DocuSign Q1 Earnings: Revenue Beat, EPS Beat, $1B Buyback Increase And More

DocuSign Inc DOCU reported first-quarter financial results Thursday after the bell. Here are the key items to know.

Q1 Earnings: DocuSign's first-quarter revenue increased 7% year-over-year to $709.6 million, beating the consensus estimate of $707.133 million, according to Benzinga Pro. The agreement cloud company reported first-quarter adjusted earnings of 82 cents per share, beating analyst estimates of 79 cents per share.

Billings came in at $709.5 million, up 5% year-over-year. Net cash from operating activities totaled $254.8 million. The company generated free cash flow of $232.1 million in the quarter, up from $214.6 million in the prior year's quarter.

The company ended the quarter with $1.2 billion in cash, equivalents, restricted cash and investments.

“Docusign is off to a strong start in fiscal 2025. We launched a significant expansion to our company strategy with our announcement of the Docusign Intelligent Agreement Management platform,” said Allan Thygesen, CEO of Docusign.

“In Q1, we continued to stabilize the business and improve profitability, allowing Docusign to continue investing for long term growth.”

DocuSign’s board also authorized a $1 billion increase to its existing stock repurchase program.

Outlook: DocuSign expects second-quarter revenue to be in the range of $725 million to $729 million versus estimates of $726.3 million. The company sees second-quarter billings in the range of $715 million to $725 million.

DocuSign expects fiscal year 2025 revenue between $2.92 billion and $2.932 billion versus estimates of $2.92 billion.

DocuSign’s management team will hold a conference call to discuss the company’s quarterly results at 5 p.m. ET.

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DOCU Price Action: DocuSign shares were down 3.62% at $52.67 in Thursday’s after-hours session at the time of publication, according to Benzinga Pro.

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