"DocuSign ( Nasdaq: DOCU) is mid-transformation from e-signature to Intelligent Agreement Management (IAM). Q1 FY26 delivered 8% revenue growth to $764M and non-GAAP EPS of $0.90, with operating margin at 29.5% and free-cash-flow margin at 30%. Management added $1B to its repurchase authorization, ended the quarter with ~$1.1B in cash and no debt, and reiterated that lower early-renewal activity reflects timing (not demand) as sales incentives shift toward in-quarter closes and IAM expansion."
"IAM adoption and monetization - 10,000+ direct IAM customers; nearly 1,000 self-serve customers added within weeks. Management expects IAM to reach a low double-digit share of subscription BoB exiting FY26. Billings vs. renewal timing - Lower early renewals pulled billings slightly below guide, but leadership emphasizes timing (not demand) and still models 2H acceleration. Track DNR (101%) and usage, both improving."
Q1 FY26 revenue was $764M, up 8%, with non-GAAP EPS of $0.90, operating margin of 29.5%, and free-cash-flow margin of 30%. The company added $1B to its repurchase authorization, ended the quarter with approximately $1.1B in cash and no debt. Lower early-renewal activity pulled billings slightly below guide and reflects timing as sales incentives shift toward in-quarter closes and IAM expansion. Near-term cloud-migration costs create a gross-margin headwind, while billings are modeled to accelerate in 2H as IAM scales. IAM adoption shows 10,000+ direct customers and near-term self-serve momentum; product roadmap and AI aim to broaden enterprise workflows.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]