DocuSign Inc
Q4 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: +7.15%.
Did DOCU Beat Earnings? Q4 2026 Results
DocuSign closed out fiscal 2026 on a strong note, delivering a clean beat on both the top and bottom lines as its pivot toward an AI-driven agreement platform began showing tangible financial results. Non-GAAP diluted EPS came in at $1.01, ahead of the $0.95 consensus estimate by 6.32%, while revenue of $836.86 million grew 7.8% year-over-year and edged past the $828.09 million Wall Street had expected. The standout driver was the accelerating adoption of its Intelligent Agreement Management platform, with IAM now accounting for 10.8% of total ARR, up sharply from just 2.3% a year earlier, helping lift total ARR to $3.27 billion. Non-GAAP operating margin expanded to 29.5% as free cash flow for the full fiscal year crossed $1.06 billion. Still, some analysts trimmed price targets following the report, questioning whether the company can reach sustained double-digit growth from its current 8% trajectory. For fiscal 2027, DocuSign guided full-year revenue of $3.48 billion to $3.50 billion, implying continued 8% growth, with non-GAAP operating margin expected to widen further to 30.0%-30.5%.
- 8% year-over-year total revenue growth driven by subscription revenue
- IAM platform adoption accelerating — represented 10.8% of total ARR vs 2.3% a year ago
- Total ARR reached $3,272 million, 8.0% year-over-year increase
- Non-GAAP operating margin expanded to 29.5% from 28.8% year-over-year
- Record operating margin and free cash flow levels for fiscal 2026
- Billings grew 10% year-over-year to $1.0 billion in Q4
“Docusign's AI-native IAM platform has established clear market leadership as the agreement system of action for companies of all sizes. In 2026, customers using IAM represented over $350 million in ARR, and Docusign reached record highs for operating margin and free cash flow.”
DocuSign CEO, on the earnings call
Forward Guidance & Outlook
For Q1 fiscal 2027 (three months ending April 30, 2026), Docusign guided total revenue of $822 million to $826 million, representing approximately 8% year-over-year growth at the midpoint, with non-GAAP gross margin of 80.8%–81.2%, non-GAAP operating margin of 29.0%–29.5%, and non-GAAP diluted weighted-average shares of 196–201 million. For the full fiscal year ending January 31, 2027, the company guided total revenue of $3,484 million to $3,496 million (8% year-over-year growth), ARR year-over-year growth of 8.25%–8.75%, non-GAAP gross margin of 81.5%–82.0%, non-GAAP operating margin of 30.0%–30.5%, and non-GAAP diluted weighted-average shares of 190–195 million. Foreign exchange is expected to provide approximately 1.6% positive impact on Q1 revenue growth and 1.4% on full-year revenue growth. The company will discontinue reporting billings starting in fiscal Q1 2027.
DOCU YoY Financials
DOCU Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.