DocuSign (DOCU) Q3 2026 Earnings
How Did DOCU Stock React to Q3 2026 Earnings?
S&P 500 over the same 30 days: +0.56%.
Did DOCU Beat Earnings? Q3 2026 Results
Yes. DocuSign reported Q3 2026 earnings of $1.01 a share on Dec 4, 2025, beating the $0.92 consensus estimate by 10.3%. Revenue was $818.4M against a $807.4M estimate.
DocuSign delivered one of its strongest quarters in recent memory during fiscal Q3 2026, posting revenue of $818.35 million, up 8.4% year-over-year and ahead of the $807.42 million consensus estimate, while non-GAAP diluted EPS of $1.01 beat expectations of $0.92 by 10.30%. The primary engine behind the beat was subscription revenue, which climbed 9% year-over-year to $800.96 million, underscoring the durability of DocuSign's recurring revenue base even as professional services declined. CEO Allan Thygesen credited the results as among the most robust for top-line growth and profitability over the past two years, with billings rising 10% to $829.46 million and free cash flow surging to $262.90 million. The company's Intelligent Agreement Management platform crossing 25,000 customers added a strategic dimension to the financial story, signaling that its AI-driven expansion is gaining traction. Looking ahead, DocuSign guided Q4 revenue of $825 million to $829 million and reaffirmed full-year FY2026 revenue of approximately $3.21 billion, representing 8% growth, though the stock dipped nearly 5% following the print amid broader investor caution.
- Growing customer investment in the IAM platform, surpassing 25,000 customers
- Strong subscription revenue growth of 9% year-over-year
- Improved operational efficiency driving non-GAAP operating margin expansion to 31.4%
- Billings growth of 10% year-over-year to $829.5 million
- Approximately 0.5% positive impact from foreign exchange rates on revenue growth
“Q3 was a strong quarter with growing customer investment into the IAM platform, where we now have more than 25,000 customers.”
DocuSign CEO, on the earnings call
What Was DocuSign's Outlook in Q3 2026?
For Q4 FY2026 (three months ending January 31, 2026), Docusign expects total revenue of $825M to $829M (7% YoY midpoint growth), subscription revenue of $808M to $812M (7% YoY midpoint growth), billings of $992M to $1,002M (8% YoY midpoint growth), non-GAAP gross margin of 80.8% to 81.2%, and non-GAAP operating margin of 28.3% to 28.7%. For full-year FY2026, the company expects total revenue of $3,208M to $3,212M (8% YoY midpoint growth), subscription revenue of $3,140M to $3,144M (8% YoY midpoint growth), billings of $3,379M to $3,389M (9% YoY midpoint growth), non-GAAP gross margin of 81.7% to 81.8%, and non-GAAP operating margin of 29.8% to 29.9%. FX impact is estimated at approximately 0.7 percentage points positive to Q4 revenue growth and approximately neutral to full-year revenue growth.
DOCU YoY Financials
| Metric | Q3 2026 | Q3 2025 | Year over year |
|---|---|---|---|
| Revenue | $818.4M | $754.8M | +8.4% |
| Gross Profit | $647.8M | $598.3M | +8.3% |
| Operating Income | $85.4M | $59.0M | +44.6% |
| Net Income | $83.7M | $62.4M | +34.1% |
DOCU Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.