PresentationJohna Morris Hello, and welcome to today's webinar, What's Next on the Workiva AI Roadmap For 2026. At the bottom of your screen are multiple application engagement tools that you can use. All the engagement tools are resizable and movable, so feel free to move them around to get the most out of your desktop space. [Operator Instructions]. Anything we're unable to answer today, we will be sure to follow up post event. Quick introductions. I'm Johna Morris, Director of Platform Product Marketing ...

Core Viewpoint - Workiva (WK) shares have increased by 6.5% recently, closing at $61.75, with analysts suggesting a potential upside of 44.9% based on a mean price target of $89.45 [1] Price Targets - The average of 11 short-term price targets ranges from a low of $79.00 to a high of $102.00, with a standard deviation of $6.73, indicating variability among estimates [2] - The lowest estimate suggests a 27.9% increase, while the highest indicates a 65.2% upside [2] - A low standard deviation signifies greater agreement among analysts regarding price movement [2][9] Analyst Sentiment - Analysts are optimistic about WK's earnings prospects, as indicated by upward revisions in earnings estimates, which historically correlate with stock price movements [4][11] - Over the past 30 days, three earnings estimates have been revised higher, leading to a Zacks Consensus Estimate increase of 570.6% [12] Zacks Rank - WK holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate factors, suggesting strong potential for upside [13] Caution on Price Targets - While price targets are a common metric, relying solely on them for investment decisions may not be prudent due to potential biases in analysts' estimates [3][10] - Analysts may set optimistic price targets influenced by business relationships, which can lead to inflated expectations [8]

Company Overview - Workiva operates in the technology sector, focusing on software applications for regulatory and compliance reporting needs, utilizing a software-as-a-service (SaaS) business model [5] - The company provides tools for secure, collaborative data management, connecting disparate data sources and simplifying compliance workflows for a diverse client base [5] - As of February 17, 2026, Workiva's market capitalization is $3.26 billion, with a revenue of $884.57 million and a net income of -$26.17 million [4] Recent Developments - Readystate Asset Management LP sold 361,224 shares of Workiva in Q4 2025, reducing its position by approximately 97%, leaving only 10,000 shares [2][6] - The estimated value of the share sale was $31.98 million, while the quarter-end value of Workiva's holding declined by $31.09 million due to trading activity and stock price movement [2] - Workiva shares were priced at $58.00 on February 17, 2026, reflecting a 35.4% decline over the past year, underperforming the S&P 500 by 46.8 percentage points [8] Financial Metrics - Workiva's price-to-sales (P/S) ratio has fallen to a multi-year low of less than 4, indicating potential attractiveness for investors [11] - The company's gross margin stands at 78.47%, highlighting its profitability in the SaaS model [10] Market Position - Workiva serves a global client base, including public and private companies, government agencies, and higher-education institutions, offering a cloud-based platform for compliance and regulatory reporting [9] - The company has pivoted from being solely a reporting tool to leveraging AI to enhance productivity within organizations [10]

Core Insights - 13D Management LLC has opened a new position in Workiva by purchasing 52,000 shares valued at approximately $4.49 million, representing 5.34% of the fund's total U.S. equity assets of $84.05 million as of December 31, 2025 [1][2]. Company Overview - Workiva operates as a leading provider of cloud-based compliance and regulatory reporting solutions, with a market capitalization of $3.48 billion and a revenue of $884.57 million for the trailing twelve months (TTM) [3][5]. - The company reported a net income of -$26.17 million (TTM), indicating a loss [3]. - As of February 16, 2026, Workiva's share price was $61.93, reflecting a 32.55% decline over the past year, underperforming the S&P 500 by 44.34 percentage points [2][3]. Business Model and Competitive Advantage - Workiva's business model focuses on providing enterprise software solutions for organizations with complex reporting and compliance needs, serving public and private corporations, government agencies, and higher-education institutions [7]. - The company's proprietary platform enhances secure collaboration and data integration, which is a key competitive advantage in the enterprise software sector [5]. Market Context - The recent decline in Workiva's share price has been attributed to market concerns that artificial intelligence may disrupt the business models of SaaS companies. However, it is suggested that customers are unlikely to abandon Workiva for unproven AI solutions, especially for critical functions like regulatory compliance [8][9].

