Overview

• US e-signature platform's fiscal Q1 revenue rose 9%, slightly beating analyst expectations

• Adjusted EPS for fiscal Q1 beat analyst expectations

• Company repurchased $317.5 mln in common stock, a record for the firm

Outlook

• DocuSign expects Q2 revenue between $865 mln and $869 mln

• Company sees full-year revenue between $3,490 mln and $3,502 mln

• DocuSign forecasts full-year non-GAAP operating margin of 30.5% to 31.0%

Result Drivers

• AI-NATIVE PLATFORM DEMAND - Co said growing demand for its AI-native Intelligent Agreement Management platform drove Q1 results

• AI-POWERED FEATURES - Co highlighted new AI-powered agreement management capabilities, including Iris assistant and agents, as supporting growth

• INTEGRATIONS AND ECOSYSTEM - Co cited deeper integrations with business systems and partnerships with legal AI platforms as expanding platform adoption

Company press release: ID:nPn3k4qH3a

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Revenue	Slight Beat*	$830.23 mln	$824.77 mln (17 Analysts)
Q1 Adjusted EPS	Beat	$1.09	$0.99 (17 Analysts)
Q1 EPS		$0.40
Q1 Gross Margin		79.40%
Q1 Adjusted Gross Margin		81.50%
Q1 Free Cash Flow		$289.43 mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 4 "strong buy" or "buy", 18 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the software peer group is "buy."

• Wall Street's median 12-month price target for DocuSign Inc is $55.00, about 5% above its June 3 closing price of $52.40

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 11 three months ago

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