Search This Blog

Thursday, May 14, 2026

Doximity guides to ~4% FY27 growth and lower margins

 

Doximity Q4 revenue beats guidance while EPS misses as company guides to ~4% FY27 growth and lower margins

  • Q4 non-GAAP EPS $0.26 (-32% YoY) missed expectations, while revenue $145.4M (+5% YoY) beat estimates.
  • Q4 revenue $145M, +5% YoY, above the high end of company guidance.
  • Company guided June-quarter revenue to $151–$152M, providing its outlook for the upcoming quarter.
  • Full-year revenue $645M, +13% YoY; adjusted EBITDA margin steady at 55%.
  • FY27 revenue guidance $664–676M implies ~4% growth, a major deceleration from FY26.
  • FY27 adjusted EBITDA margin guided to 49%, down from 55%, reflecting AI investments.
  • Non-GAAP gross margin fell to 89% in Q4, pressured by higher AI compute.
  • Workflow engagement reached 800k quarterly active prescribers, +~30% YoY; nearly half used AI.
  • Launched commercial AI Search product; expect minimal FY27 revenue, with a more notable back-half ramp.
  • HCP digital pharma ad market described as soft, growing at or below 5%.
  • Trailing 12-month net revenue retention 109% overall, 114% for top 20 customers.
  • Free cash flow $317M for the year, 49% margin; $432M shares repurchased, strong cash.
  • Main concern: soft pharma HCP ad demand and execution risk monetizing new AI Search.

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.