NASDAQ$DOCU

DocuSign Inc · Q3 2021 earnings

Q3 2021 earnings · · Investor relations

Briefing

DocuSign's Q3 2021 financial results reflected strong growth driven by digital transformation and the value customers see in eSignature and the Agreement Cloud.

DocuSign announced its Q3 Fiscal Year 2021 financial results, with total revenue reaching $382.9 million, a 53% increase year-over-year. The company's growth is attributed to the acceleration of digital transformation among businesses and the increasing recognition of DocuSign's platform as essential.

  • Total revenue was $382.9 million, up 53% year-over-year.
  • Subscription revenue reached $366.6 million, a 54% increase year-over-year.
  • Billings increased by 63% year-over-year, totaling $440.4 million.
  • Free cash flow was $38.1 million, compared to negative $14.1 million in the same period last year.

Headline financials

Total Revenue

$383M

Previous: $250M+53.5%
EPS (adj)

$0.22

Previous: $0.11+100.0%
Total Billings

$440M

Previous: $269M+63.5%
Capital Expenditures

-$64.1M

Previous: -$42.1M-52.5%
Free Cash Flow

-$123M

Previous: -$88.7M-38.3%
Net Income

-$58.5M

Previous: -$46.6M-25.5%
Operating Income

-$48.5M

Previous: -$44M-10.2%
Gross Profit

$285M

Previous: $188M+52.0%
Cash & Equivalents

$375M

Previous: $198M+89.7%
Total Assets

$2.05B

Previous: $1.79B+14.8%

Revenue & EPS history

DocuSign · Revenue · Quarterly

$383M

Q3 2021+53.5%vs Q3 2020
Beat estimate in 10 of 14 quarters(71%)
ActualEstimate

Revenue by segment

DocuSign · $383M total across 2 segments · Q3 2021

  • Subscription
    $367M+54.0%
  • Professional Services
    $16.3M+42.7%

Forward guidance

The company expects the following for the quarter ending January 31, 2021: Total revenue between $404 million and $408 million, subscription revenue between $384 million and $388 million and billings between $512 million and $522 million.

Tailwinds

  • Total revenue between $404 million and $408 million
  • Subscription revenue between $384 million and $388 million
  • Billings between $512 million and $522 million
  • Non-GAAP gross margin between 78% and 80%
  • Non-GAAP diluted weighted-average shares outstanding 205 to 210

Headwinds

  • Non-GAAP interest and other income (expense) $(1) to $1 million
  • Provision for income taxes $2 to $3 million
  • Non-GAAP sales and marketing 42% to 44%
  • Non-GAAP research and development 14% to 16%
  • Non-GAAP general and administrative 9% to 11%

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q3 2021

Historical avgQ3 2021

-0.9%

Avg return

Earnings day

-1.0%

Avg return

5 days after

+0.1%

Avg return

30 days after

48%

16 / 33 earnings

Positive

+27.4%

Q3 2025

Best reaction

-41.5%

Q3 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2027-7.3%-11.3%
Q4 2026+1.8%+2.6%-3.8%
Q3 2026-7.7%-3.2%-8.8%
Q2 2026+4.7%+3.4%-8.5%
Q1 2026+0.0%+1.4%+2.3%
Q4 2025+14.8%+14.6%-0.5%
Q3 2025+27.4%+14.1%+7.4%
Q2 2025+3.1%-5.0%+11.2%
Q1 2025-2.8%-2.7%+1.7%
Q4 2024+6.7%+11.5%+13.3%
Q3 2024+5.0%+18.2%+15.4%
Q2 2024-4.9%-12.1%-20.2%
Q1 2024-0.3%-3.4%-13.1%
Q4 2023-24.3%-15.5%-14.0%
Q3 2023+16.8%+37.9%+29.6%
Q2 2023+16.1%+10.5%-13.3%
Q1 2023-26.8%-36.4%-26.2%
Q4 2022-23.5%-21.8%+4.0%
Q3 2022-41.5%-39.9%-34.0%
Q2 2022+4.3%-1.9%-13.3%
Q1 2022+16.3%+20.8%+39.0%
Q4 2021-1.1%-0.7%+0.1%
Q3 2021+11.7%+7.9%+2.1%
Q2 2021-18.4%-22.5%-17.7%
Q1 2021-5.3%-3.8%+29.5%
Q4 2020+3.1%-5.4%+20.8%
Q3 2020+8.0%+4.0%+7.9%
Q2 2020+20.1%+27.9%+33.2%
Q1 2020-9.7%-10.2%-2.2%
Q4 2019-2.1%-1.7%-4.2%
Q3 2019-4.4%+0.5%-1.4%
Q2 2019-10.8%-16.8%-30.2%
Q1 2019+1.0%+7.8%-4.2%
Q3 2017
Q2 2017
Q1 2017

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