Company Overview - Workiva is positioned as a trusted platform for the office of the CFO, focusing on managing critical data for financial reporting, non-financial reporting, regulatory disclosure, data accuracy, and governance [4]. - The company operates an AI-powered platform and serves over 6,600 customers, indicating a broad market reach [4]. Product and Market Focus - Workiva's offerings are categorized under a horizontal SaaS platform, suggesting that any company globally could be a potential customer [4]. - The company has targeted specific verticals where regulatory environments are complex, highlighting its strategic focus on industries with stringent compliance requirements [4].

Workiva Conference Call Summary Company Overview - **Company**: Workiva (NYSE: WK) - **Industry**: Software, specifically focused on financial reporting and regulatory compliance - **Key Products**: AI-powered platform for financial reporting, non-financial reporting, regulatory disclosure, data accuracy, and governance - **Customer Base**: Over 6,600 customers, including 95% of the Fortune 100 and 85% of the Fortune 1000 [4][11] Core Insights - **Data Management**: Workiva emphasizes the importance of data accuracy, integrity, and traceability, particularly for CFOs who require reliable data for financial reporting [6][11] - **AI Integration**: Approximately 30% of customers have activated AI features on the platform, which are embedded within the core platform rather than being add-ons [12][14] - **Competitive Advantage**: Workiva's platform is seen as a "platform of trust" for CFOs, providing a secure environment for data management and AI application [9][11] AI Adoption and Use Cases - **Customer Adoption**: 27% of customers are using AI features, with increasing usage patterns as customers become comfortable with the technology [15][16] - **Use Cases**: AI is being used to streamline processes and improve efficiency across various solutions within the platform [13][14] - **Pricing Model**: Workiva has introduced a "good, better, best" pricing model to capture growth and account expansion, allowing customers to choose tiers based on their needs [18][20] Market Trends and Growth Opportunities - **Financial Services Vertical**: Workiva has seen significant traction in financial services, particularly due to the complex regulatory environment [31][32] - **Governance, Risk, and Compliance (GRC)**: GRC solutions have experienced 19%-30% ARR growth, driven by better execution and market trends favoring modernization away from legacy systems [34][35] - **Sustainability Reporting**: The sustainability segment remains a growth area despite regulatory changes, with ongoing demand for non-financial reporting solutions [37][40] Go-to-Market Strategy - **Sales Model Improvements**: Workiva is transitioning to a more efficient sales model, reducing reliance on sales specialists and enhancing the capabilities of account executives [44][45] - **Partnerships**: Collaborations with consulting firms, particularly the Big Four, are crucial for increasing win rates and deal sizes [63][65] Financial Performance and Guidance - **Revenue Growth**: Workiva is on track to reach $1 billion in ARR, with a focus on productivity and efficiency to drive margin expansion [29][50] - **Margin Expansion**: The company has seen margins increase from 4% to 10% year-over-year, with a target of 15% for 2026 [48][50] Shareholder Value and Capital Management - **Investment Focus**: Workiva prioritizes profitable growth and is committed to investing in innovation and marketing while managing stock-based compensation carefully [52][56] - **Stock Buyback**: The company has authorized an additional $250 million for stock buybacks to manage dilution and enhance shareholder value [54][56] Conclusion - Workiva is positioned as a leader in the financial reporting software space, leveraging AI and a unified platform to meet the needs of CFOs. The company is focused on growth through strategic partnerships, improved sales execution, and a commitment to data integrity and trust.

