adoption of Veeva Basics by over 100 firms highlights Veeva's strategic growth within the emerging biotech segment, where regulatory compliance and cost efficiency are critical [5] - Testimonials from early adopters emphasize the benefits of pre-configured templates and rapid implementation, showcasing Veeva's value proposition in the market [4]

Company Performance - Veeva Systems (VEEV) closed at $291.70, down 1.77% from the previous trading session, underperforming compared to the S&P 500's loss of 1.66% [1] - The stock has increased by 3.33% over the past month, which is lower than the Medical sector's gain of 6.4% and the S&P 500's gain of 4.64% [1] Upcoming Earnings - Veeva Systems is set to release its earnings report on November 20, 2025, with projected earnings of $1.95 per share, reflecting a year-over-year growth of 11.43% [2] - The consensus estimate for quarterly revenue is $791.88 million, indicating a 13.25% increase from the same period last year [2] Full Year Estimates - For the full year, earnings are projected at $7.78 per share and revenue at $3.14 billion, showing increases of 17.88% and 14.26% respectively from the previous year [3] Analyst Estimates and Stock Performance - Changes in analyst estimates for Veeva Systems are closely monitored, as positive revisions indicate optimism about the business outlook [3] - The Zacks Rank system, which incorporates estimate changes, currently ranks Veeva Systems at 2 (Buy) [5] Valuation Metrics - Veeva Systems has a Forward P/E ratio of 38.18, which is higher than the industry average of 34.81 [5] - The company has a PEG ratio of 1.63, compared to the Medical Info Systems industry's average PEG ratio of 3.09 [6] Industry Ranking - The Medical Info Systems industry, part of the Medical sector, holds a Zacks Industry Rank of 72, placing it in the top 30% of over 250 industries [6][7] - The Zacks Industry Rank measures the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [7]

Group 1 - The stock of Veeva Systems Inc. (VEEV) is experiencing significant attention due to high implied volatility in the options market, particularly for the Jan 16, 2026 $330.00 Put option [1] - Implied volatility indicates the market's expectation of future movement, suggesting that investors anticipate a significant price change or an upcoming event that could lead to a major rally or sell-off [2] - Veeva Systems holds a Zacks Rank 2 (Buy) in the Medical Info Systems Industry, which is in the top 26% of the Zacks Industry Rank, indicating a positive outlook [3] Group 2 - Over the past 60 days, one analyst has raised the earnings estimate for Veeva Systems for the current quarter, resulting in a consensus estimate increase from $1.94 to $1.95 per share [3] - The high implied volatility may indicate a developing trading opportunity, as options traders often seek to sell premium on options with high implied volatility to capture decay [4]

Core Insights - Veeva Systems has announced that over 100 biotech companies have adopted Veeva Basics to enhance their operations in clinical, regulatory, and quality areas [1][11] - The introduction of new applications, Veeva LIMS Basics and PromoMats Basics, is aimed at addressing critical quality control and commercial needs, with availability expected in early 2026 [4][10] Group 1: Veeva Basics Overview - Veeva Basics offers pre-configured and pre-validated applications for rapid deployment, built on the Vault Platform, allowing seamless transition to a full Vault solution without migration [2] - The solution is designed to support efficient processes across key business areas, providing technology and support for both current and future needs [2] Group 2: Industry Adoption and Feedback - At the Veeva R&D and Quality Summit in Boston, over 100 biotech leaders from 60 companies gathered to discuss the impact of Veeva Basics on emerging biotechs [3] - Feedback from industry leaders highlights the value of Veeva Basics in standardizing processes and providing agile solutions that can scale with company growth [5][6][7] Group 3: New Applications - Veeva LIMS Basics will enable oversight for virtual companies, including batch release and certificate of analysis capabilities, with stability functionality planned for 2026 [10] - PromoMats Basics will facilitate full content lifecycle management, covering approval, storage, and distribution of promotional content [10] Group 4: Company Background - Veeva Systems serves over 1,500 customers, including large biopharmaceutical companies and emerging biotechs, focusing on innovation, product excellence, and customer success [8]