Financial Performance: Adjusted earnings per share (EPS) for Q1 were $2.24, beating the consensus estimate of $2.14 by $0.10. Revenue reached $882.9 million, surpassing the $857.75 million estimate and representing a 16% year‑over‑year increase from $759.0 million in the same quarter last year.
Revenue Breakdown: Subscription revenues, which form the bulk of Veeva’s business, grew 15% YoY to $730.2 million. Professional services and other revenues increased to $152.8 million from $124.3 million a year earlier.
Profitability: Adjusted operating income was $395.4 million, up 13% from $349.9 million in the prior‑year period. Adjusted net income rose 13% to $371.1 million from $327.8 million.
Guidance – Q2 2026: The company projects revenue of $902 million to $905 million, with a midpoint of $903.5 million, exceeding the consensus estimate of $888.4 million. Adjusted EPS guidance is $2.21 to $2.22, above the $2.19 consensus.
Guidance – FY 2027: Veeva forecasts full‑year revenue of $3.635 billion to $3.645 billion, with a $3.64 billion midpoint, above the $3.6 billion consensus. Adjusted EPS guidance is $9.05, surpassing the $8.87 estimate.
Analyst Commentary: Stifel analysts noted the guidance implies a deceleration to +12.5% in the second half of the year but believe growth could be 13.5%+. Morgan Stanley analysts described the quarter as “another clean quarter, with broad based upside in software and services,” and highlighted AI positioning as a potential catalyst.
Market Reaction: Despite the earnings beat, Veeva shares fell about 5% in pre‑market trading on Thursday.
Customer & Acquisition Updates: Veeva added 27 new Vault CRM customers during the quarter, bringing the total to more than 150 live customers on the platform. The company completed its acquisition of Ostro in March, which provides conversational AI for more than 50 brands.
Executive Quote: CFO Brian Van Wagener said, “Our first quarter results exceeded guidance on all metrics, reflecting another quarter of broad‑based growth and profitability…We’re pleased with the raised fiscal 2027 guidance and energized by the large and growing opportunity ahead.”
