Docusign Announces Fourth Quarter and Fiscal Year 2025 Financial Results

Core Insights - Docusign experienced significant growth in fiscal 2025, launching its AI-powered Intelligent Agreement Management (IAM) platform, which has gained rapid traction with customers [2][6] - The company reported strong revenue growth and profitability in Q4, positioning itself well for future opportunities [2] Financial Highlights - Total revenue for Q4 was $776.3 million, a 9% year-over-year increase, with subscription revenue also increasing by 9% to $757.8 million [5] - For the fiscal year, total revenue reached $2.98 billion, an 8% year-over-year increase, with subscription revenue at $2.90 billion, also an 8% increase [5] - Billings for Q4 were $923.2 million, an 11% year-over-year increase, while total billings for the fiscal year were $3.1 billion, a 7% increase [5] - GAAP net income per diluted share for Q4 was $0.39, compared to $0.13 in the same period last year, and for the fiscal year, it was $5.08 compared to $0.36 [5] - Non-GAAP net income per diluted share for Q4 was $0.86, up from $0.76 year-over-year, and for the fiscal year, it was $3.55 compared to $2.98 [5] Operational Highlights - Docusign's IAM platform was globally released in December 2024, enhancing its offerings for sales and enterprise customers [6][10] - The company launched Docusign for Developers in November 2024, allowing partners to build integrations on IAM [7] - The IAM platform includes features such as Identity Wallet for secure identity management and AI-assisted contract review tools [8][10] Guidance - For the quarter ending April 30, 2025, Docusign expects total revenue between $745 million and $749 million, with subscription revenue between $729 million and $733 million [11] - For the fiscal year ending January 31, 2026, total revenue is expected to be between $3.129 billion and $3.141 billion [12] Cash Flow and Stock Repurchase - Net cash provided by operating activities for Q4 was $307.9 million, compared to $270.7 million in the same period last year [5] - Free cash flow for Q4 was $279.6 million, up from $248.6 million year-over-year [5] - The company repurchased $161.7 million in common stock during Q4 and $683.5 million for the fiscal year [5]