Summary of Workiva Conference Call Company Overview - **Company**: Workiva - **Industry**: Cloud Software Platform - **Core Services**: Financial reporting, governance risk and compliance, sustainability reporting, and various vertical solutions - **Customer Base**: Over 6,600 customers, including approximately half of the companies on Nasdaq and NYSE for SEC reporting [4][5] Financial Performance - **2025 Revenue Growth**: 20% year-over-year growth, with free cash flow of approximately 15.5% [6] - **2026 Revenue Guidance**: Expected to exceed $1 billion, with a high-end estimate of $1.04 billion, reflecting 18% year-over-year growth and a free cash flow margin of 19% [6] - **Retention Metrics**: 97% gross revenue retention and 113% net revenue retention [6] - **Customer Contract Growth**: - Contracts over $100,000 grew by 22% - Contracts over $300,000 grew by 42% - Contracts over $500,000 grew by 37% [6][7] Medium and Long-Term Targets - **Medium-Term Revenue Target (2027)**: $1.1 billion to $1.2 billion with a margin target of 18% [11] - **Long-Term Revenue Target (2030)**: $1.8 billion to $2 billion with a margin target of 24% [11] Product and Platform Insights - **Value Proposition**: Workiva's platform integrates data and document assembly for regulatory reporting, emphasizing collaboration and audit processes [13][14] - **AI Integration**: - 30% of customers have opted into AI core platform tiers, enhancing productivity in regulatory reporting and compliance [22] - AI capabilities include drafting risk factors, improving text, and automating evidence inspection [23][24] - **New Product Tiers**: Introduction of a tiered packaging system (e.g., SEC Standard vs. SEC Advanced) to enhance monetization and customer engagement [25][27] Go-to-Market Strategy - **Sales Model Evolution**: Focus on increasing sales capacity, refining sales strategies, and leveraging AI to enhance sales efficiency [29][31] - **Multi-Solution Adoption**: Over 50% of the customer base currently uses only one solution, indicating significant growth potential through account expansion [33][34] - **Partner Channel Growth**: Collaborations with Big Four and regional advisory firms have increased partner-related revenue significantly, with ongoing opportunities for expansion [41][42] Market Outlook and Challenges - **2026 Growth Outlook**: Anticipated 18%+ revenue growth, with a balanced contribution from existing customers (60%) and new logos (40%) [49] - **Capital Markets Activity**: Cautiously optimistic about growth in capital markets, with no significant growth built into current guidance [51] - **Share Repurchase Program**: Expanded by $250 million, reflecting strong free cash flow and a commitment to returning capital to shareholders [52] Key Opportunities - **AI as a Catalyst**: The shift towards AI-enabled solutions presents a significant opportunity for Workiva to capture market share from on-premise software users [54] - **Existing Customer Base**: A large portion of the customer base has potential for upselling additional solutions, particularly among those with lower revenue contracts [54][55]

Group 1: Industry Overview - Many enterprise software companies saw a significant decline in value in early 2026 due to concerns that AI tools will enable businesses to create their own software, reducing reliance on external vendors [1] - As AI enhances productivity, businesses may require fewer employees and subsequently purchase fewer software licenses [1] Group 2: Company Performance - Workiva's stock has decreased by 25% this year, but the decline may not be justified given the company's strong platform that aggregates data for trusted reporting [2] - Analysts from The Wall Street Journal predominantly recommend Workiva stock as a buy, with a consensus price target suggesting a potential upside of 45% over the next 12 months [3] Group 3: Product Features - Workiva's platform integrates with various digital applications, streamlining data collection and minimizing errors, thus providing a reliable source of truth for organizations [4] - The company offers ready-made templates and an AI-powered assistant, Workiva AI, to facilitate the rapid creation of reports and insights from data [5] - Workiva has developed a library of pre-prepared prompts to assist organizations in adopting AI, ensuring the AI understands the context of uploaded documents [6]

Core Viewpoint - Workiva (WK) has experienced a significant downtrend, with a stock decline of 30.6% over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to improved earnings expectations from analysts [1]. Group 1: Technical Analysis - The Relative Strength Index (RSI) is a key technical indicator used to identify oversold conditions, with a reading below 30 typically indicating that a stock is oversold [2]. - WK's current RSI reading is 24.22, indicating that the heavy selling pressure may be exhausting itself, which could lead to a trend reversal [5]. Group 2: Fundamental Analysis - There is strong consensus among sell-side analysts regarding WK's earnings potential, with the consensus EPS estimate increasing by 629.4% over the last 30 days, suggesting a positive outlook for price appreciation [7]. - WK holds a Zacks Rank of 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further indicating a potential turnaround [8].

Company Overview - Workiva Inc. is a leading AI-powered platform focused on trust, transparency, and accountability, serving over 6,600 organizations, including more than 85% of Fortune 1,000 companies [2]. Upcoming Events - Workiva will participate in the Raymond James 47th Annual Institutional Investors Conference on March 2, 2026, at 9:15 a.m. Eastern Time, with presentations by Chief Financial Officer Barbara Larson and Chief Strategy Officer Mike Rost [3]. - The company will also present at the Morgan Stanley Technology, Media & Telecom Conference on March 3, 2026, at 9:15 a.m. Pacific Time, featuring President and Chief Executive Officer Julie Iskow [3].