Categories Earnings, Technology

DocuSign surprises Wall Street with a profit in Q4

Shares of DocuSign (DOCU) fell 5% during the extended trading hours on Thursday, despite the electronic signature technology firm surprising Wall Street by reporting a profit in the fourth quarter of 2019, helped by a marked increase in revenues.

Revenues of the San Francisco, California-based firm climbed 34% to $199.7 million in the fourth quarter, beating analysts’ estimate of $193.68 million. The top line was lifted by a 37% growth in subscription revenue.

The company reported adjusted earnings of $0.06 per share during the quarter, even as the market was expecting a breakeven.

Billings increased by 31% to $262.4 million.

CEO Dan Springer said, “As we look to fiscal 2020, we are focused on delivering new and innovative solutions to market across the System of Agreement, growing our already-strong partner ecosystem, and continuing our relentless commitment to customer success.”

The company also provided an outlook for the first quarter of 2020, as well as the full financial year. For the current quarter, the company projects total revenue of $205-210 million and billings of $210-220 million. Adjusted gross margin is predicted to be between 78% and 80% during this period.

READ: BLACKBERRY SETS UP NEW GOVERNMENT SOLUTIONS UNIT

For the full year, the company raised its outlook for total revenues to a range of $910-915 million, while billings are estimated to be $1.01-1.03 billion.

DocuSign has seen its stock double since its initial public offering in April last year, primarily due to the adoption of electronic signatures in various industries including banking and insurance. According to Reports Monitor, the e-signature industry is set to grow at a yearly pace of 31% over the coming six years.

READ: PINDUODUO STOCK PLUNGES ON WEAK Q4 EARNINGS

However, of late, the company has been facing stiff competition from Adobe (ADBE), besides Dropbox (DBX), which acquired HelloSign in 2018.

 

Earnings Transcript: Get access to timely and accurate verbatim transcripts that are published within hours of the event.

Most Popular

BIIB Earnings: Biogen Q1 2024 adj. earnings rise despite lower revenues

Biotechnology firm Biogen Inc. (NASDAQ: BIIB) Wednesday reported an increase in adjusted profit for the first quarter of 2024, despite a decline in revenues. Total revenue declined 7% year-over-year to

Hasbro (HAS) Q1 2024 Earnings: Key financials and quarterly highlights

Hasbro, Inc. (NASDAQ: HAS) reported first quarter 2024 earnings results today. Revenues decreased 24% year-over-year to $757.3 million. Net earnings attributable to Hasbro, Inc. were $58.2 million, or $0.42 per

BA Earnings: Highlights of Boeing’s Q1 2024 financial results

The Boeing Company (NYSE: BA) on Wednesday announced financial results for the first quarter of 2024, reporting a narrower net loss, on an adjusted basis. Revenues dropped 8%. Core loss,

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top